nuclear-news

Government U turn as Sizewell B is to  get a fixed-price government contract.

 Government awards the last UK nuclear power station a fixed power
contract, backing away from its shift towards a new model of funding.

The UK energy department has extended the life of the Sizewell B nuclear power
plant in Suffolk by 20 years with a fixed-price government contract, after
energy price shocks following the war on Iran.

Chancellor of the Exchequer,
Rachel Reeves, called the nuclear power project “a vital part of
Britain’s energy future”. French project owner EDF said it has secured
a 20-year fixed price power contract from the UK government that will last
from 2035 to 2055.

Previously EDF had planned to commence decommissioning
of the plant in 2035. The French power company said it is “funding a
refurbishment of the nuclear power station during planned outages over the
next fifteen years, costing around £800 million”.

British Gas owner Centrica also said it is investing an undisclosed amount in the extension
of the 1.2 GW operational nuclear power project in Suffolk. It is the first
time that the Sizewell B nuclear power project will operate under a fixed
government power contract, priced at £70.50 per megawatt, after delayed
project Hinkley Point C was awarded such a contract a decade ago.

The energy department has since moved to shift nuclear power projects onto a
regulated asset base (RAB) structure for funding, the model that will be
used to finance Sizewell C at the Suffolk coastal site, a replica of yet to
be finalised nuclear power station Hinkley Point C in Somerset.

 Energy Voice 8th July 2026,
https://www.energyvoice.com/renewables-energy-transition/600397/government-u-turn-as-sizewell-b-is-first-nuclear-plant-to-get-cfd/

July 15, 2026 - Posted by Christina Macpherson | business and costs, politics, UK