Going Nuclear Could Cost Us £250 a Year Extra

Following the Government's announcement earlier this month of its renewed support for nuclear energy, critics have launched a fierce campaign of opposition on several fronts. One line of attack bound to make the public's ears prick is the claim that going nuclear could potentially cost the taxpayer an additional £250 a year.

The Energy White Paper presented by Business Secretary John Hutton asserted that the private operators of the new nuclear stations would be held responsible for covering all costs involved in construction and operation. Significantly, this liability is to include

"Meeting the full cost of decommissioning and their full share of waste management costs".

However, critics have cast aspersions on this reassurance with reference to a number of seemingly contradictory sections in the White Paper.

In particular, section 3.52 which states "if the protections we are putting in place prove insufficient, in extreme circumstances the government may be called upon to meet the costs of ensuring the protection of the public and environment". Substitute taxpayer for government in the above and you arrive at the crux of the matter.

The Nuclear Decommissioning Authority reports the cost of decommissioning the last generation of nuclear power stations as £72 billion, a figure which soared from £56bn over 2 years. Add to this a potential £30bn for construction and £20bn for burial of waste and the total cost of the new generation of nuclear stations amounts to £123bn.

If, as John Sauven Director of Greenpeace suggests, the small print of the White Paper leaves open the possibility of the public purse meeting a shortfall in funds, £123bn is a worrying figure for the 25 million British households who may find themselves footing the bill.

Compare Gas & Electricity Suppliers via money.co.uk