Hinkley C: throwing bad money after bad?

“In the week Britain exports electricity to France for first time in four years, Gérard Magnin says renewable power will match Hinkley Point C on cost:

The French nuclear industry is in its “worst situation ever” because of a spate of plant closures in France and the complexities it faces with the UK’s Hinkley Point C power station, according to a former Électricité de France director.

Gérard Magnin, who called Hinkley “very risky” when he resigned as a board member over the project in July, told the Guardian that the situation for the state-owned EDF had deteriorated since he stepped down, with more than a dozen French reactors closed over safety checks and routine maintenance.

The closures have seen Britain this week exporting electricity to France for the first time in four years. An industry report on Tuesday also warned that the offline reactors could lead to a “tense situation” for energy supply in France, in the event of a cold snap this winter.

Instead of backing new nuclear, the UK and France should capitalise on falling wind and solar power costs and help individuals and communities to build and run their own renewable energy projects, said Magnin. He founded an association of cities switching to green energy, joined the EDF board in 2014, and is now director of a renewable energy co-op in France.

“The most surprising [thing] for me is the attitude of the UK government which accepts the higher cost of electricity … in a time where the costs of renewables is decreasing dramatically,” he said. “In 10 years [when Hinkley Point C is due to be completed], the cost of renewables will have fallen again a lot.”

Of the Hinkley C design, known as the European Pressurised Reactor (EPR), Magnin said: “A lot of people in EDF have known for a long time the EPR has no future – too sophisticated, too expensive – but they assume their commitments and try to save the face of France.”

The UK’s business department conceded in September that by the time Hinkley is operational the price of electricity guaranteed to EDF will be above the comparable costs for large scale solar and onshore windfarms. Officials argued that using renewables instead would cost more in grid upgrades and balancing the intermittent nature of wind and solar.

But in a comment article for the Guardian, Magnin said renewables would still be able to match new nuclear. “Renewable energies are becoming competitive with fossil fuels and new nuclear, such as Hinkley Point, where EDF will try to build the most expensive reactors in the world and provide electricity at an unprecedented cost,” he wrote.

A spokesman for EDF said the company was confident its reactors in France would restart soon after tests were complete.

He added: “EDF has full confidence in the EPR design which is why we and our Chinese partners CGN have invested £18bn in our project at Hinkley Point C. Final testing is underway for our EPR unit in Taishan in China which is due to be operational next year. As our chairman Jean-Bernard Lévy said recently, the EPR is a technology of the future, combining performance, safety and predictability.”

On Wednesday the European commission is due to publish plans on how it will support an increasing amount of renewable energy on Europe’s grids, and how it will meet its climate change commitments under the Paris Agreement. Around seven or eight draft pieces of legislation are expected in the “winter package”, plus funding for cleaner energy, but green groups fear renewables will lose the priority they get on electricity grids.

Magnin said that the EU’s climate targets are used in France as a way to maintain a status quo which sees nuclear – a low-carbon power source – provide around three quarters of the country’s electricity. “Climate change issues are used as arguments to maintain the current system,” he said.

Wind and solar provide less than 4% of France’s electricity, but Magnin said the European commission and governments should support community-owned green energy projects to grow that share. Such an approach would overcome opposition to renewable power sources, and secure funding, he said.

Separately on Tuesday, the trade association for national grids across Europe issued a warning that France was faced with its lowest supply of power from nuclear in a decade because of plants being taken offline for safety checks.

The European Network of Transmission System Operators for Electricity said that further reactors would be taken offline, potentially leaving France dependent on imports in December and February, depending on how cold the weather is. But it said that Europe as a whole had sufficient power plants to cope with normal and severe conditions over the winter.

“Identifying the problems facing France and the UK this winter only goes to highlight the importance of investing in new capacity. Events across the Channel have shown that relying on old capacity is risky, with France’s nuclear plants proving as unreliable as our coal-fired ones,” said Dr Jonathan Marshall, energy analyst at the Energy and Climate Intelligence Unit, a UK-based thinktank.

“At home, turning to old and dirty coal plants is not a long-term solution, so encouraging investment in new lower-carbon kit – solar, wind and a small amount of new gas capacity – should be at the top of the government’s list of priorities.”

https://www.theguardian.com/environment/2016/nov/29/french-nuclear-power-worst-situation-ever-former-edf-director

Cause or effect? Sudden interest in EDW nuclear safety post

This week’s most visited page by far is one originally posted on 21 October 2016 about nuclear plants being shut down in France for safety reasons:

5 French nuclear reactors closed and 7 others examined for safety reasons

Coincidentally, one of the films on TV this week was “The China Syndrome” – a fictional story about a radioactive leak in a US nuclear power plant and its subsequent cover-up and unhappy ending.
https://en.m.wikipedia.org/wiki/The_China_Syndrome#Plot

Coincidence?

Chalk cliffs disappearing at high speed compared to past

East Devon’s chalk cliffs are between Seaton and Beer – perhaps time to look at a different kind of beach management plan.

