• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 7 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 min Reality catching up with EV forecasts
  • 24 hours Famous author Michael Crichton talks about the "Climate Change Religion" aka Feudalism 2.0
  • 7 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 12 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 12 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
The True Cost Of Ignoring Nuclear Energy In The UK

The True Cost Of Ignoring Nuclear Energy In The UK

The UK’s nuclear power industry…

How Significant Was The Latest Nuclear Fusion Breakthrough?

How Significant Was The Latest Nuclear Fusion Breakthrough?

Famously, nuclear fusion is always…

City A.M

City A.M

CityAM.com is the online presence of City A.M., London's first free daily business newspaper. Both platforms cover financial and business news as well as sport and…

More Info

Premium Content

Nuclear Boss Urges UK Government To Back Small Nuclear Reactor Technology

  • Chief executive of the UK Nuclear Industry Association Tom Greatrex: the UK govt. should pursue small modular reactors with “pace and urgency”.
  • Currently, the UK’s ageing nuclear fleet makes up around 15 per cent of the country’s energy generation.
  • Greatrex: the UK could become “a global leader” in SMRs.

The head of the UK’s leading nuclear body has urged the government to pursue small modular reactors (SMRs) with “pace and urgency”, amid reports of a funding delay with ministers squabbling over the cost of the country’s energy ambitions.

Tom Greatrex, chief executive of the Nuclear Industry Association (NIA), told City A.M. that the UK needed to develop a pipeline of projects to ramp up nuclear power in line with the government’s energy security projects.

He said: “Proceeding with pace and urgency will not only make power more reliably and predictably priced, but it will also mean that UK technology will create long term, high quality jobs and export opportunities from which the country will benefit.”

This would mean nuclear power generated 25 per cent of the UK’s energy demand, with former Prime Minister Boris Johnson establishing plans for the UK to build eight new reactors this decade.

Currently, the UK’s ageing nuclear fleet makes up around 15 per cent of the country’s energy generation, but the remaining five power plants are set to be shut down by the middle of the next decade.

With the UK needing to bump up capacity quickly, Greatrex was convinced the UK could become “a global leader” in SMRs.

He believed that they could supplement renewables and a larger nuclear fleet and strengthen the UK’s energy security.

Greatrex said: “There is no doubt that the UK can be a global leader in SMR. Working alongside larger reactors and renewables, they will provide a vital source of reliable, clean power, essential to reducing our reliance on burning volatile fossil gas for power, heat and transport – while simultaneously strengthening UK energy security.”

The industry boss has previously urged the government to speed up announcements for new projects, with Sizewell C still awaiting a final investment decision and Hinkley Point C’s completion delayed two years to 2027.

Nuclear projects stall as Government dithers

The industry chief’s latest comments follow reports – first covered in The Times – that ministers have so far not been able to agree a funding deal for small modular reactors.

The government is now not expected to confirm funding plans for at least another 12 months, with Whitehall concerned about the spiralling costs involved in Britain’s wider nuclear ambitions.

ADVERTISEMENT

Its concerns come with growing expectations Hinkley Point C will come in over budget at £26bn – orginally projected at £18bn – while the fee for Sizewell C has been estimated between £20-35bn.

The government has previously announced the creation of Great British Nuclear (GBN) to deliver the next generation of reactors and SMRs. Related: Largest U.S. Refinery Back Up and Running

The body will be overseen by experienced nuclear specialist Simon Bowen and launch later this year.

So far, the government has failed to confirm any other future sites for nuclear projects – despite rumours linking to projects at sites in Wales such as Wylfa and Trawsfynydd.

Rolls-Royce, the potential leading player in domestic SMRs, announced its final shortlist its proposed nuclear pipeline of small modular reactors last month.

Its three sites include the International Advanced Manufacturing Park (IAMP) in South Tyneside, Teesworks in Teesside and Gateway in Deeside.

A decision on the location is expected to be made this year following final evaluations.

Its designs are for a 470MW plant at a cost of around £2bn – each site powering one million homes.

SMRs are constructed in factories and are transported to construction sites, making them cheaper and quicker to build.

ADVERTISEMENT

Rolls-Royce confirmed to City A.M. it is progressing through the regulatory consent process for its designs, and believed it was making “strong progress” with its SMR plans.

A spokesperson said:“We are ready to enter into negotiations with the government and, If we can agree a route forward within a reasonable timeframe, we could start building British factories, commissioning supply chain contracts and agreeing export deals abroad before the next general election.”

Rolls-Royce could face SMR competition

The government is currently supporting the SMRs – which could be built at dozens of locations across the UK – with £210m in funding to back the first project.

However, further resources would be needed to build the 30 SMRs targeted by Rolls-Royce and its consortium of investors.

The Treasury is reportedly not prepared to sign off on any orders or significant funding until the technology had approval from the Office for Nuclear Regulation, which is not expected until 2024.

It is now looking at whether to boost competition by opening the bidding to rival plans from other companies such as GE Hitachi.

There are also proposals for thorium-based SMRs, proposed by Copenhagen Atomics, which has submitted its UK reactor design for approval.

Thomas Steenberg, chief executive, told City A.M.: “We are providing a radical different technology and that enables us to deliver at a price point of £40 MWh levelised cost energy, which is a very strong price for baseload energy supply”

The prospect of more competition has been welcomed by Andy Mayer, energy analyst at free market think tank The Institute for Economic Affairs.

He told City A.M. that if the government is truly concerned about costs – “it needs to remove the regulatory barriers delaying deployment, and encourage competition” rather than “pick winners through bespoke subsidy schemes for individual projects, technologies, and firms.”

Mayer said: “If the government wants a national nuclear champion on the French model, it will need to write vast blank cheques, now and forever, gambling that the investment will deliver a technology others wish to buy. This approach was tried in the 20th century. It failed, and we are still paying £3bn a year as a result.”

By CityAM

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage


ADVERTISEMENT


ADVERTISEMENT



Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News