“Forget everything that’s going on, before anything: there is a Russian owned Nuclear Power Plant in Hungary.” Was what was repeated by a Hungarian man over a long dinner conversation. 
 "In the 1980s, the government planned to construct two VVER-1000 units as Paks 5&6 (each 950 MWe net). Preparations were almost completed when the project was cancelled in 1989 due to decreased power demand.
In 1996-97, Paks Nuclear Power Plant proposed building a further one or two units of 600-700 MWe capacity – either the Westinghouse AP600 design, the AECL Candu-6, or the Atomstroyexport/Siemens VVER-640. This was later rejected by MVM because it did not fit government policy at that time.
Ten years later, with the need to build about 6000 MWe of new generating capacity by 2030, new nuclear plant was again considered, and two 1000 MWe units for the Paks site were proposed. In March 2009, the Hungarian Parliament (330 for; 6 against; 10 abstentions) gave preliminary approval to this, though some foreign investment would be needed. Paks expected to issue an invitation to tender in 2012, with a decision in 2013, and the government set up a project company MVM Paks Nuclear Power Plant Ltd or MVM Paks II as a subsidiary of state-owned MVM in 2012. It was considering five PWR reactor types: Areva's EPR; the Areva-Mitsubishi Atmea1; Atomstroyexport's VVER-1000 or -1200; the Westinghouse AP10003and Korea's APR-1400. It was not keen on first-of-a-kind designs, and hoped to avoid the need for cooling towers. The new units should be capable of load-following.
Rather than proceeding with open tender, in January 2014 the government signed an agreement with Rosatom to build two reactors at Paks, with Russia providing 80% of the finance. The government said that the EU had already approved a draft plan for building the units of up to 1200 MWe each, at a likely cost of around €12 billion. The first unit was to be operational about 2023. In December 2014 MVM Paks II signed three implementation agreements with NIAEP-ASE of Nizhny Novgorod. These formalize the design, procurement and construction parameters for the new units, conditions related to their operation and maintenance support, and details regarding fuel supply and the handling and storage of used nuclear fuel.
A €10 billion financing deal from Russia was agreed in February to cover 80% of the anticipated project cost, with Hungary to repay the loan over 21 years of operation. The interest rate is below 4% for 11 years then 4.5% then 4.95%. In a 256-29 vote the parliament approved the finance deal. Hungary plans to start drawing on the loan in 2105 to finance planning. A site permit is expected in 2016, a construction permit in 2017 and construction start in 2018. Levelised power cost is projected at €55/MWh. Based on public information the IEA estimates the overnight capital cost at $6215/kW.
Fuel was to be supplied solely by Rosatom, but this aspect of the deal was challenged by the EU’s Euratom Supply Agency (ESA), backed by the European Commission (EC), on the basis of there being no alternative supplier for the particular fuel design in the event of a supply disruption. The contract was later approved by the ESA with the duration of the exclusive contract with Rosatom being cut from 20 to 10 years, after which time alternative suppliers would be able to bid to supply fuel.
In November 2015 the EC announced it had started legal action against Hungary over the Rosatom contract for the Paks II project, expressing concerns about its compatibility with EU public procurement rules. The EC then opened a state aid investigation into the project financing for Paks."
From: http://www.world-nuclear.org/information-library/country-profiles/countries-g-n/hungary.aspx (accessed 19th October 2016)