Study reveals huge acceleration in erosion of England’s white cliffs

“Researchers analysed rocks from Beachy Head and Seaford Head in East Sussex and discovered that the cliff erosion rate over most of the past 7,000 years was just two-six centimetres a year. But the erosion rate over the past 150 years has been much higher at 22-32cm a year. …

Hurst and his colleagues now aim to apply the technique to other parts of the UK coastline, including the stretch at Hinkley Point, the site of a large new nuclear power station.

http://www.theguardian.com/environment/2016/nov/07/study-reveals-huge-acceleration-in-erosion-of-englands-white-cliffs

BBC Inside Out – Exeter Fire and Hinkley safety concerns

When on iPlayer, worth watching tonight’s Inside Out (BBC)- a brief overview of the Royal Clarence Hotel fire and interviews about the safety of the current Hinkley nuclear reactors where there may well be serious cracks in the structure and graphite blocks weakening around the nuclear rods in a plant at the end of its useful life.

EDF says on the programme that cracks should be ok till “at least 2023” which is very reassuring! And that it wants to be allowed to work with 20% cracks and not the current 10%.

The debate on this will continue on Radio 4’s “Costing the Earth” at 3 pm tomorrow (Tuesday).

“Secret government papers show taxpayers will pick up costs of Hinkley nuclear waste storage”

“Taxpayers will pick up the bill should the cost of storing radioactive waste produced by Britain’s newest nuclear power station soar, according to confidential documents which the government has battled to keep secret for more than a year.

The papers confirm the steps the government took to reassure French energy firm EDF and Chinese investors behind the £24bn Hinkley Point C plant that the amount they would have to pay for the storage would be capped.

The Department for Business, Energy & Industrial Strategy – in its previous incarnation as the Department for Energy and Climate Change – resisted repeated requests under the Freedom of Information Act for the release of the documents which were submitted to the European commission.

“The government has attempted to keep the costs to the taxpayer of Hinkley under wraps from the start,” said Dr Doug Parr, Greenpeace chief scientist. “It’s hardly surprising as it doesn’t look good for the government’s claim that they are trying to keep costs down for hardworking families.”

But, earlier this month, on the very last day before government officials had to submit their defence against an appeal for disclosure of the information, the department released a “Nuclear Waste Transfer Pricing Methodology Notification Paper”. Marked “commercial in confidence”, it states that “unlimited exposure to risks relating to the costs of disposing of their waste in a GDF [geological disposal facility], could not be accepted by the operator as they would prevent the operator from securing the finance necessary to undertake the project”.

Instead the document explains that there will be a “cap on the liability of the operator of the nuclear power station which would apply in a worst-case scenario”. It adds: “The UK government accepts that, in setting a cap, the residual risk, of the very worst-case scenarios where actual cost might exceed the cap, is being borne by the government.”

Separate documents confirm that the cap also applies should the cost of decommissioning the reactor at the end of its life balloon. …”

http://www.theguardian.com/uk-news/2016/oct/30/hinkley-point-nuclear-waste-storage-costs?CMP=Share_iOSApp_Other

5 French nuclear reactors closed and 7 others examined for safety reasons

“The company building Britain’s first nuclear power station for 21 years has been ordered to shut down five more reactors in France for emergency tests.

The order from the French Nuclear Safety Agency is a further blow to the finances and reputation of EDF, the state-owned company behind plans to build an £18 billion nuclear power plant at Hinkley Point in Somerset.

It brings to 12 the total number of French reactors being examined by experts to determine whether they contain hidden weaknesses in their reactor pressure vessels, a key component that houses the reactor.

Theresa May approved plans for Hinkley Point, which will generate 7 per cent of Britain’s electricity, last month, despite intense criticism of the high price tag and concerns about EDF’s reactor technology.

The safety agency’s order for EDF to shut reactors at Civaux, Fessenheim, Gravelines and Tricastin for tests has also sparked concerns that the group, the world’s biggest nuclear generator, may struggle to meet French demand for electricity this winter. Nuclear power provides nearly 80 per cent of the country’s electricity.

French power prices hit a four-year high yesterday amid fears of a supply crunch. Experts also warned of a possible impact on the UK, which imports French electricity during periods of high demand in January and February.

Dominic Whittome, an independent energy consultant, said that the shutdowns would mean “less spare electricity to export to Britain” at a time of tight supply margins, after the closure of a string of ageing British coal stations.

Greg Clark, the business and energy secretary, signed a final contract for EDF to construct two European pressurised reactors at Hinkley Point on September 29. The French group has a two-thirds stake, while China General Nuclear has a one-third stake in the project.

However, EDF is grappling with controversy after the disclosure last year that the reactor pressure vessel at a similar plant that it is building at Flamanville in Normandy contains unusually high levels of carbon. Experts say that this could make the structure unsafe.

Amid fears that the Flamanville vessel could crack once the plant enters service after 2018, France’s nuclear watchdog ordered stress tests on other reactors. These have highlighted a series of problems.

