12 Jul 11

Reforms will transform market, deliver stability and protect customers from volatile fossil fuel prices, says EDF Energy

White Paper will trigger much needed investment and limit the cost of renewing UK infrastructure

EDF Energy said publication of the Government’s Electricity Market Reform White Paper balances the needs of customers, policy makers and investors in a strategy to deliver secure, clean and affordable energy.

Chief Executive Vincent de Rivaz said that the policy decision in today’s White Paper establishes the framework for investment in low carbon generation. That will protect British consumers from fossil fuel prices driven upward by global events outside their control.

He said:

"Today’s White Paper gives Britain more control over its energy future. This will transform the market and ensure customers will benefit from stability, security, affordability and predictability.

"Current UK electricity prices are driven by volatile fossil fuel prices, which are subject to global events outside Britain’s control. As a result, the country is exposed to spiraling energy costs. We need a more balanced mix of energy generation.

"Today’s announcement puts customers’ needs at the heart of the market.

"It encourages investment in generation which is both low carbon and not dependent on fossil fuel prices. This is good news for customers, policy makers and investors.

"As Secretary of State Chris Huhne MP said last week, greater investment in low carbon generation can provide stability and protect customers from volatile fossil fuel prices.

"Trust is the essence of a healthy market. Therefore it is important to continue to have a dialogue about energy costs. Consumer bodies, the regulator, industry and Government need to work together to build understanding. Renewing Britain’s ageing energy infrastructure will have a cost. Electricity Market Reform means that cost will be kept to a minimum.

"There is widespread agreement on the need for change. We now need to continue to work to make sure the White Paper becomes legislation as soon as possible."

EDF Energy plans to build four new nuclear power stations in the UK with its partner Centrica.

We also plan major investments in renewables and we are completing a state of the art gas plant. We are also investing hundreds of millions of pounds in energy efficiency and customer service systems.

EDF Energy’s plans for new nuclear will provide enough electricity for 40% of the UK’s homes. The project will unlock billions of pounds of investment, creating thousands of jobs and major opportunities for UK plc.

The company continues to progress with the project to deliver new nuclear safely, including working with the community on the consent process, completing the reactor licensing, working with the supply chain on the business opportunities and liaising with schools and universities on the jobs we will be offering.