Plaid Cymru, the Party Of Wales, news, comment, opinion and observations from the South East corner of the old historic county of Gwent...
Monday, 16 May 2011
COME CLEAN ON NUCLEAR COSTS
Now MPs have called for ministers to come clean and admit they are tacitly subsidising nuclear power despite promising that the industry would not receive such support. MP's on the Energy and Climate Change Select Committee have reported that Ministers are attempting to disguise the Nuclear subsidy and are distorting reforms of the energy market. They have also warned that unless the issue was resolved, the UK would fail to get the low-carbon energy system it needs.
The Select Committee's report focuses on the Con Dem government's plans to shake up the energy market.The shake up is needed to ensure the provision of affordable electricity without compromising the UK's climate change targets.
At the present, the current energy market exists to supply plentiful (allegedly) cheap electricity, but makes little provision for ensuring that any energy supplied has lower carbon emissions. MP's and some energy experts have complained that the UK Government is failing to attract enough investment in the infrastructure needed to meet energy needs.
The Con Dem coalition agreement allows the construction of new nuclear power stations "provided that they receive no public subsidy". At the moment the nuclear industry is refusing to build new power stations unless their are further inducements, Con Dem ministers have proposed threat the energy companies that build nuclear power plants get long-term contracts at a guaranteed price for energy produced by their nuclear power.
To make life even more complicated there is the problem of the low price of carbon credits in the EU emissions trading market. UK ministers now plan to introduce a minimum price below which carbon permits will not be allowed to sink with any shortfall will be covered by revenue raised by taxation.
This is intervention in the free market (such as it is) to an amazing degree from a Conservative dominated government. The Con Dems have said that both these policies will benefit renewables too, yet, this ensure that electricity prices remain higher than they would have been without this blatant intervention to favour nuclear industry. This "one size fits all" policy barely disguises what is a subsidy to the nuclear industry, as has rightly been noted by MPs.
For many years, the UK nuclear industry has lived quite happily off massive subsidies from UK taxpayers, at the same time cleaner renewable forms of energy have been starved of cash and investment. Potential sustainable energy suppliers and developers have had to face a less than subtle pro nuclear bias from UK Government departments and agencies, something that has seriously slowed the development of secure and sustainable energy supplies in the UK.
Back in 2002 British Energy (BE) became virtually bankrupt, so the European Commission quietly approved the UK Government's decision to bailout the private nuclear power generator. Under the restructuring plan drawn up to save the company, the UK government agreed to indemnify the company against any shortfall in the nuclear liabilities fund which meets its clean up costs.
BE in return contributes 65% of its net cash flow to the fund, the National Audit Office says this uncertainty "places a significant risk in the hands of the taxpayer", effectively leaving the taxpayer according to NAO facing "a large and uncertain liability". It gets better, BE’s liabilities, all taxpayer subsidised, have risen to £5.1 billion, an increase of more than 30%, since 2003. The amount the taxpayer has to pay will depend on the company's future financial performance.
Now the UK Government plans to build new reactors in the UK (something initiated by Tony Blair and supported by Gordon Brown) and runs the risk of fatally binding the UK to nuclear power for decades, something that will continue to divert vital investment away from clean, renewable energy. It's time for the UK Government to finally come clean about the costs (financial and environmental) of the UK nuclear industry.
Back in 2008, Gordon Brown’s cabinet rubber stamped Tony Blair’s decision to back the nuclear option to solve the UK energy needs was both disappointing and short-sighted, but, was not unexpected. By making nuclear power its priority the failing Brown Government effectively abandoned any serious attempts to conserve energy, and significantly undermined its own commitments to tackling climate change. So far the Con Dems have brought little to the debate...
When it comes to power generation there are real job opportunities that need to be fully grasped; the renewable energy sector can play an immensely important role in creating more green energy jobs. We need to create a decentralised power generation system which can include a community owned and community beneficial sector which will create sustainable long-term jobs for local people, not damage the environment and contribute to providing our local communities with a long-term viable economic energy future.
Now is definitely the time for control of energy policy to be devolved to the National Assembly and time for some original non nuclear thinking and a fundamental sea change in attitude from all levels of government in Wales towards energy policy.
Friday, 18 March 2011
SECOND THOUGHTS!
