The Sizewell C nuclear power plant has received the final investment decision from the UK government, cementing its position as the country’s largest nuclear power project in a generation. With a combined investment in excess of £38 billion, the infrastructure is expected to supply low-carbon electricity to more than 6 million homes for at least 60 years.
The nuclear energy drive and energy sovereignty
The decision marks a turning point in the UK’s energy strategy, aimed at minimizing its dependence on polluting imported fuels. This project is designed to strengthen local supply with a reliable and sustained source of low-carbon electricity.
[post_relacionado]The government will take a 44.9% stake in Sizewell C, ensuring a controlling position over the development of the project and guaranteeing direct benefits for taxpayers. This financing model also includes institutional investors such as La Caisse (20%), Centrica (15%) and Amber Infrastructure (7.6%).
During its construction phase, Sizewell C will generate 10,000 direct jobs and thousands more in the domestic supply chain. In addition, it is estimated that 1,500 apprenticeships will be created. Nearly 70% of the value of the work will be awarded to British companies, promoting the development of local capabilities and strengthening the UK’s industrial ecosystem.
With 3,500 national suppliers involved and contracts signed for £330 million, the initiative promises a multiplier effect on regional economic growth, especially in the East of England, where the plant will be located.
The delivery model for Sizewell C takes as a reference the lessons learned at Hinkley Point C. This replication will allow savings of approximately 20% compared to its predecessor. The use of the RAB(Regulated Asset Base) mechanism allows the cost to be spread between consumers, investors and the State, limiting the average monthly impact to £1 per bill during the construction phase.
The collaboration with Bpifrance Assurance Export, in charge of backing debt guarantees, and the involvement of the Fondo Nacional de Riqueza as financier, consolidate a robust and sustainable financial backing scheme.
The approval of Sizewell C coincides with the UK government’s efforts to advance technologies such as small modular reactors. The recent selection of Rolls-Royce SMR for the development of these technologies reinforces the country’s commitment to a diversified and resilient electricity matrix.
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Source and photo: Sizewell C