Planned Somerset nuclear plant on hold ? or not ?

[JohnB]

I can't believe how stupid they're being over this. Even if you support nuclear power, this particular piece looks like being an appalling deal.

But it's an appalling deal that future governments will have to pay for, so good for keeping the tradition of blaming previous governments for everything that goes wrong!

[RenewableCandy]

I can't help feeling this is a bad idea too.

The government will embark on a sale of government assets, starting with some or all of its £3bn stake in the uranium-enrichment company Urenco...

Three countries hold stakes in Urenco, the world's second-largest nuclear fuel vendor. The UK owns 33%, alongside the Netherlands and Germany, with the latter's stake held by private utilities E.ON and RWE.

There had been speculation this year that the Dutch government was preparing to sell its stake, but a deal failed to materialise.

Playing down concerns of a fire sale (BAD METAPHOR DAY _ed), the Department for Business, Innovation & Skills said it would consider interest from potential buyers before pressing ahead. It would also seek a reputable buyer to prevent uranium falling into the wrong hands.

[RenewableCandy]

Meanwhile, back at the buildings:
EDF cuts spending on planned Hinkley nuclear power plant

[alex]

There are loads of reports all around the same thing, being the "Strike Price"

In fact so repetitive I've simply scanned my eye over them.

However, this one by >> ROBERT PESTON B.B.C. << Is the best summation I've seen on this.

Alex

[biffvernon]

The company has been spending around £1m a day on the project. So far Hinkley C is thought to have cost around £1bn.

They've grubbed up some trees and bushes. What else? And how many wind turbines do you get for a billion pounds? I told them it would never be built so they could have saved themselves a billion if they'd listened to me.

[alex]

The company has been spending around £1m a day on the project. So far Hinkley C is thought to have cost around £1bn.

They've grubbed up some trees and bushes. What else? And how many wind turbines do you get for a billion pounds? I told them it would never be built so they could have saved themselves a billion if they'd listened to me.

Quite.....

You should have charged them a £-million for that observation perhaps on a consultancy basis.

Sadly there are loads of business in the supply chain who are depending upon this, and it seems some of them have already invested/borrowed in anticipation of the build going ahead.

Alex

[Pepperman]

The company has been spending around £1m a day on the project. So far Hinkley C is thought to have cost around £1bn.

And how many wind turbines do you get for a billion pounds?

This is what I was thinking. They could have installed half a gigawatt of domestic PV just for the amount they've spent on planning this project. It's probably closer to 800MW of utility scale solar and maybe 300 to 500MW of wind?

[adam2]

The company has been spending around £1m a day on the project. So far Hinkley C is thought to have cost around £1bn.

And how many wind turbines do you get for a billion pounds?

This is what I was thinking. They could have installed half a gigawatt of domestic PV just for the amount they've spent on planning this project. It's probably closer to 800MW of utility scale solar and maybe 300 to 500MW of wind?

Good point.
Wind would arguably have been better since it produces more in the winter.
Either would have produced useful electricity, the money spent so far on Hinkley has of course produced nothing.

[Pepperman]

And will produce nothing until the early 2020s at the absolute earliest if everything goes perfectly to plan, which of course it won't.

[RenewableCandy]

I'd love to see an intemised account of where that million per day/billion altogether, has gone.

[kenneal - lagger]

How much on lobbying, I wonder?

[emordnilap]

Weighing in across the water.

[RenewableCandy]

That's a point: probably all of it. Thus, number of local jobs created = 0.

[alex]

I wonder if perhaps we are part of a huge scam?

This is from the Guardian. Pay particular interest to the bits I've underlined.


The chances of a state-owned Chinese company becoming involved in Britain's nuclear programme have moved a step forward with EDF of France signing a new co-operation deal with China Guangdong Nuclear Power Holding Co.

Amid repeated speculation that the Beijing-based CGNP might become an investor in EDF's potential new reactors at Hinkley Point in Somerset, the new deal made specific mention of "co-operation in future international projects".

EDF declined to comment on whether the CGNP could replace Centrica, which withdrew from the Hinkley project in February, saying it needed to complete negotiations with the British government on financial support first.

"We are still in discussions [with the Department of Energy and Climate Change and the Treasury] over contracts for difference and a successful conclusion is the key to looking for new future investors," said an EDF spokesman.

EDF originally hoped to press the button on a new generation of nuclear reactors in Britain before the end of last year but talks with the government have become increasingly fraught with no breakthrough in sight.

The firm has seen the cost of other newbuild projects soar through delays and technical hitches and wants to insulate itself against risks at Hinkley by obtaining commitments from Britain to pay more than £100 a megawatt hour for up to 40 years. The government, which has promised there would be no subsidies for new nuclear power stations, is determined to keep the level well below £100.

Both EDF and the DECC insist the discussions are still moving forward and they remain optimistic that a deal can be done, but privately there are admissions on both sides of the argument that a breakdown of talks would not be disastrous for either.

EDF has its own financial issues to worry about as it is struggling with €40bn (£34bn) of debt. The UK government, meanwhile, is aware that energy security – if not carbon emission targets – might be met more cheaply by gas-fired power stations which can be constructed quicker. The Hinkley Point reactors would cost an estimated £14bn to build.

Any decision by EDF to bring in a Chinese partner would worry some politicians who have raised questions about the security implications of China gaining access to Britain's strategic energy assets.

But a DECC spokesman pointed out that the chancellor, George Osborne, was keen for Beijing to invest in British infrastructure. The spokesman said: "The UK welcomes global investment into the energy sector. Any company operating in this sector will need to meet all necessary safety and security standards."

[adam2]

Yes indeed, there was an interesting piece on Radio 4 Today Programme about it. It included the quote:

Mr Schneider said that EDF with debts of €39bn (£33.3bn) might not have the cash to put into Hinkley and added: “It’s not certain it will go ahead.
"There are a long list of issues that need to be agreed, not only the strike price. Even if there is an agreement the financing package has to be put together. It’s a very long-term investment of very uncertain levels of realisation.”

I've said all along that Hinkley C will never be built. Such a shame they cut the trees down.

We need building timber and firewood.
More trees can be planted.
If we plant enough trees and harvest them for firewood, then we wont need to import as much gas and electricity.
And BTW, the proposed power station has created a local job, maybe several. The increased demand for taxis for travel to and from Hinkley has resulted in more employment for taxi drivers, and the granting of additional licences.