nuclear-news

German utility E.ON gives up plan to set up anew nuclear company, in view of new liability law proposed

E.ON Faces Massive Loss After Scrapping German Nuclear Spinoff
Utility said it would post a hefty net loss this year after booking billions of euros in impairments, WSJ,  MONICA HOUSTON-WAESCH and FRIEDRICH GEIGER Sept. 10, 2015  BERLIN—E.ON SE will post a massive loss this year after ditching plans to unload its German nuclear operations into a new company, in a nod to government proposals to saddle utilities with liabilities related to nuclear energy.

E.ON expects to book impairment costs this quarter of as much as €9 billion ($10 billion), triggering a multibillion-euro loss. Its shares plunged to an all-time low on Thursday, dropping 6% to €9.09.

The German utility had planned to move its nuclear operations into Uniper, a company being established to operate conventional power, trading, exploration and production. The spinoff will proceed but without German nuclear activities, said E.ON, which also has Swedish nuclear operations……..

E.ON’s decision was prompted by government proposals for legal changes that would make utilities permanently liable for the costs of nuclear waste and plant decommissioning……..

E.ON now plans to bundle its German nuclear operations into an independent unit within E.ON. Its Swedish nuclear operations will be spun off into Uniper as planned……http://www.wsj.com/articles/e-on-drops-plan-to-spin-off-german-nuclear-plants-1441865094

September 11, 2015 - Posted by Christina Macpherson | business and costs, Germany