Cookies on the ICIS website


Our website uses cookies, which are small text files that are widely used in order to make websites work more effectively. To continue using our website and consent to the use of cookies, click away from this box or click 'Close'

Find out about our cookies and how to change them

EDF Energy signs UK nuclear deal as SSE bows out

17 Feb 2012 17:54:58 | edem

The first of the UK's proposed nuclear electricity projects has taken a step forward just as another of the UK's "Big Six" utilities completed its nuclear exit.

EDF Energy signed a £400m (€482m) manufacturing deal for nuclear reactors with UK engine maker Rolls-Royce and French nuclear technology group Areva on Friday.

The deal was signed in the presence of UK prime minister David Cameron and French president Nicolas Sarkozy, as part of a broader energy cooperation pact that includes a call for studies into electricity interconnection between the two countries.

EDF Energy also signed a £100m contract for Hinkley Point site preparation works with a Kier BAM construction joint venture.

The company's 3.3GW Hinkley Point C project in Somerset is expected to be completed in 2019 (see EDEM 28 October 2011), with a final investment decision expected at the end of the year.

SSE exits UK nuclear

The EDF Energy deal came 24 hours after UK-based SSE said it has completed the sale of its 25% stake in NuGeneration, a consortium developed by three companies to build a 3.6GW nuclear plant in West Cumbria.

SSE said its stake has been sold for £5.75m to NNB Development Company, a 50:50 joint venture between Spanish energy company Iberdrola and Paris-based energy supplier GDF SUEZ, the other two stakeholders in the original NuGeneration pact.

SSE announced its intention to dispose of its stake in September (see EDEM 23 September 2011) in a blow to the UK government's hope that 16GW of new nuclear capacity would be built by 2025 (see EDEM 22 September 2011). Iberdrola and GDF SUEZ said they would make a final decision on proceeding with the newbuild this year. SM

Other Options