Welcome for EDF purchase
A NORTH East energy chief today welcomed news that French firm EDF had cleared the final hurdle in its £12.5bn purchase of British Energy - the UK’s only nuclear power operator, which owns the Hartlepool reactor.
And he revealed that tomorrow NOF, the region’s trade body for the energy sector, would open second-round discussions with three partnership organisations, including TWI, which has a base at Wilton, on a deal that could see local firms secure key contracts on the British nuclear-build programme.
EDF, which already has significant nuclear generation in France, is committed to building four plants in the UK, encouraged by Government support for nuclear as part of a green and clean energy policy.
News that Paris-based EDF had secured 96% of the British nuclear operator’s shares, effectively transferring ownership following regulatory clearance last year, coincided with Russia this morning turning off gas supplies to mainland Europe in a row over prices.
George Rafferty, NOF chief executive, said the EDF deal should not be seen as a threat to the UK’s energy security, but the Russian gas crisis should ring alarm bells with government.
“We do not want to get into the position - but maybe we are there already - where a foreign state can, literally, switch us off.”
He said NOF members had for some time been highlighting the need for extra UK gas storage facilities to avoid being held to ransom by high market prices. The UK has capacity to store only about 15% of its gas needs.
Mr Rafferty said tomorrow’s meeting was a precursor to a formal application to regional development agency One North-east for funding to support a partnership proposal between NOF, TWI and “two others active in the oil and gas sector who are wanting to make the transition into nuclear”.
“The funding would be used to enable partnership organisations to develop whatever resources we think the supply chain needs.”
