18 June 2010

Nuclear Subsidy

The Treasury has today confirmed that it has axed the £80m loan to nuclear industry components supplier Sheffield Forgemasters that had been promised by the previous government. In an address to the House of Commons, Chief Secretary to the Treasury Danny Alexander confirmed that the project had been cancelled as part of the review of spending commitments made since the start of the year. Alexander said that the projects that had been cancelled with immediate effect were either “simply unaffordable”, did not meet with the new government’s priorities, or did not represent good value for money. The £80m loan had been earmarked to pay for the installation of a forging press to make components for nuclear reactors, and had been hailed by the previous government as evidence of its support for low carbon industries.

Business Green 17th June 2010 more >>

So much for government action to rebalance the economy in favour of manufacturing. So much for investment in a low-carbon future. So much for painless cuts that simply eliminate waste. The decision to scrap the £80m loan provided by Gordon Brown’s administration to Sheffield Forgemasters to support the civil nuclear supply chain is a reality check for those who imagined cutting Britain’s deficit would be a painless process.

Guardian 18th June 2010 more >>

Guardian 18th June 2010 more >>

The Engineer 17th June 2010 more >>

Business secretary Vince Cable and his coalition government handed a major coup to Japanese workers at the expense of British manufacturing after cancelling an £80million loan to Sheffield Forgemasters. The decision was roundly criticised because it leaves home grown manufacturers of nuclear equipment without a place at the top table in the £40billion programme to build a new fleet of atomic power plants in Britain. Although relatively small, the loan would have enabled the company to build a 15,000 tonne forging press and finishing facility in Sheffield that could produce the ultra-large components, such as reactor pressure vessels, that are key to modern nuclear reactors.

Daily Mail 18th June 2010 more >>

Mr Alexander’s axe fell three times on Sheffield, potentially costing the constituency of Nick Clegg, the Deputy Prime Minister, more than £100 million. Along with the Forgemasters loan, which had been intended to support the nuclear industry, a £13 million industrial park was cancelled and £12 million plans to modernise the city’s shopping centre suspended.

Times 18th June 2010 more >>

Opposition anger focused on the decision to scrap an £80m loan to the company Sheffield Forgemasters to build a press to make components for the nuclear industry. The firm said the money would have helped create 180 jobs, while unions claimed the Government’s decision would cost thousands of jobs and undermine the move towards a low-carbon economy.

Independent 18th June 2010 more >>

The government wants to have a floor price for carbon, “By the end of the next decade, when new plant comes on line”, according to energy minister Charles Hendry. Hendry was speaking at a Nuclear Industry Forum, but he said the floor price would be there to support new renewable energy and carbon capture and storage as well as new nuclear power stations. He said his department was looking for a carbon price mechanism that would “drive investment through the next decade” but one that would not penalise existing fossil fuel plants or give a financial boost to nuclear power plants near the end of their lives.

Utility Week 17th June 2010 more >>

Despite a split in the UK’s new Coalition Government over nuclear power, Minister of State for the Department of Energy and Climate Change Charles Hendry yesterday reiterated support for new capacity but without subsidies. Addressing the Nuclear Industry Forum, Hendry said: “The coalition agreement clearly sees a role for new nuclear, provided that there is no subsidy. We are clear. It is for private sector energy companies to construct, operate and decommission new nuclear plants.” He added, however, that the Coalition Government would remove “unnecessary” obstacles to the development of new nuclear power and work with the industry to win over public opinion.

Energy Efficiency News 17th June 2010 more >>

EDF Energy has welcomed the government’s position on building new nuclear power stations without subsidies, which was set out in a speech to the Nuclear Industry Forum.

The Engineer 17th June 2010 more >>

AN MP is demanding government “come clean” on what it believes constitutes a subsidy to the nuclear industry. Copeland MP Jamie Reed said most other forms of energy received a subsidy and nuclear should be no different. He said: “It is time for the Liberal-Tory Alliance to come clean on what they believe constitutes nuclear subsidy. Virtually every other electricity generating source is subsidies in some way, so way not nuclear? Surely there should be a level playing field for investors?”

Carlisle News & Star 17th June 2010 more >>

New Nukes

The new Government believes nuclear power will play a “key role” in the future – signalling that the building of new reactors in the West is almost a certainty. The new Energy Minister declared yesterday that nuclear would feature in the coalition’s plans for providing Britain’s energy – as long as there is no cost to the taxpayer. Chris Hendry, the Conservative minister, stressed that he will press on with plans drawn up under Labour even though coalition partners the Liberal Democrats oppose them. Labour had earmarked Hinkley Point in Somerset and Oldbury in South Gloucestershire as favoured sites for new nuclear power stations.

This is Somerset 17th June 2010 more >>

One quirk of the coalition Government is that the man in charge of delivering Britain’s first new nuclear power stations in a generation has spent his career campaigning against them. Liberal Democrat Chris Huhne knows he must tread carefully as Energy and Climate Secretary as the nuclear issue could put the coalition under considerable strain. The agreement says the Lib Dems “have long opposed any new nuclear construction” while the Tories are committed to replacing existing stations, as long as they receive no public subsidy.

