Energy: Nuclear Power

Lord Davies of Stamford Excerpts

Tuesday 29th May 2012 Lords Chamber

Asked By

[Lord Davies of Stamford]

To ask Her Majesty’s Government how many nuclear power stations they intend to see built, for what capacity and over what timescale.

[The Parliamentary Under-Secretary of State, Department of Energy and Climate Change (Lord Marland)]

My Lords, the Government have identified eight sites as potentially suitable for new nuclear power stations. The nuclear power industry has set out plans to develop up to 16 gigawatts of new nuclear power in the UK by 2025. Two consortia are committed to plans to build up to 10 gigawatts of new capacity. We believe that the UK is an attractive place to develop new nuclear.

[Lord Davies of Stamford]

My Lords, there has been a large measure of bipartisanship on this issue since the 2007 White Paper—which is a good thing, because long-term investment clearly requires a long-term investment framework. However, was not that Answer somewhat complacent? The Minister did not say that we are only 10 years away from the date when we were supposed to replace all the AGRs and that not a single firm commitment has been made to build a single station. He also never mentioned that two of the most promising investors—E.ON and RWE—have just pulled out. Is it not time for the Government, including the Prime Minister and the Chancellor, to display a greater degree of urgency on this matter? Do they not also need to take a slightly more pragmatic and flexible view of financial models and counterparty arrangements, including arrangements that might be necessary although they are contrary to the coalition agreement?

[Lord Marland]

My Lords, I should like first to thank all noble Lords for their support for the nuclear endeavour—it has been cross-party, as the noble Lord mentioned. I was not quite sure whether the noble Lord was not attacking his own party, because we have had 13 years of no activity in new nuclear. It has been 27 years since a new nuclear power station has been commissioned. We are on the cusp of commissioning a new station in this country, at Hinkley Point. By December 2012, despite all the difficulties that we have encountered with Fukushima and things like that, the planning process will be before the Secretary of State for him to opine on.