UK Committee Warns of Rising Costs at Sizewell Nuclear Project
(MENAFN) A British parliamentary committee has raised concerns over plans to develop the Sizewell C nuclear power station, warning that the project could expose taxpayers and energy consumers to substantial financial risks for decades to come.
The Parliamentary Public Accounts Committee estimates that the reactor's overall cost could climb to nearly £48 billion ($63.7 billion), according to reports published Wednesday.
The committee warned that consumers could face an additional £9.8 billion in construction costs before 2040, followed by another £12 billion throughout the facility's projected 60-year operating period.
It also highlighted the financial implications of the government's decision to acquire an ownership stake of almost 45% in the project, arguing that taxpayers and energy users face a "high level of risk." Sizewell C is intended to follow the troubled Hinkley Point C nuclear development in Somerset, which has experienced substantial delays.
Concerns over Britain's nuclear construction costs have also emerged in previous government assessments. A review conducted last November by the Nuclear Regulatory Taskforce, established under former Prime Minister Keir Starmer, identified the UK as the world's most expensive country for building nuclear power stations. The review called for extensive regulatory changes to simplify procedures and bring project costs down.
Geoffrey Clifton-Brown, chair of the parliamentary committee, criticized the distribution of financial risks between the public and private sectors.
"The high level of risk borne by taxpayers and consumers for the construction of Sizewell C is extraordinary. Private investors look set for significant returns on their investments, while customers are likely to be saddled with higher energy bills."
The Parliamentary Public Accounts Committee estimates that the reactor's overall cost could climb to nearly £48 billion ($63.7 billion), according to reports published Wednesday.
The committee warned that consumers could face an additional £9.8 billion in construction costs before 2040, followed by another £12 billion throughout the facility's projected 60-year operating period.
It also highlighted the financial implications of the government's decision to acquire an ownership stake of almost 45% in the project, arguing that taxpayers and energy users face a "high level of risk." Sizewell C is intended to follow the troubled Hinkley Point C nuclear development in Somerset, which has experienced substantial delays.
Concerns over Britain's nuclear construction costs have also emerged in previous government assessments. A review conducted last November by the Nuclear Regulatory Taskforce, established under former Prime Minister Keir Starmer, identified the UK as the world's most expensive country for building nuclear power stations. The review called for extensive regulatory changes to simplify procedures and bring project costs down.
Geoffrey Clifton-Brown, chair of the parliamentary committee, criticized the distribution of financial risks between the public and private sectors.
"The high level of risk borne by taxpayers and consumers for the construction of Sizewell C is extraordinary. Private investors look set for significant returns on their investments, while customers are likely to be saddled with higher energy bills."
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