Small Modular Reactors

Trudy Harrison Excerpts

Wednesday 20th February 2019 Westminster Hall

[Trudy Harrison (Copeland) (Con)]

I beg to move,

That this House has considered small modular reactors.

It is an honour and privilege to serve under your chairmanship, Mr Paisley. This debate is so important for my constituency, the nuclear industry, the country and—if we are going to slow down the rate of climate change—our planet. The three parts of the energy trilemma are reducing carbon emissions, securing the supply of power and ensuring affordability. The Inter- governmental Panel on Climate Change reports that, if we are to slow down the rise in global temperatures this century, nuclear will feature as a hearty part of the energy mix.

Government have recognised that. It is this Government who are investing in nuclear new build. It is this Government who have begun investing in the technology advances of small modular, advanced modular and nuclear fusion innovation, in partnership with industry. And it is this Government who have ensured, as we leave the European Union, that the necessary non-proliferation nuclear safeguard regimes are in place and that we will be able to operate internationally, under the roof of the Office for Nuclear Regulation, which also has responsibility for safety and security. The industrial strategy and the nuclear sector deal are great policy advances, but I ask my hon. Friend the Minister to tell us, in his response to the debate, what is being done to promote policy to progress.

More wind farms—on and offshore—and the abundance of solar panels mean that, in addition to much more, intermittent renewable energy, reliable low-carbon nuclear is needed to make the UK energy system secure and affordable. During the long dark hours without any sun, or when the wind is not blowing and the blades do not turn, we can all depend on fission—on the splitting of atoms—to heat water, to create steam, to turn the turbine that generates electricity, which is then transmitted on our national grid, and to provide baseload power and the potential for district heating—24 hours a day and 365 days a year, for up to 60 years.

There is a demonstrable need for clean, low-carbon electricity now and long into the future. The anticipated requirement for electric vehicles alone could reach additional capacity of 18 GW by 2040. And in Copeland we have an indisputable capability. Nowhere else in Europe could there be found such a concentration of knowledge and skills, yet we face an uncertain future. First it was Moorside, and then Wylfa: the headlines have not been positive for new nuclear, despite significant Government efforts and financial incentives.

Economies of scale, based on the size of a reactor, have been, at least until very recently, widely regarded as the most cost-effective method of development, but the “bigger is better” argument may well be contested by small modular reactors. Calder Hall, which began construction in 1953 in my constituency, generated electricity from 1956. It was officially opened by the Queen in 1957 and consisted of four 50 MW Magnox reactors, which transmitted electricity on to the national grid for 47 years, until 2003. Today, we are desperately fighting to get a whopping 3.4 GW power station over the line. Moorside—the proposed new generation III nuclear power station, which is to be built adjacent to the Sellafield site—has been beset by a range of ongoing problems over many years.

Following what happened at Fukushima, the increased cost of engineering means that nuclear is getting more expensive. The return on investment is becoming prohibitively difficult to predict, and the availability of companies capable of constructing large-scale gigawatt-plus reactors is limited. Sadly, there are no large-scale British civil nuclear companies operating today.

Let me be clear: the development of small modular reactors is not in competition with large gigawatt reactors. Small reactors have a complementary role in contributing to the energy mix. Because of the economies of scale that could be achieved by building multiple reactors, having many more small modular reactors could be the key to our energy future.

The Government’s nuclear sector deal aims for a 30% reduction in the cost of new build and advocates the merits of a fleet-build approach. The reduced-cost, repetitive-formula, standardised, modular method of construction has yet to be rolled out in the civil nuclear industry, but it has transformed the car and aerospace industries. As we look for ways to secure the necessary resurgence of nuclear power, I ask the Minister whether it is time to do what we have done in those industries in our energy sector.

Small modular reactors of up to 440 MW in size, with a diverse range of technologies, are currently being researched and developed across the UK, thanks, in part, to Government funding. Of course, small nuclear reactors are nothing new; for 50 years, our Royal Navy’s continuous at-sea deterrent has reliably been dependent on a mini light water reactor to keep it powered for years at a time without the need for refuelling—a fact that the hon. Member for Barrow and Furness (John Woodcock) celebrates well and often in this place.

Rolls-Royce has mastered the art of small-space engineering, and is now one of many companies developing its technology on a slightly larger scale.

[Jack Brereton (Stoke-on-Trent South) (Con)]

I congratulate my hon. Friend on securing this debate. Does she agree that companies such as Goodwin International, which the Minister has visited in my constituency, could help? It has already been working in the defence industry, which she touched on, and could really help to commercialise SMRs in this country.

[Trudy Harrison]

I absolutely agree. It will be no surprise that I commend Goodwin International for the work it does in the defence industry. This is all about ensuring that British companies can contribute and can benefit companies in the supply chain, which provide components and, most importantly, jobs and apprenticeships. I understand that 125 new apprenticeships are coming from Goodwin, and there will be many more in the future.

[John Stevenson (Carlisle) (Con)]

I congratulate my hon. Friend on securing this debate, which is important for not just our country but our county. She talks about the private sector. Does she agree that there is a role for the Government, who should make a real commitment to supporting the SMR sector? That may include a financial contribution.

[Trudy Harrison]

I thank my hon. Friend for that important reminder that we cannot do this without Government support. We have the capability and the demonstrable need. The industry is desperate to be part of the solution, but we must have the Government’s financial policy and industrial support to take this forward.

