business news

Ministers closing in on deal to eliminate CGN from UK nuclear project

Ministers closing in on deal to eliminate CGN from UK nuclear project
Ministers closing in on deal to eliminate CGN from UK nuclear project

British Ministers are reportedly close to reaching an agreement that would prevent China's government-owned nuclear energy firm, China General Nuclear Power Group (CGN), from participating in the construction of a new nuclear power plant in the UK.

According to reports, alongside France's EDF, Britain is eyeing a stake in the £20 billion (S$37-billion) project to develop the Sizewell C nuclear power station in Suffolk, East of England.

Reports claim, CGN, which presently owns a 20% stake in Sizewell, will be removed from the project as a consequence, adding that the plans may be disclosed as early as next month. EDF and CGN have not made an official comment.

In response to the reports, a spokesperson from the British government stated that nuclear power has a crucial role to play as the nation seeks to reduce its reliance on fossil fuels and vulnerability to unpredictable global gas prices.

CGN is a present shareholder in Sizewell C until the government makes its Final Investment Decision. The talks are still going on, and a final decision has not been made so far. The spokesperson added.

Back in July, reports emerged that Britain was considering methods to exclude CGN from any future power projects.

In June, EDF urged the British government to pass the laws needed to support the project, claiming that it was now critical.

Last Friday, Britain is in discussions with US nuclear reactor firm Westinghouse to build a new atomic power station on Anglesey, Wales, as it strives to minimize reliance on fossil fuels and vulnerability to unpredictable gas prices.

The current action has the potential to exacerbate political tensions between China and the West, which are already high following the UK's decision to join the AUKUS nuclear submarine treaty with the US and Australia. This decision was made in response to China's military development.

Source credit: https://www.straitstimes.com/world/europe/britain-looking-at-deal-to-remove-china-from-nuclear-project-report

About the author

Sunil Jha

Sunil Jha has been a part of the content industry for close to two years. Having previously worked as a voice over artist and sportswriter, he now focuses on writing articles for newsorigins.com, across a slew of topics, ranging from technology to trade and finance. With a business-oriented educational background, Sunil brings forth the expertise of deep-dive research and a strategic approach in his write ups.