Wanted: company to build £20bn of nuclear plant

Energy giants RWE and E.ON have asked nuclear reactor designer Westinghouse to name its construction partner in the run-up to its nuclear new-build programme.

Firms including Laing O’Rourke, Costain, Fluor and Carillion are understood to be in the running for the role, which would co-ordinate construction of up to £20bn worth of nuclear plants if Westinghouse’s AP1000 is chosen by the utility joint venture.

In the US, Westinghouse is partnered with construction firm the Shaw Group, which is also going to the UK job. Interviews took place two weeks ago and a shortlist is due next month.

The news comes as the Nuclear Installations Inspectorate (NII) raised doubts over the safety of rival Areva’s European Pressurised Reactor, and signals a strengthening of Westinghouse’s position in the UK.

RWE/E.ON is still officially “technology neutral”, but it is understood to be leaning towards Westinghouse over concerns about the waiting time for components.

A source said: “It’s all about how long the queue is. For the next eight years, Areva is going to be dominated by providing reactors to EDF. If you want to build on the same time scale, you’re going to be forced to go with an alternative.”