Lesson learned from localization in Iran. The case of qualification of the personnel of local contractor. JSC NIZHNIY NOVGOROD ENGINEERING COMPANY « ATOMENERGOPROJECT »

1995. JSC «NIIAEP» (former VPO «Zarubezhenergostroy» and Iranian OAEI signed the contract on completion of the 1-st unit NPP Busher, started in 1975 by «KWU» ( “Siemens“ branch). Localization of construction started 2 ОАО «НИАЭП» 1. Introduction

3 ОАО «НИАЭП» 2. The upgrade of personnel qualification during construction stage The works at the stage of the Busher-NPP completion : civil engineering and erection; Special works (fitting, special fitting etc.); Adjustment-and-start up works.

Construction : - provided by Iranian firms; - general management at the construction stage was provided by Russian organizations; - the quality of the performed works performed by local contractors was satisfied, however Iranian firms at that moment did not poses experience specific to NPP construction. 4 ОАО «НИАЭП» 2. The upgrade of personnel qualification during construction stage

Special works: - in general were provided by Russian firms; - Iranian side helped in recruiting qualified Iranian personnel for Russian firms engaged in NPP construction on site; - short-term trainings were implemented for Iranian staff; - some of the works Iranian firms performed independently. 5 ОАО «НИАЭП» 2. The upgrade of personnel qualification during construction stage

ome of the works Iranian firms performed independently. 6 ОАО «НИАЭП» 2. The upgrade of personnel qualification during construction stage

Adjustment-and-start up works: - were performed by Russian firms licensed in Russia for this kind of work; - by the moment of the stage of commissioning Iranian personnel have finished theoretical study in Russia ; - this personnel participated in commissioning works in Russian working teams; - some works were performed by Iranian firms independently. 7 ОАО «НИАЭП» 2. The upgrade of personnel qualification during construction stage

Efficient training of local contractors could be performed at the stage of NPP construction; The level of localization is determined by general level of the technological development in recipient country. The higher level of localization -the more cost effective construction is; To improve cross-cultural communications, top managers and operating personnel completed Russian language courses in Russia 8 ОАО НИЖЕГОРОДСКАЯ ИНЖИНИРИНГОВАЯ КОМПАНИЯ « АТОМЭНЕРГОПРОЕКТ » 3. Conclusions ОАО «НИАЭП»

To implement localization effectively, it is necessary to establish national systems of regulations and trainings for the tsage of NPP construction. At the first stage of establishing these systems, training in vendor country is recomended; It is necessary to elaborate on general recommendations for local contractors involvement. It will help to effectively start localization proces in newcomer countries. 9 ОАО «НИАЭП» 3. Conclusions 9