ANNEX I

SUPPORT OF PHYSICAL PROTECTION OF NUCLEAR SITES IN RUSSIA

1.   Background

On 12 December 2003, the European Council adopted the EU Strategy against the Proliferation of Weapons of Mass Destruction which, inter alia, expresses the desire of the European Union to promote a stable international and regional environment by reinforcing Union cooperative threat reduction programmes with other countries, targeted at support for disarmament, control and security of sensitive materials, facilities and expertise.

The physical protection of nuclear materials and facilities, including obsolete reactors and their spent fuel is one of the specific measures contained in the EU Strategy against the Proliferation of Weapons of Mass Destruction.

Furthermore efforts have been made in the field of physical protection of nuclear sites in the Russian Federation under international initiatives. Among Member States, Germany has been particularly active in this area.

2.   Description

The project will finance the implementation of physical protection measures at one nuclear site in Russia. This complements the bilateral projects implemented by Germany in the Russian Federation.

The plant of Bochvar Institute (VNIINM), located in Moscow, contains fissile materials which need to be secured from any attempt of diversion. A new, reinforced and secure storage will be constructed to that end. This storage will be equipped with modern, specialised protection measures like access control systems and physical barriers.

The project will finance the design and construction of the secure storage and the purchase and installation of its specialised physical protection equipment. For evident security reasons the exact description of activities and equipment cannot be disclosed. Typical pieces of equipment are e.g. perimeter fences, access control systems, physical barriers, control and monitoring systems.

3.   Objectives

Overall objective: To contribute to reinforcing the physical protection of nuclear sites in Russia, so as to reduce the risk of theft of nuclear fissile material and of sabotage.

Project purpose: To improve the physical protection for fissile materials at the Bochvar Institute in Moscow (VNIINM) of the Russian Federal Agency for Atomic Energy FAAE (formerly MINATOM).

Project results: To deliver and install a new secure storage for fissile materials equipped with specialised protection measures.

4.   Beneficiaries

The main entities benefiting from the outcome of the project are the Federal Agency for Atomic Energy (FAAE) and the Bochvar Institute (VNIINM).

5.   Member State entity to be entrusted with the technical implementation of the project

Member State: Federal Republic of Germany

Implementing entity: Federal Ministry of Foreign Affairs (Auswärtiges Amt), assisted in monitoring the project by the Bundesamt für Wehrtechnik und Beschaffung. Technical project implementation tasks will be performed by the company GRS (Gesellschaft für Anlagen- und Reaktor-Sicherheit mbH).

6.   Third party participants

The Russian Federation will provide an amount equivalent to EUR 7 730 000. The overall cost of the equipped secure storage is estimated at EUR 13 000 000.

GRS experts will supervise the implementation of the tasks assigned to be performed by Russian entities and ensure full coherence with activities financed by Germany and the Russian Federation. Equipment will be provided by companies having the necessary certification from the Russian authorities.

7.   Required means

Components and services for the construction of the new secure storage and specialised physical protection equipment.

EUR 5 750 000 for the construction of the central storage and EUR 1 840 000 for the purchase of specialised physical protection equipment. In addition, the overall project costs include an amount of EUR 40 000 to cover travel costs and allowances of the implementing entity, directly related to the management of the project, as well as translation costs. A contingency reserve of EUR 100 000 is also foreseen.

8.   Duration

The planned duration of the project is three years.

9.   Reporting

The implementing entity will prepare:

Reports will be sent to the Secretary-General of the Council/High Representative for the CFSP and to the Commission.

10.   Financial reference amount to cover the cost of the action

The total cost of the project is EUR 7 937 000.

BUDGET FOR THE PROJECT

(1)  Maximum estimates.

(2)  Missions for the personnel of the implementing entity, directly related to the implementation.

(3)  Translation of contractual documents and correspondence from English to German and vice-versa.

(4)  Only to be used with the prior written approval of the Commission.

ANNEX II

TERMS OF REFERENCE FOR THE EXPERT REFERRED TO IN ARTICLE 4(4)

In accordance with Article 4, the Commission will be assisted by one expert.

This expert will be selected by the Commission, in cooperation with the Presidency assisted by the Secretary General/High Representative for the CSFP and the Federal Republic of Germany.

As provided in Article 4, the expert will assist the Commission in implementing the project related to the support of the physical protection of a nuclear site in the Russian Federation.

The expert might be proposed by the Member States as seconded national expert or, as an alternative, be recruited by the Commission as auxiliary or contract staff of the Commission.

He/She will be based in Brussels. If required for the effectiveness of the implementation, he/she might be placed temporarily in another location at a Delegation of the Commission.

The expert will provide expertise to the Commission to fulfil its tasks under Article 4, with respect to:

Upon request the expert will provide the Presidency, the Secretary General/High Representative for the CSFP or the Government of the Federal Republic of Germany with expert advice for their tasks under the Joint Action.

The total cost of expertise for the three year period is EUR 207 000.