nuclear-news

UK’s Hinkley Point nuclear plans could be derailed by France’s probe into EDF

Reports: EDF inquiry could disrupt UK nuclear plans Financial Times suggests investigation could complicate strike price negotiations and unsettle investors
 BusinessGreen  03 Jan 2013   The UK’s ambitions for a new fleet of nuclear reactors could be disrupted by a French government probe into state-owned generator EDF, whose UK arm is currently in negotiations to build a £14bn nuclear plant at Hinkley Point in Somerset.
The formal inquiry established in the last days of 2012 is billed as an industry-wide investigation, but French media are reporting it is specifically focused on EDF and its relationships with China.
The Financial Times said yesterday that the inquiry casts doubt over the future of EDF chief executive Henri Proglio, who has been unable to replicate the close relationship he enjoyed with former President Nicolas Sarkozy with his successor, François Hollande. , observers are concerned the probe could have a knock-on effect on EDF’s stance towards building a new reactor at Hinkley Point, especially if the French government decides it should not take the risk of subsidising UK energy consumers. Any shift in EDF’s position would further complicate ongoing negotiations with the UK government over the level of subsidy, or strike price, that will be provided to support the Hinkley Point plant.

Last year, it was reported EDF Energy was looking for a payment of between £100 per megawatt hour (MWh) and £140/MWh to go ahead with the plant and that a final investment decision had been delayed from the end of 2012 to April 2013….. http://www.businessgreen.com/bg/news/2233578/reports-edf-inquiry-could-disrupt-uk-nuclear-plans

January 4, 2013 - Posted by Christina Macpherson | France, politics international, UK