Hitachi warns over EDF nuclear talks
Hitachi boosted Britain’s nuclear ambitions last year when it bought Horizon, a venture to build reactors on Anglesey and in Gloucestershire, for £700m.
The Japanese company said it planned to build at least four reactors, with the deal hailed by the Prime Minister as a “decades-long, multi-billion pound vote of confidence in the UK”.
Under the Government’s Electricity Market Reform (EMR) plans, nuclear developers will be given “contracts for difference” guaranteeing a “strike price” for the electricity their plants will generate.
However, the Treasury remains in dispute with EDF over that price.
“Horizon is proceeding with its plans to build nuclear power plants [in the UK], but Hitachi is a long way from final investment decisions,” Hitachi told The Daily Telegraph.
“Securing a contract for difference with an appropriate and fair strike price will be an important condition for investment, and clearly a successful outcome to discussions between government and EDF would increase our confidence in the EMR process.”
A Department of Energy and Climate change spokesman said: “No commitment has been made on commercial terms or a strike price. Ongoing discussions are focused on finding a fair, affordable deal, which represents value for money for consumers.”