Moorside mothball rumours spark vision call

Nugen confirms it is undertaking a strategic review of its options following “vendor challenges”

The energy consultancy Inenco has called for “a clear vision for the future” following reports that plans for the Moorside nuclear power station are being put on hold.

The company’s chief commercial officer, David Cockshott, said a “strong energy plan” needs to be put in place, involving a mix of different technologies, before any proposals to build the plant in Cumbria are revisited.

“Above all, the UK’s energy sector needs a sound strategy, a clear vision for the future and strong investment,” said Cockshott.

In the latest development to the long-running Moorside saga, a spokesman for the Nugen consortium, which is developing the controversial nuclear plant on the Cumbrian coast, confirmed it is “undertaking a strategic review of its options following shareholder and vendor challenges”.

The review comes as reports in The Times newspaper suggest Toshiba is preparing to mothball the plant, as it continues to grapple with its own financial crisis.

“Nugen is confident that the review will lead them to an outcome that provides a more robust, stable and sustainable platform to meet its commitment to deliver the next generation of nuclear baseload for the UK,” added the spokesman.

“NuGen remains a key player within the UK nuclear industry, has a vital role to play within the UK Industrial Strategy, and the Moorside project remains a key infrastructure project focused on creating employment and economic prosperity in Cumbria and across the north.”

Last month, Toshiba warned there is “substantial doubt” over its continued survival after reporting an operating loss of more than £4 billion for the last three months of 2016.

Shortly afterwards, Engie decided to offload its 40 per cent stake in Nugen to Toshiba, after invoking a contractual right to transfer its stake in the event of a default, leaving Toshiba as the consortium’s sole shareholder.