EDF Energy response to the Energy and Climate Change Committee report on Building New Nuclear
Today’s report from the Energy and Climate Change Committee makes it clear that new nuclear power stations are essential if the UK is to meet climate change targets in the most cost effective way.
EDF Energy has a project for two new reactors at Hinkley Point C which is ready for delivery. The project has a stable and approved design with known costs. Cost estimates given to the UK government already include the lessons learned from the construction at Flamanville in France. They also allow for the specific conditions at Hinkley Point C and in the UK, including engineering, site and labour costs for the first UK nuclear build since 1995.
The project has made very significant progress in recent months, notably with the granting of the reactor design approval by joint regulators and the award of the site license. A planning decision from the Secretary of State is due by March 19.
The committee supports the use of “Contracts for Difference” to make new nuclear possible.
The Government and EDF Energy are working together to agree a price for the electricity through a Contract for Difference at Hinkley Point C which will be fair and balanced for UK consumers and investors.
Agreeing this contract is the key to attracting investors and to unlock funding for this project which will give the UK the secure, low carbon energy it needs for the future. The government can act now to deliver new nuclear in time to avoid the need for a back-up plan.
When the Contract agreeing a price for the electricity is published, it will show in a transparent way that new nuclear is competitive with all other forms of low carbon energy, and good value for consumers – satisfying a key recommendation made by this cross-party committee of MPs.
EDF Energy has assembled a world-class team of 800 people with global nuclear expertise to build a project in Somerset as big as the Olympics. The company has made it clear it is not asking British consumers to take on any construction risk cost at Hinkley Point C.
The benefits to the UK economy will be enormous in jobs, skills, taxes and in strengthening British industry. Hinkley Point C has the potential to employ 25,000 people during its construction and to have a lasting impact on the UK’s industrial capability.
You can access the full report via the following link