Draft Contracts for Difference (Definition of Eligible Generator) (Amendment) Regulations 2026

Andrew Bowie Excerpts

Tuesday 7th July 2026 General Committees

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

It is a pleasure to serve under your chairmanship, Mr Wishart, and not for the first time. It brings me back to those happy, heady days of the Scottish Affairs Committee 2021-22, when it was a joy to serve under your chairmanship.

Using the powers designated under the Energy Act 2013 to amend the contracts for difference regulations, as the Minister eloquently set out, this instrument brings lifespan extension for nuclear power generators into scope for contracts for difference. Last year, France approved extending the lifespan of 20 nuclear reactors to 50 years. The UK, by contrast, extended the lifespans of advanced gas-cooled reactors Heysham 1 and Hartlepool until 2028, and Heysham 2 and Torness to 2030. That is welcome, but as our nuclear fleet ages, it will be necessary to extend the lifespan of existing nuclear power by considerably more. The stable baseload and clean power are essential to our energy mix, and we support extensions to keep this reliable generation on our system.

The Department’s note on this instrument acknowledges that the existing nuclear fleet provides

“a significant proportion of firm, low-carbon electricity generation, contributing to energy security and system resilience”.

I could not agree more, which is why as the nuclear Minister in the last Conservative Government, I announced our intention to build a new nuclear power station at Wylfa—a project which this Government have effectively cancelled; in addition, their lack of commitment to new gigawatt-scale nuclear is disappointing. Our ambition was to generate 25% of British electricity, 24 GW, from nuclear by 2050, but that has been overshadowed by the current Department’s obsession with renewables over everything else.

The Government know that nuclear generation is the right thing to do. I know the Minister knows this too, so why will they not give a commitment to new, large-scale nuclear in this country? The Conservatives have set out a clear plan for cheap energy in which new nuclear is a vital component. We would make it easier and cheaper to build new nuclear, removing habitat regulations and prohibitive environmental impact assessments. What is Labour’s ambition for nuclear?

Given the importance of nuclear power to our energy security and stability, we absolutely welcome those limited measures to keep reliable power on the grid, but the Minister will have noted our serious concerns about the contracts for difference scheme—a fixed price, long-term, inflation-linked mechanism that locks consumers into higher prices for longer. We have already seen that in the eyewatering prices offered to offshore wind, in particular in allocation round 7.

This amendment to the eligibility criteria facilitates future awards to nuclear generators, which is fine, but it does not oblige a CfD to be awarded to an individual plant. How can the Minister assure us that steps will be taken to keep costs as low as possible, and that we will not be locked into high prices just to keep these plants online? Will the Minister reconsider the attitude to new nuclear and signify to the industry that Great Britain is ambitious when it comes to gigawatt-scale generation? Will he commit to a third gigawatt-scale reactor on the completion of Sizewell C later in the next decade?