Third Report - The future of the Advanced Gas-cooled Reactors
Select Committee
Public Accounts Committee
HC 118
20 May 2022
Recommendations
1 results
4
Deferred
EDFE’s timetable for the closure of the stations will result in a significant reduction in...
Recommendation
EDFE’s timetable for the closure of the stations will result in a significant reduction in the UK’s generating capacity until new capacity comes online. In 2020, nuclear power accounted for 16% of UK electricity generation. The closure of seven nuclear …
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Government Response Summary
The government disagrees with the recommendation as drafted, stating that extensions of station lifespans are a matter for EDF and the relevant regulator (ONR). They will ask EDF to set out their plans for how they will work with the regulator to see if extensions are possible and will aim to provide further detail to the Committee by the end of 2022.
HM Treasury
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Conclusions (4) Observations and findings — click to expand
22
Conclusion
Deferred
There are still some important aspects of transfer that are yet to be agreed. The NDA and EDFE recognise there are issues around transfer that will need to be agreed but believe they have sufficient time to sort out the remaining points.35 They established nine working groups in 2021 to …
Government Response Summary
The department agrees with the recommendation to provide a detailed plan and timetable for the transfers, with a target implementation date of May 2023, and proposes sharing the Hunterston B plan with the Committee.
23
Conclusion
Deferred
The Department’s business case estimates that the transfer of the stations will cost £300 million, but given the uncertainties the cost and liabilities could be as large as £1.8 billion. The uncertainties include a potential need to update IT systems, the condition and nature of assets, and the cost of …
Government Response Summary
The department agrees with the recommendation to provide a detailed plan and timetable for the transfers, with a target implementation date of May 2023, and proposes sharing the Hunterston B plan with the Committee.
24
Conclusion
Deferred
We were concerned by the number of issues still to be resolved in the time available. We enquired about progress regarding Hunterston B, the first station expected to transfer, especially as discussions around pension contributions can take time to sort out. The witnesses told us they were in discussion as …
Government Response Summary
The department requests a revised implementation date of May 2023 for the delivery of detailed transfer plans for AGR stations, starting with Hunterston B, and proposes sharing the Hunterston B plan with the Committee when completed, along with a summary of progress for the remaining stations.
25
Conclusion
Deferred
We wrote to the Department and HM Treasury number of times (see Annex 1) after our evidence session and asked it to clarify what it had agreed with EDFE in terms of the land and buildings that will be transferred to the NDA, and how it planned to resolve any …
Government Response Summary
The department requests a revised implementation date of May 2023 for the delivery of detailed transfer plans for AGR stations, starting with Hunterston B, and proposes sharing the Hunterston B plan with the Committee when completed, along with a summary of progress for the remaining stations.