Rosatom has completed the reorganisation of JSC Atomstroyexport (JSC ASE) in the form of a merger with JSC Engineering Company ASE (JSC EC ASE).
As a result, JSC ASE EC ceased its activities on 1 July and is replaced by JSC ASE, with corresponding entries made in the Unified State Register of Legal Entities. ASE JSC becomes the managing company of the Engineering Division of Rosatom and assumes all obligations and powers of ASE EC JSC.
The aim of the merger was to eliminate duplication of the main end-to-end processes and to optimise the project management system of the Engineering Division. The functioning of JSC ASE EC was conditioned by a number of production factors and the termination of its activity is a logical completion of this stage of development of the division's management system, Rosatom noted. A single contract holder is being established based on the legal entity, ASE JSC, which historically represents the Russian nuclear industry on the international market. All subsequent and prospective contracting of the Engineering Division for the construction of nuclear power plants will be carried out by of JSC ASE.
The key result of the merger will be to increase the internal operational efficiency of the Engineering Division by reducing the cost of administering legal entities, reducing the number of management levels in the organisational structure of JSC ASE, introducing unified end-to-end processes of Rosatom State Corporation in one legal entity, elimination of gaps in functional verticals with production needs, improvement of operational interaction between production units and units that implement centralised supporting functions, etc.
Senior vice president for corporate functions of ASE JSC Nikolay Podorov noted that the merger should contribute to strengthening the competitive position of the industry in the international market.
“The completed reorganisation and formation of the NPP construction control centre based on a united ASE JSC should help to increase the speed of implementation of solutions, reduce overhead costs and balance the economic model, as well as increase our efficiency in responding to the growing and changing requirements of existing and potential customers,” he said.
The working conditions of employees who were transferred from JSC ASE EC to JSC ASE have been preserved, including the level of wages, social security, vacation schedule, workplace organisation, material and technical and IT support.
The engineering division of Rosatom unites the leading companies in the nuclear industry: JSC Atomstroyexport (Moscow, Nizhny Novgorod, branches in Russia and abroad), United Design Institute - JSC Atomenergoproekt (Moscow and Nizhny Novgorod branches - design institutes, branches in Russia and abroad, survey branches), JSC Atomproekt (St Petersburg Design Institute) - and subsidiary construction organisations. The engineering division ranks first in the world in terms of its portfolio of orders and the number of simultaneously constructed NPPs in different countries of the world.
Foreign projects account for about 80% of the division's revenue.