One thing we have learnt this week

I was going to write something about GM which has been in the news with two or three small stories this week.  However, a post Andy has written will go up tomorrow and this has some relevance to that debate and I intend to blog on this in the near future.

There has been some more news on the proposed new nuclear power station at Hinckley point this week.  On the face of it the deal looks close to collapse.  EDF originally said they could build new nuclear without subsidy in 2007/8.  Since then things have steadily changed.  Now they want consumers to pay 10p/unit for 40 years, the treasury wants nearer 8p (both are way over the wholesale price of electricity).  There are also rumours of other demands, such as money for electricity they could have produced and some kind of guarantee that if a future government changes its mind they will get compensation.  There are also murmurs that the government would stump up cash if there are cost overruns (very likely).  At the moment the latest rumours are that the Chinese might come in.  Some people are very unhappy about this for security reasons.  Another rumour doing the rounds is that even if Hinckley C gets the go-ahead this will be the only one.  Meanwhile my solar system gets 25 years of FIT, and new systems 20.  In 5 years PV and on-shore wind won’t need any subsidy.  Nuclear always will.

Neil

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