From light water reactors to heavy water reactors, and molten salt to sodium cooled, the innovation in fission technology is most certainly alive and kicking. Some of our greatest, most innovative companies are now interested in building small reactors in the UK. Moltex, Atkins, NuScale, EDF, DBD, U-Battery Developments, Westinghouse, Sheffield Forgemasters and Rolls-Royce—these companies and hundreds of others involved with their supply chains, such as Goodwin, need our political, financial and industrial support.

Today, there are about 50 civil small modular reactors at various stages of research and development across the world. Fleet build is widely anticipated to bring a swifter return on investment, with lower barriers to entry and standardisation. As politicians, it is surely our job to ensure that policy takes possibility towards probability. Constructing single or incremental small modular reactors on nuclear-licensed sites, where the existing industrial power requirement is currently dependent on fossil fuel, is surely a credible, sensible and more sustainable way to power the UK and beyond.

There is one such location on the outskirts of the Sellafield site in Copeland. Fellside is a combined heat and power plant with a capability of about 170 MW, but it is due to come out of service later this year. It is outwith the nuclear licensed site boundary, but it has the benefit of the Civil Nuclear Constabulary for security, and obviously has a huge adjacent industrial power requirement, which is currently dependent on gas. Will the Minister consider Fellside a suitable, if not perfect, site for a future small modular reactor, and value the huge potential for further advanced manufacturing facilities in Copeland?

This is not just about being the first, although we do have an impressive track record of firsts: the first civil nuclear reactor, the first Magnox reprocessing plant and the first thermal oxide reprocessing plant. In the words of my Prospect union rep:

“With the most experienced workforce in the nuclear industry, West Cumbrians do it best”—

and we want to keep doing it.

I hope the Minister will tell me and the other Members in this debate who share my passion for nuclear how his Department will create the right market conditions to enable developers to bring new reactors to market and to create national and international markets. Grasping the opportunity to meet our domestic power requirements and capitalising on the early-adopter benefits of a multi- billion-pound, global export market while tackling the energy trilemma of security, affordability and environmental sustainability will mean that Cumbria continues to be the centre of nuclear excellence.

This is not rocket science—although we do a bit of that at the National Nuclear Laboratory—but a case of multiples: the more we build, the cheaper things get. Many of the UK’s 15 nuclear reactors will come to the end of their long-serving lives by 2030, leaving us perilously vulnerable and dependent on fossil fuels. We must get serious about meeting the world need for affordable and reliable electricity, while slowing down global warming before it is too late.

Thank you, Mr Paisley, for listening most intently. I look forward to a robust debate and to the Minister’s considered response to the points that I have made and that other Members will no doubt make as well.

[Several hon. Members rose—]

--- Later in debate ---

[Drew Hendry]

I understand that. The one thing I was agreeing with is that there must be more solutions on offer. There must be a mix, but I respectfully disagree about nuclear. I was going to highlight the hon. Gentleman’s support for renewable projects, which a couple of people have mentioned.

I will not use my time to go through every Member’s speech, but the hon. Member for Barrow and Furness (John Woodcock) made a powerful case. He incidentally made the Minister something of a deity and said that he was doing the Lord’s work. I am not sure which Lord, but we will come back to that.

The hon. Member for Stroud (Dr Drew) talked about the SMR competition. A warning about competitions from the UK Government can be found in Peterhead, where the carbon capture and storage competition was launched, and £100 million was spent before the £1 billion—[Interruption.] The Minister is trying to wave me away from that bit. The people of Peterhead will not forget the UK Government’s betrayal and the cancellation of that carbon capture project, which could have given the UK a five-year lead on carbon capture and storage. That is all gone.

[Trudy Harrison]

Will the hon. Gentleman give way?

[Drew Hendry]

I will not give way, because the other Front Benchers have to get in and I have to restrict my comments.

The first SMR is not due for 10 years. The costs are uncertain. There will probably be limited access to sites, planning delays and rising costs. The UK Government have pursued costly, dangerous nuclear energy over cheap renewables out of misplaced ideology. We have heard about the delays at Wylfa and the collapse of Woodside. That is the pursuit of ideology over pragmatism, and it does not work. The Government are letting people down.

The UK Government are already spending vast amounts on nuclear schemes about which there are safety concerns. They were about to lend £15 billion to Hitachi in Wales for Wylfa before the project collapsed because even that was not enough money. At Hinkley Point C, there is a £30 billion cost to the public sector. The Minister will argue that that is not the case, but the strike price amounts to what the public will be paying over that period to cover the cost of delays, complications, overspends and up-front costs. That is from the National Audit Office, not from me.

--- Later in debate ---

[Trudy Harrison]

I thank the Minister for his remarks and for his ongoing support for our nuclear industry. That is absolutely clear and welcome to me and the overwhelming majority of Members in the Chamber. I thank them all, although I do not have time to list them all. Their contributions have been absolutely fabulous. However, I cannot let the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry) get away with the strike price comparison. The comparison of £57.50 is not fair, because it does not build in the cost of storage. If we look at any potential for more renewable energy, the cost of storage must be built in. My under- standing is that it would be 600 times what we have today.

I should declare an interest, as my second daughter is a degree apprentice with an electrical design company, Athena PTS, which works across nuclear and wind, and with solar panels. She tells me that the strike price would be about eight times the cost of a diverse energy mix including nuclear. It is very unfair to compare the current strike price of £57.50 against the nuclear strike price.

Aside from that, I thank all Members. The support for nuclear is incredibly strong, and we can look forward to a prosperous future for the nuclear industry.

Question put and agreed to.

Resolved,

That this House has considered small modular reactors.