Baroness Parminter
Main Page: Baroness Parminter (Liberal Democrat - Life peer)
Baroness Parminter
I add my thanks to the noble Viscount, Lord Hanworth, for posing this important Question. I would contend that the complexity and, indeed, the continually rising costs involved in building nuclear reactors and in putting in place appropriate safety, waste management and decommissioning arrangements will limit the role that nuclear energy can play in helping the UK to meet its essential climate change and energy security goals. I have three principal concerns, to which my noble friend Lord Giddens referred.
First, I agree with my noble friend about the costs of new build. He referred to the costs of the proposals in Finland and France. I would add to that the costs of dealing with existing waste. Decommissioning of the UK’s civil nuclear facilities—principally Sellafield and Dounreay—is estimated at being in excess of £86 billion and is expected to rise. By contrast, as observed by the Economist in its recent study on nuclear, the costs of many renewable energy technologies are falling fast.
Secondly, there is the issue of waste. Despite 60 years of civil nuclear expertise, there is still no long-term solution for storing high-level radioactive waste.
Thirdly, there is the issue of accidents—again, referred to by my noble friend Lord Giddens. With corporate liability limitations, it is the British taxpayer who is liable for the clean-up of any major nuclear accident. As the total clean-up costs for the Fukushima nuclear accident are likely to top £160 billion, it is clear that if the nuclear industry had to insure itself properly, its electricity would be unaffordable.
The noble Viscount mentioned the recent report of the House of Commons Energy and Climate Change Committee on nuclear power in the UK. It concluded that the failure to deliver nuclear new build does not pose a significant threat to our energy security. A viable and sustainable option to deliver a successful and cost-effective decarbonisation of the UK’s power sector by 2030 is an increased deployment of renewable energy technologies coupled with a greater focus on improving energy efficiency. Increasing the UK’s interconnection with European grids must also be a priority, with gas playing a role as a transitional and system-balancing fuel.
In conclusion, I shall ask the Minister two questions: first, when do the Government expect a decision on whether the current electricity market reform proposals are illegal state aid under EU law, given that tendering for nuclear electricity does not fulfil the requirements of Directive 2009/72, Article 8? Secondly, following the decision of Cumbria County Council, what plans do the Government have for locating an affordable, long-term solution for UK nuclear waste?