JSC Atomenergoprom is forming a centralized system of competitive acquisitions management to meet the needs of JSC Energoatom Concern’s NPPs under construction and NPPs in operation as agreed with State Atomic Energy Corporation Rosatom.

This system is being formed in order to enhance transparency of competitive procedures, ensure quality and the required terms of equipment delivery, and to enhance efficiency of investment resources.

The acquisitions will be conducted for the benefits of JSC Energoatom Concern and JSC Atomenergoprom’s engineering companies, namely: JSC Atomenergoproekt, JSC NIAEP, JSC St. Petersburg Atomenergoproekt, and also JSC Atomstroyexport. Competitive procedures will be organized by JSC Atomenergoprom’s specialized affiliate JSC Atom-service. Atom-service is expected to expertise acquisition procedures in accordance with contracts, consult clients and suppliers within its authority.

The centralized acquisition system is based on the ‘single window’ principle with the supplier’s assessment (certification and accreditation). A uniform system is supposed to be established to qualify the supplier and its product and to accredit it in JSC Energoatom Concern. The new acquisition procedure will allow for implementing the principle of purchasing transparency for all the participants, which will help to ensure maximum access of participants in purchasing to information about evaluation procedures and to choosing the supplier.

The new system will incorporate uniform approaches to acquisitions’ data support, system of consulting and expert services, certification and accreditation. Besides this a uniform database will be formed.

The centralized system of acquisitions must be completed by the end of 2009. JSC Atom-service has initiated expert advisory support of equipment supply tenders implemented by engineering companies.

The centralized system of managing competitive acquisitions for the needs of NPPs under construction and in operation will allow JSC Atomenergoprom to ensure the quality of purchased production as the basis of attaining the required security level and implementing the investment plan within the terms of facilities’ commissioning. The new system will allow for reaching maximum possible savings, and also affect the development of competitive nuclear industry suppliers’ market.

Besides this the acquisitions centralization effect will allow to achieve savings at the cost of acquisitions scale, eliminate duplication while cooperating with suppliers, and to optimize control throughout the acquisition process.

Only this year about 78bn. RUR are planned to be channeled to purchase equipment for constructing new Russian NPPs, including approximately 28bn. RUR to purchase prolonged manufacturing cycle equipment.

As was previously reported JSC Atomenergoprom is conducting, in favor of engineering companies, centralized acquisitions of prolonged manufacturing cycle equipment from monopoly suppliers to build NPPs.

JSC Atom-service is an organization fulfilling specialized functions to prepare and conduct acquisitions in JSC Atomenergoprom’s system. Atom-service is responsible for preparing order placement documentation, expertizing tender documentation and participants’ offers, conducting organizational and technical procedures to choose a supplier.