nuclear-news

UK: big talk about small nuclear reactors, but not much is happening, really.

“……………………………….Graham Stuart, now a Minister of State at the new Department for Energy Security and Net Zero…..-  ‘what I can say is that we are absolutely committed to nuclear as a significant share of our electricity because we need that baseload and are committed to driving it forward.’ 

So that’s a positive ‘go’ signal, although funding is still a major problem, and, despite much talk, progress on the proposed  ‘24 GW of nuclear by 2050’ programme seems to have slipped behind. 

  As NuClear News 141 reported, at the end of November last year, the Government was said to be about to announce proposals to set up a new body called Great British Nuclear (GBN), which would develop a network of small modular reactors (SMRs), as well as promote new large reactors. Grant Shapps, the Business Secretary, was due to make the announcement on 29th November. But it was delayed because of a row with the Treasury over funding. 

And by January, The Times was reporting that a deal on SMR funding was unlikely to materialise for at least another 12 months. A senior government source said the Treasury would not sign off on any orders or significant funding for SMR work until the technology had approval from the Nuclear Regulators Generic Design Assessment, which was not expected, until 2024. 

In addition to the proposed Rolls Royce SMRs, four of which are planned initially, several other SMRs are also now in the race for UK deployment, some from overseas.  They include GE Hitachi’s 300MW boiling water reactor, and Holtec’s 160MWe pressurised water reactor, developed in collaboration with Mitsubishi and Hyundai. The USA’s NuScale, the most advanced project so far, has also expressed interest in UK sites for its mini PWR. 

Potential UK sites for new SMRs include Trawsfynydd in Wales and  Heysham and Oldbury in England, but, given the funding issues, it will evidently be a while before anything happens on SMRs, or indeed, in terms of new larger projects, after Sizewell C. Though some help with funding may yet be on hand.  According to the Telegraph, nuclear projects may soon to be classed as ‘green’ or ’sustainable’ investments, clearing a way for more institutional investors and environment-focused funds to back them. The Telegraph says there are also hopes that use can be made of the Government’s green gilts green savings bonds. 

Is nuclear really green? Not many greens think so, and given the risks, costs and delays associated with it, nuclear is often not popular with investors. There have been some delays with the only currently live new projects in the UK, the Hinkley Point C EPR being built by EdF, although nothing so far on the decade-long delays with the ongoing EPR projects in France and Finland. EDF now say the Hinkley EPR should start up in 2027. However, to be on the safe side, the deadline for starting up its major CfD payment (after which, under the contract rules, it would not be eligible for CfD payments) has been extended to 2036 from 2033. 

…………………….. EDF has recently admitted that Hinkley Point C final cost is likely to be £31-32bn, up from the £18 bn estimated initially. Sizewell ought to benefit from construction lessons learned from Hinkley, but, although RAB pushes the financial risks onto consumers, there are still many investment uncertainties about the project.    

Finance may be a key issue for EDF in the UK, but it is if anything even more of an issue for it in France, where it is facing major problems, with a huge repair bill and loss of income as plants are shut for safety checks and power has to be imported. As a result, with energy security being a key issue these days, nuclear no longer looks reliable. ………………………

With a handful of other nuclear projects being considered around the world, including some SMRs, and Russia and China also pressing ahead with larger plants, the UK isn’t the only country with ambitions for nuclear expansion. However, globally, the likely scale of nuclear expansion is relatively small in total, compared with the vast scale and rapid pace of renewables expansion.

Over 3000GW of renewables are already in place globally, compared to only 394 GW of nuclear, with wind and solar now romping further ahead around the world. By 2050, the BNEF says the global power system will be dominated by wind and solar (75% of production), with nuclear at just 9%, down from 10% now. If it makes it to 24% nuclear by then, the UK will be a bit of an outlier.   https://renewextraweekly.blogspot.com/2023/02/uk-nuclear-news.html

February 27, 2023 - Posted by Christina Macpherson | Small Modular Nuclear Reactors, UK