The UK’s energy regulator has proposed cutting funding by £80m for the project that links the new Hinkley Point C nuclear reactor to the electricity grid after rejecting some of the National Grid’s requests for cash. Ofgem said it plans to grant National Grid Electricity Transmission £637m, compared with an initial request for £717m, and that the new funding framework would save customers money. The UK’s first new nuclear power plant in three decades has been hit by delays and spiralling costs. The project in the south-west of England by French state-backed energy utility EDF and Chinese state-backed CGN. Last month, EDF warned that it will cost an extra £2.9bn to complete the plant in the south-west of England and that it was likely to open later than planned. The link to the grid, known as the Hinkley-Seabank plan, is a key overhaul of the power network to send electricity from the new plant to the rest of the country, and has emerged as a flashpoint between Ofgem and the National Grid.
FT 15th Oct 2019 read more »
Energy Voice 16th Oct 2019 read more »
National Grid has vowed to challenge regulators after funding was slashed for a scheme linking up the Hinkley Point C nuclear power station. The firm has been told by watchdog Ofgem that it must spend £80m less than initially planned on its Hinkley-Seabank project in a bid to save bill payers money. The regulator is offering a £637m grant to National Grid Electricity Transmission to link the nuclear plant to the rest of the country. This is 11pc less than the grid’s initial request for funding. The transmission giant said it would continue to work with Ofgem to ensure a fair result but will seek to change its mind. Ofgem said it will make a final decision on the funding model after a six-week consultation. In a statement, National Grid said: “We will be looking to provide further evidence to Ofgem to support our view of the capital costs for this project.”
Telegraph 15th Oct 2019 read more »