Spain has a billion-dollar piggy bank filled with fees paid by manufacturing companies for years. radioactive waste, especially electricity companies that own nuclear power plants. A fund to be used for the dismantling of closed reactors and the construction of warehouses. radioactive wasteand currently close to 7,500 million euros.
Each of the nuclear power plants will continue to pay this rate and feed the fund as long as they continue to produce electricity and unless the closure of the plants, which is planned to occur gradually between 2027 and 2035, does not occur.
And since most of the money saved in this piggy bank will not have to be spent until the factories close and the future construction of the seven temporary warehouses planned at each factory and the definitive cemetery for nuclear waste, the Spanish State invests a large part of the accumulated sums to generate supposedly fattening returns. Fund for Financing General Radioactive Waste Plan (PGRR) Activities.
Consulting contract
This National Radioactive Waste Corporation (Enresa)It is responsible for managing this public fund, which finances electricity companies with tariffs and makes financial investments with the accumulated amounts, under the control and supervision of the Ministry of Ecological Transformation. And now the company is looking Dedicated help to invest in increasingly complex markets and running increasingly complex operations if you want to achieve sufficient profitability.
Enresa has initiated the tender for a consultancy services contract to make financial investments over the next two years. The Group provides analysis and advice on investment opportunities, contrast work on the valuation of prices and products, which will form the basis for its negotiations, daily information on economic and market indicators, as well as analysis and risk assessment of the Enresa portfolio, among other things. The estimated cost of the contract is approximately €177,500 for two years and can go up to approximately €446,000 if you decide to extend it when it expires.
more complex investments
One of Enresa A portfolio of financial assets worth 6,551 million Euro at the end of 2022 after investing last year in excess of 2,000 million euros with a face value, according to the internal data of the publicly traded company. And in the years to come, the millionaire maturity of its historic portfolio will push the group to rearm to make new investments.
For years, Enresa has followed a conservative model in the management of its financial investments and has blatantly avoided risk. Mainly public fixed income funds through treasury debt as well as corporate debt large European and Spanish companies with flat rates and a significant asset concentration with reference to Spanish and European inflation.
“However, the current reality of the bond market is different. The long run of zero or negative interest rates in recent years has significantly conditioned the development of interest rates, and the market increasingly sophisticated products that can offer attractive returns to the investor,” Enresa explains in the tender documents to justify the contract of private consulting services.
According to Enresa, fixed-income investment alternatives are now being developed with more complex, structured products, using third-party bonds as collateral, using private vehicle companies (SPVs), setting yields in tranches, including different early depreciation options. options’), selling credit risk through derivative financial instruments (“credit default” swaps or CDS), or exchanging fixed interest streams for floating or indexed references (“interest rate swaps”).
Also, from 2021the state company has implemented a plan to diversify its investments this also meant its entry into international stock markets, real estate, and also infrastructure. “Markets whose volatility by definition and with a few exceptions is significantly higher than that of fixed income and where Enresa’s management experience is limited,” explains the group, acknowledging that there are currently no specially trained personnel in the workforce for these tasks.