Hinkley ‘raises questions’ over Government competence, says Gardiner

Labour's shadow energy minister Barry Gardiner has slammed the government’s backing of the Hinkley nuclear project, saying the cost is too high and the technology prone to delays.

Gardiner told delegates of the annual Energy UK conference that he supports UK nuclear and the expected investment from the Chinese government in developing new technology. China is expected to take a 30 per cent stake in the £24 billion Hinkley project as part of a wider deal which paves the way for Chinese nuclear companies to develop a second new nuclear plant at Sizewell and a nuclear plant of their own design in Essex.

But, Gardiner emphasised, “the cost of the Hinkley deal has been far too high”.

Government’s persistence in backing the project with a support price of £92.50/MWh raises “another question mark over Government competence”, he added.

EDF’s new nuclear project has been dogged by similar criticism from groups representing consumers and the environment as well as political opponents to the governemnt. And Gardiner echoed the concerns, adding that delays seen in other EDF nuclear projects is also a concern.

Hinkley has already suffered delays and 2025 is now considered the earliest the plant might produce power.

Gardiner also hit out at Government’s track record in delivering a stable regulatory framework to allow confident investment in new energy infrastructure.

He blamed “ministerial flip-flopping and indecision” for producing a regulatory framework which is “short term, unstable, and incoherent”.

The Conservative government has issued a rash of renewable energy cuts since coming to power less than six months ago, including the early closure of the Renewables Obligation (RO) scheme and cuts to the Feed-in Tariff.

Gardiner said that, as a result, the ability of companies to invest with confidence is “suffering desperately”.