Ahead of Putin's visit: What advantages will Russia offer for building Kazakhstan’s NPP?

As Kazakhstan prepares to select a nuclear technology provider for its first nuclear power plant , the government is carefully reviewing proposals from top international companies. Among the contenders are China’s CNNC, South Korea’s KHNP, Russia’s Rosatom, and France’s EDF. The decision remains open, and competition between these candidates is intensifying.

What factors will ultimately guide Kazakhstan’s choice? Beyond technical capabilities and safety, strategic considerations play a significant role, such as political and economic ties, integration into energy projects, and access to construction financing. Which company do you believe will secure the contract?

Kazakh economist Magbat Spanov provided insights to News.Az on these questions .

According to him, a referendum was held in Kazakhstan on October 6, where the public supported the construction of a nuclear power plant (NPP).

"The next step will be selecting the company to build the NPP, and undoubtedly, this choice won’t be an easy one. The authorities are maintaining intrigue, mentioning several contenders: French, Russian, South Korean, and Chinese companies. This approach seems wise, as competition encourages choosing the best offer.

Regarding the final choice, it’s likely no coincidence that Russian President Vladimir Putin is scheduled to visit Kazakhstan in November. I believe this visit is largely tied to discussing construction terms, with Putin possibly presenting strategic ‘advantages,’ including commitments Russia is prepared to make. For example, a significant factor is Russia’s pledge to build several thermal power plants (TPPs) in Kazakhstan.

Talks on cooperation have been ongoing, but no final decision has been reached. Most likely, Kazakhstan will seek a comprehensive agreement; however, in my view, Russia is the strongest candidate to lead the project. Several factors support this:

Kazakhstan and Russia are both members of the Eurasian Economic Union (EAEU) and the CSTO, which bolsters their strategic partnership. In neighboring Uzbekistan, Russia is already constructing a nuclear power plant, and Kyrgyzstan is exploring the possibility of building small nuclear plants. Kazakhstan and Russia are also closely integrated in uranium mining, deepening interdependence in the nuclear sector.

In summary, Russia is likely to be the chosen developer, especially given its advantages in modern technologies and its ability to offer construction financing—something other countries might not be able to match. The political dimension is also significant; Putin’s visit to Kazakhstan following the BRICS summit will likely play a crucial role in this decision,” stated the economist.

News.Az