Experts have warned the UK government that its move to rely on new nuclear to part-deliver net zero by 2050 is “risky” given the sector’s recent track record of delays and cost overruns.
Jonathan Marshall, head of analysis at the Energy and Climate Intelligence Unit, said billpayers may be “on the hook” to cover costs after London confirmed it is exploring the “potential role of government finance during construction” of new nuclear.
Marshall said under such a funding model taxpayers could be “footing the bill for Sizewell many years before it starts generating power” if it was to hit by problems that have plagued the European sector in recent times.
“While it is likely that some new nuclear will be needed to reach net zero, putting billpayers on the hook for delays and cost overruns is a very risky move,” he said.
“The government has been advised to hold fire on new nuclear power stations beyond Sizewell, as the cost of renewables and of the technologies needed to ‘firm’ their output continues to plummet.
“It is now clear that offshore wind will form the backbone of our power system, with nuclear playing a supporting role. The key is to get the balance right, and to do so in a way that keeps energy bills as low as possible.”
However, Justin Bowden, GMB National Secretary, welcomed the Sizewell C announcement as “brilliant news for the zero carbon electricity it will generate” and for “the thousands of jobs it will generate being built”.
RenewableUK chief executive Hugh McNeal meanwhile said the Energy White Paper provides “greater clarity” for the sector.
“To meet the goals set out in the white paper, it’s clear that we have to double-down on renewables as the main source of energy for our homes, transport and industry,” he said.