“The government has announced significant support to help the UK to become a world-leader in developing the next generation of nuclear technologies. Though the plans are long-term, meaning it will be years before today’s energy managers see an impact, we welcome funding for R&D in all areas of energy.
“We are also pleased that there has been some clarification around timings for new nuclear projects. The Government is now setting out the next steps to allow large new nuclear projects to apply for planning consent after 2025. This answers a previous query we had regarding the Control for Low Carbon Levies.
“In the Autumn Budget, it was announced that the Control for Low Carbon Levies will replace the existing Levy Control Framework. The new control sets out that there will be no new low carbon electricity levies until the burden of existing costs is falling – suggesting that, on the basis of current forecasts, there will be no new low carbon electricity levies until 2025. The Government said that existing contracts and commitments would be respected. However, as anything outside of this scope would be classed as a new levy, Inenco questioned whether new nuclear power stations (in addition to Hinkley Point C) will be put on hold until 2025.
“We are particularly pleased to note that the Nuclear Industry Council has placed more emphasis on reducing the costs of future nuclear energy, which has been a key concern for the Hinkley Point ‘C’ project.”