Reports suggest the government and EDF have now agreed a strike price for electricity from new Hinkley Point nuclear plant
The long-awaited deal between the government and EDF over the energy firm’s planned new nuclear plant at Hinkley Point is expected to be announced before the end of this month, according to a report in the Times.
The newspaper said today that a deal had been struck over the price of electricity from the £14bn plant, with Hinkley Point to receive £93 for every megawatt hour it generates.
The report said this was twice the present wholesale price and much higher than the £80 per megawatt hour that the Treasury was initially prepared to sanction.
EDF had argued that it would go no lower than £100, but a compromise has now been struck, the Times said.
The paper adds that the China General Nuclear Power group has agreed to take a stake of up to 49% in the project to ease the burden on EDF.
The paper said minister were expected to announce the agreement this month, when the government consults on its energy market reforms.