Finland's TVO claims compensation
from Areva-Siemens for N-plant delay

Franco-German consortium Areva-Siemens is to take TVO to arbitration in a dispute over delays and cost overruns at the Olkiluoto 3 reactor, the Finnish nuclear plant operator has said recently.

In October 2008, TVO was told by the consortium that the 1,600-MW reactor, the first to be constructed in Western Europe for more than a decade, would be further delayed to 2012 from its initial start-up target of 2009. TVO claimed for compensation from the plant supplier consortium for losses and costs incurred due to the delay.

"The plant supplier, consortium Areva-Siemens, has filed a request for arbitration concerning Olkiluoto 3 delay and related costs," TVO said in a statement. "The request relates to a claim presented previously by the consortium to TVO, which TVO has studied and found to be without merit," it added.

"TVO has a fixed price, turnkey contract with Areva-Siemens for the construction of the Olkiluoto 3 unit," TVO said. TVO is owned by Finnish utility Fortum (FUM1V.HE) and Pohjolan Voima, a consortium of Finnish forestry and energy firms. (Reporting by Sakari Suoninen; Editing by Mike Nesbit)