Energy: Nuclear Power

Lord Foulkes of Cumnock Excerpts

Thursday 29th November 2012 Lords Chamber

Asked By

[Lord Foulkes of Cumnock]

To ask Her Majesty’s Government what contribution they propose nuclear generation should make to a balanced energy policy.

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

My Lords, the long-term vision for electricity market reform is of a market where low-carbon generators compete fairly under a robust carbon price. New nuclear should be able to contribute as much as possible to the need for new capacity within that framework. Last month, the Government welcomed Hitachi’s purchase of Horizon Nuclear Power for £700 million in a deal that will help to meet energy security and decarbonisation objectives, and bring massive economic benefit. This demonstrates confidence in our new nuclear policy.

[Lord Foulkes of Cumnock]

First, I thank the Government for publishing their Energy Bill to coincide with my Question. Does the Minister agree with me that, with the imminent rundown in our current generation and the inability of renewables to provide base-load generation, new nuclear is absolutely vital? Although some companies have announced their intention to go ahead with new nuclear, there have not been any go-aheads yet. Will the Government, as soon as possible, announce an agreement on pricing so that new nuclear can start as quickly as possible?

[Baroness Verma]

My Lords, the noble Lord of course knows that we are very keen to ensure that we have a diverse energy mix, and part of that will be new nuclear. He also knows that some processes take a little longer than others. However, new nuclear will help to diversify our electricity supply. Each nuclear power plant will be able to give reliable base-load electricity to around 6 million homes per year. We look forward to working alongside all our energy providers, including nuclear.