Negotiations for Wylfa Newydd nuclear plant get underway

Hitachi and the UK government have begun talks to get the proposed Wylfa Newydd nuclear power plant off the ground.

Speaking in the House of Commons yesterday, business and energy secretary Greg Clark confirmed the pair had started discussions about the plant on Anglesey.

He confirmed project developer Horizon Nuclear Power, which is owned by the Japanese company Hitachi, have drawn up proposals to build two reactors with a combined capacity of 2.9GW.

He said: “Hitachi’s reactor design has been deployed on time and on budget in Japan and last December completed the Generic Design Assessment process run by the UK’s independent nuclear regulator, having satisfied our strict safety standards.

“Horizon submitted their application for Development Consent to the Planning Inspectorate last Friday. I am pleased to confirm that today Hitachi and the UK government have decided to enter into negotiations in relation to the proposed Wylfa Newydd project.

“This is an important next step for the project, although no decision has been yet taken to proceed, and the successful conclusion of these negotiations will of course be subject to full government, regulatory and other approvals, including but not limited to value for money, due diligence and State Aid requirements.”

He said a key focus of the discussion would be achieving lower cost electricity for consumers, following recommendations from both the National Audit Office (NAO) and the Public Accounts Committee (PAC) that government consider variations from the Hinkley Point C financing model in order to reduce costs to consumers.

Clark said: “In line with the NAO and PAC’s clear findings and recommendations, for this project the government will be considering direct investment alongside Hitachi, and the Japanese government agencies and other parties.”