Laka Foundation

Publication Laka-library:
BNFL & Reprocessing. The deception of Customers Continues (2001)

AuthorCORE
DateJune 2001
Classification 2.05.8.35/12 (UNITED KINGDOM - SELLAFIELD - THORP)
Front

From the publication:

BNFL & Reprocessing
The Deception of Customers Continues.
CORE (Cumbrians Opposed to a Radioactive Environment)

June 2001.

The Report

Overseas customers with contracts for the first 10-years (the 'Baseload') of 
operation of Sellafield's Thermal Oxide Reprocessing Plant (THORP) have been 
told by BNFL that the Baseload contracts covering the period 1994-2004 will now 
be completed by March 2005 (1) One year later than originally projected, the need 
for this 11th year has resulted from the slippage in reprocessing schedule following 
a sequence of unplanned stoppages and extended outages at THORP and in 
associated down-stream plant.

Overseas Baseload Customers (OBCs), comprising electrical utilities from Japan,
Germany, Switzerland, Netherlands, Spain and Italy, are highly critical of THORP's 
poor performance and of BNFL's attempts to impose extra costs on them for the 
additional year now required to complete the Baseload. In leaked documents 
recently disclosed BNFL customers stated that:

" ... the next business plan will result in another increase of more than 10% in 
operating costs, mainly due to the projected 11th year of operation of THORP ... such 
cost increases and uncertainties are commercially highly unsatisfactory and make it 
impossible to manage our own fuel cycle business economically, given the cost 
pressures we are under " (2).

This Report seeks to establish whether the extra '11th ' year is in fact sufficient 
to complete the Baseload. It concludes that, in view of information historically 
available to BNFL and reproduced in this Report, THORP will not meet that target, 
and that in the on-going negotiations between the company and its overseas clients, 
BNFL is deliberately misleading customers.

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