Robin Pagnamenta, Energy and Environment Editor
Download 'Too Hot', an exclusive Specials track from iTunes
Germany's two largest power companies joined forces yesterday and announced an ambitious plan to build at least four nuclear reactors in the UK at an estimated cost of £20 billion.
The plants, the first of which is set to enter service within ten years, will provide at least six gigawatts of new generating capacity, the equivalent of 10 per cent of the generating capacity of all Britain's existing power plants.
E.ON and RWE, which jointly operate three nuclear stations in Germany, are expected to propose building at Wylfa, on Anglesey, where RWE has recently been granted approval for a connection to the National Grid, and at Oldbury, beside the River Severn in Gloucestershire, where E.ON has obtained similar permission.
Paul Golby, chief executive of E.ON UK, said that the 50-50 joint venture would also explore the possibility of building reactors on other nuclear sites. These could include former British Energy sites such as Bradwell, in Essex, and Dungeness, in Kent, which EDF, British Energy's new owner, may dispose of in the months ahead.
The Government, which has been eager to foster competition in the market for nuclear new build after EDF's £12.5 billion takeover of British Energy, welcomed the announcement. Mike O'Brien, Minister for Energy, said that it was good news for Britain and offered proof that new nuclear plants were an attractive investment.
The joint approach would help both companies to reduce the risk and to exploit shared expertise and available funding, Dr Golby said. It could lead to the construction of nuclear plants with the same, or possibly greater, electrical power than EDF's proposal to build four new reactors on two sites formerly owned by British Energy. These are expected to be at Hinkley Point, in Somerset, and Sizewell, in Suffolk.
In a blow for Areva, the French nuclear reactor designer, E.ON and RWE backed away from a commitment to any specific technology, despite an earlier memorandum of understanding signed by E.ON to back Areva's EPR reactor design, which has been picked by EDF for the four reactors that it plans to build in Britain.
The decision represents a victory for Toshiba-Westinghouse, the Japanese-owned reactor designer, whose AP1000 is in competition with Areva's EPR. RWE is understood to be minded to back the Japanese reactor.
Win a luxury weekend to Newcastle and its neighbour Gateshead, find out more here
Risk, resilience and embracing new technology
Industry sectors news at a glance. Interactive heatmap, video and podcast
Discover the power of collective thinking. Submit a solution and be in with a chance to win a Media Hub Home Entertainment System
The inside track on current trends in the charity, not for profit and social enterprise sectors
Everything the Business Traveller needs to know to make a better trip
Make the most of the summer and enter our fabulous photographic competition, you could win a £5000 holiday
Corsica is an island of beauty and contrast, an ideal holiday destination
Enjoy further reading from Travel to Fashion, Business to Sport, discover more
Shortcuts to help you find sections and articles
The clever way to lease a new car is with Car leasing made simple™
2009
per month on 36-month
Personal Contract Hire (PCH)
2008
42850
Car Insurance
£24,250 - £30,346
MI5
London
£60,000
The Environment Agency
Bristol
Up to £90K
Boots
Midlands
OTE £85k
Credit Protection Association
Nationwide Opportunities
Completely London
Luxury Condo's in Manhattan with NYC views
The best new homes in Wimbledon?
Nationwide
Fabulous Cruise And Cruise & Stay Offers Including Virgin Atlantic Flights Prices Start From Only £699pp!
Last Minute Cruise And Cruise & Stay Offers. Med From £499pp, Caribbean From £699pp!
5 star quality at a 3 star price.
8 fabulous Canadian cities ...you won’t find cheaper
Contact our advertising team for advertising and sponsorship in Times Online, The Times and The Sunday Times, or place your advertisement.
Times Online Services: Dating | Jobs | Property Search | Used Cars | Holidays | Births, Marriages, Deaths | Subscriptions | E-paper
News International associated websites: Globrix Property Search | Property Finder | Milkround
Copyright 2009 Times Newspapers Ltd.
This service is provided on Times Newspapers' standard Terms and Conditions. Please read our Privacy Policy.To inquire about a licence to reproduce material from Times Online, The Times or The Sunday Times, click here.This website is published by a member of the News International Group. News International Limited, 1 Virginia St, London E98 1XY, is the holding company for the News International group and is registered in England No 81701. VAT number GB 243 8054 69.
So they're German, French & Japanese companies? So what. We need them to build reliable power stations. Hopefully this will start to create a UK based industry now that most people are realising that the nation's wealth cannot revolve around the financial sector.
Clean coal technology is good too.
Dan, Scarborough, UK
If nuclear reactors are so safe, why not build them near to where the electricity is used, i.e. towns, thus saving on transmission costs and losses? England is short of good engineers, so no wonder we have to import technology first developed here.
David, Colchester, England
Innovator to importer in a mere two generations!...
