England Strikes Deal to Construct First Nuclear Plant in U.K. in Nearly Two Decades

BRIDGWATER, ENGLAND - MARCH 10: Anti nuclear protesters listen to speakers at the gates to the Hinkley Point nuclear power station, as they gather to mark the first anniversary of the Fukushima disaster in Japan, on March 10, 2012 near Bridgwater, England. Protestors planned to blockade the site at Hinkley, which is located on the Bristol Channel and has been earmarked for a potential new nuclear power station, for 24 hours starting today. 
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Clare Foran
Oct. 21, 2013, 2:41 a.m.

The Brit­ish gov­ern­ment has reached a deal with French en­ergy pro­vider Élec­tri­cité de France to con­struct a nuc­le­ar-power plant in the U.K. — the first to be built since 1995, Bloomberg re­ports.

The plant will be built over the next dec­ade near the coast of Somer­set, Eng­land at a cost of about $26 bil­lion.

The gov­ern­ment will sub­sid­ize the price of elec­tri­city gen­er­ated by the plant so that EDF will earn a profit at al­most double the cur­rent mar­ket rate for nuc­le­ar power. Brit­ish Prime Min­is­ter Dav­id Camer­on has agreed to guar­an­tee the price at a min­im­um of 92.5 pounds per mega­watt-hour for a 35 year peri­od. The av­er­age mar­ket rate per mega­watt-hour is only 49 pounds.

In Lon­don on Monday, Camer­on said that the deal “marks the next gen­er­a­tion of nuc­le­ar power in Bri­tain, which has an im­port­ant part to play in con­trib­ut­ing to our fu­ture en­ergy needs.”


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