The cancellation of a British nuclear project heaped yet more pressure on the government to find a way to build the low-carbon power source that’s seen as a crucial part of the nation’s future energy mix. Hitachi Ltd.’s decision to pull the plug on its long planned Wylfa project leaves Electricite de France SA alone in building new reactors in Britain. Whether any more are built hinges on the British government finding a finance model that’s palatable to investors. For its part, the government is reluctant to put taxpayer money on the line for companies that reap generous payouts, and executives find it difficult to put so much of their capital into single projects that may be delayed by years and run massively over budget. Despite this the U.K. says it is still committed to large-scale new nuclear, beyond EDF’s Hinkley Point C. That project will now cost as much as 22.5 billion pounds, taking into account inflation, and the guaranteed price of power is significantly higher than the latest round of offshore wind projects. Just three years ago, the government anticipated building 18 gigawatts of nuclear power stations to replace the old plants. Now EDF’s Sizewell C is left as the sole project most likely to be built.
Bloomberg Quint 17th Sept 2020 read more »
Bloomberg 17th Sept 2020 read more »