By Susanna Twidale LONDON (Reuters) -Britain will invest 14.2 billion pounds ($19.25 billion) to build the Sizewell C nuclear plant in southeast England, the government said on Tuesday, as part of its
UK Government to Boost Sizewell C Nuclear Project with £14.2 Billion Investment
By Susanna Twidale
LONDON (Reuters) -Britain will invest a further 14.2 billion pounds ($19.25 billion) to build the Sizewell C nuclear plant in southeast England, the government said on Tuesday, as part of its wider spending review which will define its priorities over the next four years.
Britain is seeking to build new nuclear plants to replace its ageing fleet to boost its energy security, reach its climate targets and also create new jobs.
The funding announced on Tuesday takes the total amount the government has committed to the project to 17.8 billion pounds, with 3.6 billion pounds invested prior to the spending review.
"This Labour Government is launching a new era of nuclear power here in Britain," Chancellor Rachel Reeves told a trade union conference on Tuesday, calling the investment the biggest rollout of nuclear power in a generation.
The Sizewell C plant in Suffolk is expected to create around 10,000 jobs during the peak of construction, and produce enough electricity to power around 6 million homes when built.
Britain has been seeking to bring new investors into the project but Tuesday's announcement did not mention any other parties.
The government has not said how much the project is expected to cost in total or given a date for when it is expected to be completed.
"With the continued secrecy about Sizewell C's total cost, how can voters decide whether the 18 billion pounds pledged to Sizewell C is a good use of their money?" said Alison Downes of campaign group Stop Sizewell C.
It would be only the second new nuclear plant built in Britain in more than two decades, after French state-owned EDF's Hinkley Point C which has had several delays and cost overruns and is currently expected to start operations in 2029, with an estimated cost of between 31 and 34 billion pounds at 2015 prices.
EDF initially said Sizewell C would be around 20% cheaper than Hinkley C.
Simone Rossi, CEO of EDF in the UK welcomed the British government's decision to go ahead with Sizewell C and said: "It is also a vote of confidence in Hinkley Point C, which has re-started the UK nuclear industry and built the experience and skills that will benefit Sizewell C."
Sizewell C was originally being developed by EDF and China's General Nuclear Power Group but the government bought out the Chinese firms stake in 2022 amid security concerns.
The UK government's stake was 83.8% and EDF's stake was 16.2% at the end of December, EDF financial results showed in February with EDF's stake expected to decrease following Tuesday's announcement.
The project's developer last December told Reuters there were five investors involved in a bidding process.
($1 = 0.7378 pounds)
(Reporting By Susanna Twidale; additional reporting by Forrest Crellin in Paris, William James and Sachin Ravikumar in London, editing by Susan Fenton and David Evans)
