nuclear-news

The potential for political conflict has been highlighted by Nick Butler, the former Downing Street energy policy director. He wrote in a recent Financial Times blogpost  that Chinese involvement in the UK energy business could be a concern: “They will be inside the system, with access to the intricate architecture of the UK’s National Grid and the processes through which electricity supply is controlled, as well as to the UK’s nuclear technology.”

Chinese nuclear companies would be using western nuclear technology in the UK, such as reactors designed and manufactured by Areva and Westinghouse, with their involvement focused on the construction and running of power stations.

The British government says the Horizon deal is a matter for the owners, Eon  and RWE , the German utilities. However, some UK officials are closely involved and are aware that any bid would have to be acceptable to politicians and the ­public.

This sensitivity explains why officials would prefer the Chinese bidders not to hold majority equity stakes in Horizon and have ensured that they have partnered with companies from other countries. Yet the billions of pounds required to fund the construction of new nuclear plants – likely to come from Chinese lenders – means that in reality the successful consortium could be dominated by Beijing.

“They really are desperate to get this deal off the ground,” said one person familiar with the talks. “If the Chinese are the only option then they have no choice, but that doesn’t mean people aren’t uneasy.”

That sense of urgency reflects the growing doubts about the slow progress of the entire programme to replace Britain’s fleet of ageing reactors…. http://www.ft.com/intl/cms/s/0/63f4efbe-e7b0-11e1-95e1-00144feab49a.html#axzz247TppAH8