Theresa May’s decision to approve the construction of the £18bn Hinkley Point power station opened the door to China taking a large stake in generating Britain’s nuclear energy.
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Now we’ve witnessed costs spiral out of control, the cost to the consumer rise from £6 billion to £30 billion according to the NAO and the Government offer taxpayers’ money on a plate to EDF.
As for the Bradwell project, the official spokesman said that it has always been a component of the Hinkley deal, which has not changed. Critics have questioned whether foreign governments should be allowed to invest in and build critical infrastructure in the United Kingdom such as nuclear power stations.
Mrs May, who became Prime Minister after the Brexit vote, stunned investors by putting the nuclear project on hold in July – just hours before a contract was due to be signed – saying that she needed time to assess all aspects of the project, including national security concerns.
The statement said the government would be able to stop the sale of EDF’s controlling stake before completion, without the prior notification and agreement of ministers.
Hinkley Point would produce around seven per cent of the UK’s energy while Sizewell and Bradwell would provide a further 12 per cent between them, potentially giving the Chinese involvement in almost one-fifth of the country’s electricity generation.
The UK government on Thursday approved a £18 billion ($24 billion) French-Chinese investment to build the Hinkley Point C nuclear power plant in southwest England, claiming it “imposed significant new safeguards for future foreign investment in critical infrastructure”, Kallanish Energy reports.
There was particular condemnation of the price tag for the Hinkley Point scheme, which could cost the taxpayer £30bn in subsidies over 35 years.
The revised agreement didn’t change one of the main criticized points of the deal: the £92.50 per megawatthour (MWh) strike price guaranteed by the government.
It will generate up to 3.2 gigawatts of electricity, enough to charge 640 million iPhones at once. At its peak, 5,600 people will work on site, while the finished plant will employ 900 people.
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Environmental groups, however, have called the amendments “hot air”. “That’s why the government should start supporting renewable power that can come online quickly for a competitive price”. “Instead it seems that Hinkley became too big to fail”, said Mr John Sauven, executive director of Greenpeace UK. “This marks a major milestone in Franco-British industrial and energy cooperation”, French Finance Minister Michel Sapin said in a statement.
