NIA calls for ‘unambiguous commitment’ to nuclear power

The Committee on Climate Change (CCC) has been urged to be “explicit” about the need for nuclear power to meet the UK’s recently adopted net zero emissions target.

In its response to the advisory body’s consultation on the sixth carbon budget, which closed last Thursday, the Nuclear Industry Association (NIA) says it must contain an “unambiguous commitment” to new nuclear.

The sixth carbon budget will set the level of greenhouse gas emissions that must be achieved between 2033 to 2037 in order to hit the government’s target of net zero by 2050.

The CCC’s 2019 report on the target advised that by the middle of the century the generation mix should incorporate 38 per cent low-carbon “firm” power, including nuclear and other thermal generation fitted with carbon capture and storage (CCS).

But the NIA says it would be “prudent” that this firm power should be “proven new nuclear capacity” in case CCS cannot be delivered at the scale and in the timescales required.

It is “essential” that there should be “more emphasis on commercially viable, proven technologies”, like nuclear, it says.

And nuclear power’s overall share of low-carbon electricity, generation of which will have to increase to cope with growing demand from heat and transport, must remain “at least equal” to today’s figure

If this share is not maintained, the UK risks relying on “currently unproven or unavailable technology”, it says: “With the technologies available, it is not possible to achieve net zero by 2050 without nuclear forming part of the generation mix.”

Energy minister Nadhim Zahawi told the House of Commons last week that nuclear power will play a “significant role” in helping the UK to meet its target to cut emissions to net zero by 2050.

Signalling the government’s continued commitment to nuclear power during a debate on Wednesday, he said: “Nuclear will have an important role to play in the UK’s future energy mix, providing firm low-carbon power and complementing variable renewable generation.”

Zahawi also told MPs that the upcoming energy white paper will outline a “clear, decisive strategy” to decarbonise energy.

The NIA also says in its response that using the RAB (regulated asset base) model, on which the Department for Business, Energy and Industrial Strategy (BEIS) recently consulted, could substantially reduce financing costs by allowing investors to begin recouping returns before projects are completed.

The NIA says it is “imperative” that the RAB model or another “financial framework” is put in place “urgently” to enable the replacement of the current fleet of nuclear power stations, the majority of which are due to be retired by 2030.

A successful roll in the nuclear industry would also enable the RAB model to be applied to other low-carbon infrastructure. And a green light for a “more favourable” funding arrangement than the CfD model could enable the Wylfa Newydd project, suspended by Hitachi last year, to be revived, according to the NIA.

The NIA also calls for a “long-term programme” of political and financial support for less mature technologies, such as small reactors and nuclear fusion.

It says nuclear plants should be “seriously considered” as a source of power for the production of low-carbon hydrogen via electrolysis.

Tom Greatrex, chief executive of the NIA, said: “As reputable independent analysis demonstrates, low-carbon nuclear energy can play a vital role alongside the variable output of wind and solar in meeting the increased clean electricity demand required for net zero. As such, this should be explicitly and clearly recognised by the CCC and the UK government.

“We have an opportunity as hosts of COP26, to set an example and this has to start with a clear and credible plan of action for the UK. These sentiments should be translated into recommending the level of the sixth carbon budget to help transition the UK into a net zero economy.”