nuclear-news

Report: £40bn in savings, if UK scrapped Hinkley nuclear, and went for renewables instead

The report says that at £24bn, Hinkley Point C would be the “most expensive building on Earth”, and argues that the new reactors would pass not just economic costs to future generations, but the burdens of nuclear waste and climate change because nuclear is not quick enough to build at scale to stave off dangerous global warming

Scrapping Hinkley for renewable alternatives would save ‘tens of billions’
Solar and wind would generate the equivalent power to Hinkley over the plant’s planned lifetime for £40bn less, says analysis comparing future costs, Guardian, Adam Vaughan, 5 Apr 16, Scrapping plans for new nuclear reactors at Hinkley Point in Somerset and building huge amounts of renewable power instead would save the UK tens of billions of pounds, according to an analysis that compares likely future costs.

The Intergenerational Foundation thinktank calculated that Britain would pay up to £40bn less for renewable alternatives that would generate the equivalent power to Hinkley over the plant’s planned lifetime.

A final investment decision by EDF on the nuclear power plant’s expansion is expected in May. The deal involves the government committing £92.50 per megawatt hour over 35 years for its electricity output, more than twice the current wholesale price.

But a report published on Tuesday by the thinktank, which campaigns on fairness between generations, found that onshore windfarms would cost £31.2bn less than Hinkley, and solar photovoltaic power £39.9bn less over 35 years to build and run. The estimate is based on both the value of subsidies paid by the taxpayer for the electricity and the cost of building the infrastructure.

The analysis is based on the government’s ‘contracts for difference’ subsidy levels for the technologies and projections by Bloomberg for how the cost of wind and solar power will fall in the future.

Andrew Simms, one of the report’s co-authors, said: “The government’s current plans for new nuclear power will break spending records, and pass both high costs and large, unknown economic risks onto every UK child for generations to come.

But, readily available, cheaper, safer and quicker renewable energy options would help Britain live both within its economic and environmental means, while also protecting and providing for future generations.”

The report says that at £24bn, Hinkley Point C would be the “most expensive building on Earth”, and argues that the new reactors would pass not just economic costs to future generations, but the burdens of nuclear waste and climate change because nuclear is not quick enough to build at scale to stave off dangerous global warming………

Renewable power has grown in the UK to the point where more electricity was generated from biomass, wind, hydro and solar power in 2015 than nuclear power stations. But it is unlikely the Intergenerational Foundation’s report will shift minds in government, which has cut subsidies for both solar and wind power while pressing ahead with the Hinkley project.

The analysis assumes the level of subsidy for solar and wind under the contracts for difference subsidy regime would remain constant, though in reality this would likely decrease as more capacity was built……. http://www.theguardian.com/environment/2016/apr/05/scrapping-hinkley-for-renewable-alternatives-will-save-tens-of-billions

April 6, 2016 - Posted by Christina Macpherson | business and costs, renewable, UK