UK’s largest nuclear energy station Sizewell B given 20-year extension underneath authorities deal
Ministers have agreed a new funding deal with the owners of Sizewell B in Suffolk that will see it continue generating electricity until 2055
Sizewell B nuclear power plant has been due to close in less than a decade (Image: PA Wire)
The UK’s largest operating nuclear power station has had its lifetime extended by another 20 years.
Sizewell B in Suffolk, which is estimated to meet around 3% of the UK’s total electricity needs, had been due to close in 2035. However, the government has announced it will be allowed to operate for another two decades, until 2055.
Ministers have agreed a new deal under which its owners will get £70.50 per megawatt hour of electricity generated from 2035 in 2025 prices. Sizewell B is owned by French energy giant EDF, with British Gas parent company Centrica also having a 20% stake.
The Government said the deal would reduce the costs of Britain’s energy system, protect billpayers from exposure to volatile fossil fuel markets, power 2.5 million homes with clean electricity and maintain 900 skilled jobs in Suffolk.
Had Sizewell B been operating under this kind of “contract for difference” deal during the price spike caused by Russia’s invasion of Ukraine – rather than benefiting from soaring power prices driven by high gas costs – consumers would have saved around £2 billion, officials said.
Energy Secretary Ed Miliband said: “Nuclear power is vital for our energy security, and this extension will help produce the clean power our country needs.”
Chancellor Rachel Reeves, said: “Sizewell B is a vital part of Britain’s energy future, and this agreement secures clean, homegrown power for millions of homes until 2055. It is also a real vote of confidence in the hundreds of skilled workers in Suffolk who will power Britain’s clean energy future, delivering the long-term certainty that businesses and workers need.”
The Mirror revealed last year how millions of UK homes were still being supplied with electricity from Sizewell B that was fuelled by Russian imports. The plant continued to use imported uranium from Russia – years after President Vladimir Putin’s deadly invasion of Ukraine.
The Government is also backing projects including Britain’s first small modular reactors in Anglesey and the construction of Sizewell C alongside Sizewell B as part of what it says will be a new “golden age” of nuclear.
Chris O’Shea, Chief Executive of Centrica said: “I’m delighted that Sizewell B will continue to play a key role in the UK’s energy system for decades to come. Generating around 3% of the UK’s electricity, Sizewell B is critical to delivering the reliable, zero-carbon baseload power that supports Britain’s energy security, protects skilled jobs and underpins a more resilient economy.
“We welcome the constructive engagement with Government in reaching this agreement, providing the certainty needed to support the required investment. The agreement gives Sizewell B a clear, regulated framework through to the 2050s.”
Sam Richards, chief executive of pro-growth campaign group Britain Remade, said: “Unlike the recent renewable energy price caps which risk locking us into higher bills for longer, extending the operational life of Sizewell B is a no-brainer.
“Since Sizewell B was switched on in 1995 it has produced 243.6 Terawatt hours of clean, reliable, always on energy – enough electricity to power more than every home in London for 30 years. Its cost of roughly £7billion in today’s money is a far cry from Sizewell C’s projected cost of £38.2billion.
“Britain can build new nuclear cheaply, we’ve done it before and we can do it again. That’s why it’s essential that the Nuclear Regulation Bill announced in the King’s Speech cannot become an afterthought in the transition between Prime Ministers.”