This is Somerset 17th June 2010 more >>

The International Energy Agency and OECD Nuclear Energy Agency have just jointly launched the new Nuclear Energy Technology Roadmap. Almost one quarter of global electricity could be generated from nuclear power by 2050, making a major contribution to cutting greenhouse gas emissions. This is the central finding of the Nuclear Energy Technology Roadmap, published today by the International Energy Agency (IEA) and the OECD Nuclear Energy Agency (NEA). Such an expansion will require nuclear generating capacity to more than triple over the next 40 years, a target the roadmap describes as ambitious but achievable.

Commodities Now 17th June 2010 more >>

Companies

Toshiba Corp., Japan’s second- biggest supplier of reactors, plans to double overseas nuclear sales by 2015 and invest 50 billion yen ($550 million) a year in its power business to tap growing demand.

Business Week 17th June 2010 more >>

EDF

The risks associated with green marketing campaigns were underlined today when energy compasny EDF found itself facing a blistering attack from rival energy firm Ecotricity and environmental group Greenpeace over the credibility of its annual Green Britain Day event. The organisations accused EDF’s high-profile campaign of being guilty of “ greenwash” given that the company remains one of the UK’s largest producer of nuclear and coal-power energy.

Business Green 17th June 2010 more >>

Energy Supplies

Urgent decisions are required on nuclear power, carbon capture and storage for coal-fired power stations and renewable energy if the UK is to plug a looming energy gap, new research has warned. The report noted that some 11GW of coal and oil-fired generation capacity is set to be shut down by 2015 and that seven nuclear power stations will reach the end of their lives in 2018. At the same time, the report said, demand for electricity is set to grow because of electrification in the transport sector and other areas of the economy. The ICE also said that urgent efforts were required to insulate existing building stock as well as new homes and commercial buildings.

Professional Engineering 17th June 2010 more >>

Britain will miss its legal target to cut emissions by 80% by the middle of the century unless action is taken to cut greenhouse pollution from gas-powered stations, influential government advisers warned today. In a letter to Chris Huhne, the climate secretary, the climate change committee said the government’s existing pledge to fit new coal power stations with expensive carbon capture and storage equipment should be extended to new gas generators as well. Such a move could see the UK be the first in the world to build such a plant and capitalise on a new “dash for gas”.

To avoid missing carbon targets the committee said the government should change its promise to fund up to four trials of carbon capture and storage (CCS) equipment on coal stations and do “at least one” of the demonstrations with gas power. About 24 new gas-powered station – adding up to 29 gigawatts of power – are under construction or in the planning process, compared with two planning applications for new coal generators, and a handful of other mooted projects.

Guardian 18th June 2010 more >>

Dounreay

DSRL has published its latest progress report on the implementation of the particles clean-up programme.

DSRL June 2010 more >>

Wylfa

The Anglesey Energy Island concept describes how the isle of Anglesey off the North Wales coast in the UK can maximise its natural advantages due to its location and renewable resources. Momentum is building up for projects to come on stream as the Welsh Assembly Government First Minister Carwyn Jones AM, visits Anglesey to launch the formal organisation in Menai Bridge on Friday. The secretariat aims to drive and co-ordinate the various energy projects and initiatives and help transform the island economy and boost skilled job opportunities.

Newswire 17th June 2010 more >>

BBC 18th June 2010 more >>

Hinkley

Pressure groups such as Stop Hinkley have rightly, and admirably, given a voice to those who oppose power generation of this ilk. Their arguments are pertinent – the report by Stop Hinkley into the increase in cancer rates in certain areas around the power station, although acknowledged by the local health authority, probably warrants more attention than it has received in the higher echelons of Government. But the coalition will always point to the plethora of scientists who insist the reactors are safe, and that this is the cleanest way. In 2017 it is likely a new reactor will sit in Somerset and it won’t look particularly pretty. But if we embrace the benefits it can bring it will make swallowing the nuclear pill easier.

Bristol Evening Post 17th June 2010 more >>

Poland

Poland may not fulfill its plan to build two nuclear plants by 2020 because the country lacks nuclear expertise and regulation governing the construction of nuclear facilities, a group of nuclear experts said Thursday during a conference on energy security.

Platts 11th June 2010 more >>

Sweden

Sweden’s parliament on Thursday narrowly passed a landmark government proposal allowing the replacement of nuclear reactors at the end of their life span. The centre-right coalition government’s proposal in February last year to reverse an earlier decision to phase out nuclear power was approved by parliament after an all-day debate, with 174 votes in favour and 172 against.

AFP 17th June 2010 more >>

BBC 18th June 2010 more >>

FT 18th June 2010 more >>

Jordan

JORDAN is set on becoming the Middle East’s newest nuclear power, the country’s King Abdullah has revealed. He told the Wall Street Journal that Israel was pressuring countries like South Korea and France not to provide nuclear technology to Jordan. Abdullah added that Israel’s “underhanded” actions had helped bring Jordan-Israeli relations to their lowest point since a 1994 peace agreement.

Jewish Telegraph 18th June 2010 more >>

Turkey

South Korea aims to sign an estimated $10 billion nuclear power plant project in Turkey as soon as possible, its economy minister said on Thursday, as the nation tries to build up its nuclear power exports.

Interactive Investor 17th June 2010 more >>