KR, Stockport
Previous to 'Operation Paperclip' there was no such thing as british expertise in nuclear technology.
So, no worries, KR, Britain only lost what it never owned.
Tom, Berlin, DE
Amazing! Innovator to importer in a mere two generations! How wonderful that we have been able give away such a lead in a field of expertise and the buy it back at a loss, and all in such a short period of time The success of our post-war governors continues to astound me!
KR, Stockport,
Nuclear energy, a brighter future for everyone.
Nick, Derby, England
For those, crying about foreign ownership - could you, please ask your companies to withdraw from abroad, please? Also, could you give up overseas territories as well, please?
If it was to British technology to supply us with energy, we would be relying on steam engines. We need investment. NOW!
Andras, Northington, UK
It beats tilting at windmills! Can we have our countryside back please.
Paul Freeman, London, England
Will the Germans give us the same promise of cheap long term power that the Russians gave the Ukraine when they starting building at Chernobyl?
Nuclear is a feasible option but how careful are managers when they are operating in someone else's backyard.
Robin, Winchester,
The technology to filter the emissions from coal burning power stations has advanced so far in recent years that it is now an environmentally viable option. We could reopen the pits, and remove the UKs dependancy on foreign resources and technology, whilst creating jobs for British workers.
Chris, London, UK
Nuclear power good. Foriegn ownership bad. I can't believe there is no longer a credible movement in the UK for UK control of our energy and water companies. Foreign companies and governments now control (and benefit from profit/intellectual turnover) over 70% of the above companies. Thanks traitors
Paul Saysell, Derby,
Well, this will make a mess of the Balance of Payments. On the positive side, we will yet again be subsidising the French and German consumers.
Do we own anything in this country, I heard a rumour that Downing Street, our last asset, is to be some to the Arabs as a Boarding House Development.
Leo, Birmingham, UK
Who will pay for the decommissioning in years to come? I hope someone has remembered to price this in, or is it just an amateur exercise and our children can go hang.
Charles Bockett-Pugh, Sandhurst,
Forget nuclear, not that I'm against it, merely the cost and the time to build. Forget CO2 global warming, it's a myth. We have millions of tons of coal. Let's use it. Cheaper to run, faster to build. UK could be exporting power before the first clod is turned on the new sites.
Roger Smith, Hertford, England
UK sold the Westinghouse Nuclear company to Toshiba 2 years ago, it could have been a UK Reactor.
mike, reading,
10% of generating power on 2 new sites in 10 years? Get a grip, it will take that long to get planning permission.
The big question is who is playing Poker with who?
Phil Austin, Husbands Bosworth, Albion
It's comforting to know that our future electricity policy lies in the cabable hands of the French, German and American governments
A stroke of genious!
betty boddington, morecambe, england
How does this benefit Britain exactly? All the reactors and generating equipment will be manufactured in France and Germany. All the profits from our utility bills will go to France and Germany. I suppose the electricity will allow us to play X-box and watch TV all day as we'll have no jobs to go to
Steve, Lincoln, UK
Let's get on with it. Japanese, Germans and French working on Nuclear technology is a no brainer! That plan is a winner.
Ivan Bukov, Newcastle,
Coal fired power stations are the answer not!!! Nuclear power station. Britain needs coal. Britain needs coal more then ever.
David, Brighouse, England
japanese quality + german precision & French experience - what a fantastic combination. Lets get building - at last the government have made a decision - and a sensible one at that.
james, cirencester, uk
That would be the same Westinghouse the British Government sold to Toshiba a couple of years' ago. More evidence that our 'leaders' do not have the capacity to think ahead; well done Gordon although I'm not convinced the position would be any different with the Tories in charge.
Tim Ellis, Canterbury,
good news;by a long way the safest form of energy generation with new tech;of course renewables/conservation are also important but fission nuclear is essential pending development of fusion power.james lovelock the leader of enviromental science would approve as would gaia.safer than coal/oil/gas.
Martin john Vickers, Liverpool, Merseyside
Thank you Germany. Let's get building - surely the recent Russia gas fiasco has opened our eyes as to what the alternatives are.
And given the grid connection to the River Severn it would be good to get going with the Severn bore project, which would be far more reliable renewable energy than wind.
Ryan, Pimlico,
Great! Pitty this didn't hapen 10 years ago!
James, Lancaster, UK
Thank God we'll have some real energy in ten years, rather than a Don Quixote collection of expensive, inefficient and unreliable windmills, subject to mysterious alien attacks. Or falling to bits. Whichever strikes you as more likely.
Dave Morgan, Portree, Scotland
Unbelievable, 10% of UK generating power costs 20 billion. Now compare this to what the government has paid for bank bailouts since Northern Rock -- all that money would add up to 70% of pretty clean energy (on top of current supplies). Waste is a problem, but a much smaller one compared to fossils.
Oleg, London, UK