Likewise, China has now suspended approval for new nuclear power stations following the accident at Japan's Fukushima Daiichi plant. checks at existing reactors and those under construction will also be carried out. China, which has a desperate need for energy is currently building 27 new reactors - this is about 40% of the total number being built around the world. China is increasingly worried about the nuclear accident in Japan.
We don't need Nuclear power and should invest in sustainable renewable energy sources, which in the event of disaster are significantly less dangerous. We also have a pressing need for energy. Our problem was made worse by the Conservatives headlong dash to gas in the 1980’s which has in turn been compounded by a real failure in basic strategic energy planning and made worse by the current Government's perverse decision to half-heartedly look at developing diverse reliable alternative energy sources.
The old New Labour Government repeatedly ignored warnings that it was setting the UK on a path towards higher prices and energy blackouts. Over the next five years almost all of our old nuclear reactors, along with nine major coal and oil-fired power stations, will be closed, with nothing ready to replace them. We are now in the situation where we are now even more dependent upon imported gas from either unstable regions or dubious suppliers and we the customers face unnecessarily expensive bills.
As a matter of utmost urgency the Westminster Government, the Scottish Parliament, the National Assembly and the Northern Ireland Assembly should work with the Irish Government to make these islands entirely self sufficient via renewable non market driven non nuclear energy resources rather than pursing the dubious and costly (potentially in more ways than one) nuclear alternative that is particularly favoured by Whitehall civil servants.
The renewable energy sector can and should play a major role in creating more sustainable green energy jobs in Wales and elsewhere in the UK. If we can develop a flexible self-sufficient energy development strategy that actually encourages decentralised microgeneration schemes and then actually implement it then we have a fighting chance of creating jobs, useful new skills and will be able to bootstrap the economy out of the recession, as helping consumers and securing a stable safe energy supply.
If we do this then we will keep the lights on and rebuild and reboot our economy as well.
Sunday, 18 July 2010
THE NUCLEAR CONVERSATION
The Scottish Government will be a full party to any discussions about the construction of any new generation of Nuclear power plants in Scotland and along with the Scottish people it will play a full part in the planning process. In Wales things are quite different, the National Assembly may end up as a coat holder, actioning decisions made elsewhere in relation to Energy Policy in general and Nuclear Energy in particular.
Now this fact should be a matter of serious concern, especially when it comes to Nuclear Energy developments that may take place within or near to Wales - any planning processes related to Energy provision should take place with the full involvement of the people of Wales and their elected representatives and alternative energy generation schemes should be fully and seriously considered as well - this may not however, be the case.
The failure to devolve control of planning consent for 50MW power generation projects to the National Assembly when combined with the role of the Infrastructure Planning Commission (IPC) runs the risk of damaging our economic prospects for only with complete planning control over power generation can Wales generate long–term sustainable job opportunities.
The final years of the New Labour Government (if government is an appropriate word for it) may well end up by being written off as a literal case of the lights being on but nobody being at home. there were few new or fresh original ideas about solving our energy problems. Back in 2008, Gordon Brown's cabinet rubber stamped Tony Blair's decision to back the nuclear option to solve the UK energy needs.
This decision was both disappointing and short-sighted, but, was not unexpected. By making nuclear power its priority the failing Brown Government effectively abandoned any serious attempts to conserve energy, and significantly undermined its own commitments to tackling climate change.
When it comes to power generation there are real job opportunities here that need to be fully grasped; the renewable energy sector should play an immensely important role in creating more green energy jobs. We need to create a decentralised power generation system which will create sustainable long-term jobs for local people, not damage the environment and contribute to providing our local communities with a long-term viable economic energy future.
Now is definitely the time for control of energy policy to be devolved to the National Assembly and time for some original non nuclear thinking and a fundamental sea change in attitude from all levels of government in Wales towards energy policy.
The Scottish Government has already set out a wide-ranging vision to address climate change, which includes a drive to boost renewable energy such as wind and wave power. Scottish Ministers also aim to see significant progress in boosting the energy efficiency of buildings, increase the number of electric vehicles on the roads and aim to cut in emissions across the farming and rural sector.
This is serious forward thinking on the part of the Scottish government as energy experts have for several years been consistently warning of a serious future shortfall in Britain's energy supplies, as a result of the rapid depletion of Britain's North Sea gas reserves, the increasingly tough regulations on carbon emissions from Britain's ageing coal-fired power plants and the planned decommissioning of 14 of 15 existing nuclear generating stations by 2025.
