Two managers of state nuclear power plant company suspended over corruption allegations

Two directors of Nucleoeléctrica Argentina, a state-owned company that manages the country’s three nuclear power plants, were suspended last week over allegations of corruption. According to an internal complaint filed by ATE, the state workers’ union, the company paid 1,000% more than originally budgeted for a software service and hired a cleaning company that charged 140% more than current market prices. The suspended directors, general manager Marcelo Famá and administrative coordination manager Hernán Pantuso, were appointed by the head of Nucleoeléctrica, Demian Reidel, who is close to President Javier Milei. Reidel has also been the target of criticisms among workers in the country’s nuclear institutions, who accuse him of slashing budgets and salaries, as well as terminating signature projects. Workers also reported potential irregularities in the bidding process for cleaning services at the Atucha and Embalse power plant sites and the hotel where visitors to Embalse stay, suggesting restricted competition and overpricing. The ordeal started on January 5, when Juan Pablo Nolazco, plant manager of the nuclear power plants Atucha I and II, filed a complaint to the Nucleoeléctrica Integrity Committee, alleging irregularities in the evaluation of a public tender for cleaning services at the nuclear sites. His complaint cited alleged pressure to accept offers that significantly exceed service costs, with a proposed provider (LX Argentina S.A.) costing over double the market rate at the time. On January 19, ATE raised a formal complaint to Reidel. The six-page document, which the Herald has seen, states that the migration of the company’s digital database and software update was originally budgeted at US$600,000. However, it ended up paying US$7 million for the service. ATE requested immediate preventive measures, a comprehensive audit, determination of responsibilities, and transparency regarding the findings. “There have always been shady deals, but never so brazen and so closely linked to a plan to dismantle the company,” Mariano Saleh, a union representative of Atucha, told the Herald. “What angers us workers the most is that everyone involved is also dismantling the company, cutting our salaries and offering voluntary retirement, while we are left in uncertainty about what will happen to our jobs,” he said, adding that, since Milei took office, workers in the nuclear sector lost close to 70% of their purchasing power. Moreover, in September, the government announced it would privatize 44% of Nucleoeléctrica. “Most of us do not want it to be privatized — what they are doing now, they’ll be able to do much more easily if it’s privately managed, because there’ll be less control in the bidding,” he added. A spokesperson for Nucleoeléctrica told the Herald that the company would not comment on the scandal. Nuclear infighting According to sources working in Argentina’s nuclear institutions, the firing of the two directors seems to be the latest of several indications that Demian Reidel, the head of Nucleoeléctrica, is losing his grip on the company and his influence in the government. In December, the national administration created the Nuclear Affairs Secretariat, under the orbit of the Economy Minister, and appointed Federico Ramos Nápoli as its head. Ramos was previously the president of uranium products manufacturer Dioxitek.  Ramos is close to presidential advisor Santiago Caputo, who is at odds with Reidel’s ally Karina Milei, the president’s secretary general and sister.  A source at one of the state’s nuclear organizations said that the newly-created secretariat absorbed some of the tasks of the National Commission of Atomic Energy (CNEA), which at the time was led by Germán Guido Lavalle, appointed by Reidel. Lavalle resigned from his position and was replaced by Martín Porro, a 30-year-old engineer. Moreover, despite being close to Reidel, Lavalle, who is a member of Nucleoeléctrica’s board, proposed and voted for the suspension of Famá and Pantuso.