New nuclear power plants are likely to blow their budgets and arrive late unless their designs are completed before construction starts, a report has warned. Ministers, wary of cost hikes and delays, are wrestling with how to financially support replacements for ageing coal-fired and nuclear plants across the UK. Hitachi is trying to strike a deal with ministers to build a £10bn-plus plant at Wylfa on Anglesey, where taxpayers are likely to take a stake. Researchers at Energy Technologies Institute found that most high-cost projects had started construction with incomplete designs, whereas work on low-cost plants had begun only once design and planning had been finalised. The falling cost of renewable power such as offshore wind and solar has posed more questions about the financial viability of nuclear projects. The institute’s report on costs in the nuclear industry says new plants could be affordable and help the country move to low-carbon energy, but only with better development and collaboration. The government will soon announce a sector deal for the nuclear industry – one of the programmes designed to boost the country’s key industries, from automotive to life sciences. The business department said: “This independent report is helpful in looking at cost reduction in the nuclear sector.”
Times 29th April 2018 read more »