Imagine what we could do if the National Assembly possessed similar powers to develop the alternative energy sector here in Wales. In Wales, we need real direction when it comes to the development of safe and secure energy resources, power generation can provide the potential for real sustainable long term job opportunities; the renewable energy sector can and should play an immensely important role in creating more green energy jobs.
Beyond this there is a need to unify the power generation and supply companies into a single entity, preferably run on a not for profit basis, in the interests of the inhabitants of the UK rather than big businesses. A growing number of people are coming around to the conclusion that this decision was influenced by an unholy combination of irresponsibility and self-interest - it's certainly worth having a look to see which former Conservative and New Labour Minster's have made that transition from Government benches to the Boardroom over the years since energy privatisation.
Whether or not it was a matter of irresponsibility for successive Conservative and New Labour Government's to leave the energy sector largely and effectively unregulated as the private energy companies - is probably no longer open for discussion. The Energy companies have proved themselves almost entirely incapable of making long term strategic decisions that are necessary to provide us with safe and secure energy.
Saturday, 13 June 2009
TAKING PART IN THE NUCLEAR CONVERSATION
Sometimes the differences between what goes on in Wales and what goes on in Scotland are pretty blatant - it is becoming increasingly clear that we got a seriously flawed devolution settlement. The Scottish Government will be a full party to any discussions about the construction of any new generation of Nuclear power plants in Scotland and along with the Scottish people it will play a full part in the planning process.
In Wales things are quite different, the National Assembly may end up as a coat holder, actioning decisions made elsewhere in relation to Energy Policy in general and Nuclear Energy in particular. Now this fact should be a matter of serious concern, especially when it comes to Nuclear Energy developments that may take place within or near to Wales - any planning processes related to Energy provision should take place with the full involvement of the people of Wales and their elected representatives and alternative energy generation schemes should be fully (and seriously considered) as well - this may not however, be the case.
While the Scottish parliament and the Scottish people will be full participants in the process of deciding how and where any nuclear power stations may be sited in Scotland, in Wales, the Welsh people and their elected representatives may well end up as impotent onlookers in any discussions as long as Westminster dictates Wales’s energy strategy. New Labour’s consistent refusal to devolve control of planning consent for 50MW power generation projects to the National Assembly damages our economic prospects for only with complete planning control over power generation can Wales generate long–term sustainable job opportunities.
As far as the somewhat distracted dying New Labour Government (if one can use that word) is concerned, we have a a clear case of the lights are on but nobody being at home and there are no new fresh original ideas about solving our energy problems. Back in 2008, Gordon Brown’s cabinet’s confirmation of Tony Blair’s decision to back the nuclear option to solve the UK energy needs was both disappointing and short-sighted, but, was not unexpected. By making nuclear power its priority this failing Brown Government has effectively abandoned any serious attempts to conserve energy, and has significantly undermined its own commitments to tackling climate change.
When it comes to power generation there are real job opportunities here that need to be fully grasped; the renewable energy sector should play an immensely important role in creating more green energy jobs. We need to create a decentralised power generation system which will create sustainable long-term jobs for local people, not damage the environment and contribute to providing our local communities with a long-term viable economic energy future. Now is definitely the time for control of energy policy to be devolved to the National Assembly and time for some original non nuclear thinking and a fundamental sea change in attitude from all levels of government in Wales towards energy policy.
Useful Weblinks and Documents
Department of Trade and Industry (originally released Wednesday 23rd May 2007)
Energy White Paper Supporting Documents
http://www.gnn.gov.uk/environment/fulldetail.asp?NewsAreaID=360&ReleaseID=286370
Jackson Consulting Discussion Paper
This discussion paper, produced in April 2006, reviewed previous policy and practices for sitting of nuclear power stations and considered sitting issues that would be relevant to any new nuclear build.
SUGGESTED NUCLEAR SITES:
1. Hinkley Point
2. Sizewell
3. Bradwell
4. Dungeness
5. Hunterston
6. Hartlepool
7. Torness
8. Wylfa
9. Heysham
10. Calder Hall
11. Oldbury
12. Chapelcross
13. Berkeley
14. Trawsfynydd
Source: Jackson Consulting report, April 2006
UK Government Energy White Paper (originally released in May 2007)
http://news.bbc.co.uk/1/shared/bsp/hi/pdfs/23_05_07_energy.pdf