Sizewell C nuclear power station, thrown into doubt as China ponders pulling out of £20bn project
China is considering pulling out of the Sizewell C nuclear plant in a move that throws the future of the project into doubt.
The country’s nuclear agency, China General Nuclear Power (CGN), is planning to duck out of the next phase of the £20billion project, claim industry sources.
CGN holds a 20 per cent stake in the Suffolk plant and has spent years developing it with French energy giant EDF.
China’s nuclear agency, China General Nuclear Power CGN, is planning to duck out of the next phase of the £20bn Sizewell C nuclear plant project, claim industry sources
The agency has not revealed how much it has invested in the Sizewell C development phase, though it is estimated to be hundreds of millions.
Its departure at the construction stage could leave a huge hole in the project’s funding – and could deal another body blow to the Government’s energy strategy.
The reports come as tensions between London and Beijing have flared since the Government’s decision to exclude Huawei’s equipment being used in new 5G networks.
The recent clampdown on foreign investment and takeover rules have also added to the hostility.
An industry source said: ‘If the UK were to lose Chinese know-how in nuclear it would be a shame given their expertise in building and operating the reactors that would be used at Sizewell C.’
Sizewell C would be a near- replica of Hinkley Point C in Somerset and could meet around 7 per cent of the UK’s power demand when it comes into service in the early 2030s.
EDF submitted proposals for Sizewell C in 2012 and CGN signed on as a partner in 2016.
The pair are also working together on Hinkley Point C and on plans for another plant in Bradwell, Essex.
They had been hoping to start building Sizewell C in early 2022. It is estimated the plant could create 25,000 jobs and the Sizewell C consortium, a group of businesses and unions, have said it is crucial for supporting the nuclear industry’s supply chain and preserving skills learnt at Hinkley Point C.
The Government is under pressure to unveil a detailed strategy for the nuclear industry as a number of plants come offline in the early 2020s amid fears the UK could suffer blackouts by the early 2030s.
Ambitious plans have so far fallen flat and of six sites earmarked for new sites to replace the ageing nuclear fleet more than a decade ago only one, Hinkley Point C, is being built.
The latest of a string of setbacks came in September, when Japanese group Hitachi pulled out of the Wylfa project on Anglesey in North Wales.
The Government committed to building new nuclear plants in its recent Ten Point Plan, but the industry is hoping for more details to be laid out in the upcoming Energy White Paper.
Industry sources said this is due to be published on Monday – but could leave out specific plans for Sizewell C. CGN and EDF declined to comment.