There are also financial concerns for EDF, which has debts of €37 billion. A total of 21 of its 58 French reactors are now shut down, either for scheduled maintenance or because of the nuclear watchdog’s demands. Le Monde said that EDF was losing €1 million a day for each of the reactors currently off-stream.

A spokesman for EDF said that the 12 reactors undergoing tests would be returned by the end of the year.”

http://www.thetimes.co.uk/edition/business/edf-ordered-to-switch-off-five-reactors-3zsnzbl6b

Cancer cluster close to Hinkley – but don’t worry …

“Cancer rates in a Somerset town close to a nuclear power station are up to six times higher than average.

Burnham-on-Sea will be named this week as the most significant ‘cancer cluster’ so far discovered near a British nuclear plant. The revelation will provide fuel for anti-nuclear campaigners who say the industry pollutes the environment and is potentially lethal for people living nearby.

The residents of Burnham, which lies five miles downwind of the Hinkley Point plant, have demanded an official inquiry into the figures, which were compiled by Dr Chris Busby, a government radiation adviser.

The study will be presented to locals on Thursday – the first anniversary of the death of Burnham resident Jo Corfield from breast cancer. Corfield’s mother, Geraldine Trythall, 86, who survived breast cancer five years ago, said yesterday: ‘We want to know exactly what is causing all these cancers. We have a right to know.’

Some residents are even moving away from the area. The parents of 18-year-old David Lidgey, who contracted leukaemia three years ago, strongly suspect the power station is to blame for his illness. Susan and Rob Lidgey said they are in the process of moving a mile inland from Burnham in a move to avoid further health effects.

Campaigners believe that radioactive discharge from Hinkley Point into the sea could explain the resort’s high cancer rate. Busby, also a member of the Government’s committee on depleted uranium, believes dangerous material from Hinkley Point is contaminating tidal sediment around power stations.

When the mudflats off Burnham are exposed at low water, he believes that radioactive particles are carried away on the wind and inhaled by residents. Of the 95 people diagnosed with cancer in Burnham since 1989, more than half took part in sea-based activities such as watersports or bait-digging. Only one in five cancer sufferers was a smoker.

‘We have known since the 1960s the mechanism by which radioactive particles come ashore, and we will be worrying about this problem for a few hundred years to come,’ said Dr Vyvyan Howard, senior anatomy lecturer at Liverpool University and an expert on the effects of toxins on human tissue.

The study, which investigated cancer cases in Burnham since 1998, found residents are 5.95 times more likely to get kidney cancer. The probability that this is coincidental is just one in a thousand.

It also found that cases of cervical cancer are 5.6 times higher than the national average, while leukaemia rates are more than four times above the norm. Women from Burnham have more than double the risk of breast cancer, with a one in 2,500 probability the figures are chance, according to cases over the past six years.

It is the first time both adults and children living near a nuclear plant have been examined for such a broad range of cancers and the first attempt to examine the incidence of the illness rather than deaths.

‘We see a picture confirming my fears that Hinkley discharges are responsible for severe health problems. All the epidemiology points to that conclusion,’ said Busby, who is a member of the Independent Advisory Committee on Medical Aspects of Radiation in the Environment. Busby urged similar research to be carried out at sites across the UK.

The range of cancers examined in the report have all been linked to the effects of radiation from studies on Hiroshima survivors. However, no scientific link has yet been established between low-level radioactive discharge of the type from Hinkley Point and cancer.

Last year Busby identified a leukaemia cluster near Chepstow on the banks of the Severn near Oldbury power station, north of Burnham. Another study in Seascale, close to the Sellafield nuclear reprocessing plant in Cumbria, observed cases of leukaemia in children under 14 between 1950 and 1983.

A Department of Health spokesman said: ‘No known health effects have been shown to be associated with radioactive discharges from current nuclear sites.’

BNFL, which is decommissioning one of the reactors at the Hinkley site, dismissed Busby’s findings, adding that his previous work had been ‘heavily criticised’ by health experts.”

https://www.theguardian.com/politics/2002/jul/14/greenpolitics.science

Keep a very good eye on your laptop at Hinkley C!

“It was an unusual burglary, in which four or five laptops were stolen from a Scottish renewable energy manufacturer in the dead of a March night in 2011. So innovative was the company that it had been been visited by a 60-strong delegation led by China’s then vice-premier only two months before.

Nothing else was taken from the company and the crime, while irritating, went unsolved and forgotten – until a few years later pictures began emerging which showed a remarkably similar project manufactured in the world’s most populous country.

Then some people who were involved in the Scottish company, Pelamis Wave Power, started making a connection between the break-in and the politician’s visit, which was rounded off with dinner and whisky tasting at Edinburgh Castle hosted by the then Scottish secretary, Michael Moore.

Max Carcas, who was business development director at Pelamis until 2012, said the similarities between the Scottish and Chinese products were striking. Speaking publicly for the first time, he said: “Some of the details may be different but they are clearly testing a Pelamis concept.”

It might be that China’s engineers had been working along roughly the same lines as the UK engineers. Or it may be that China attempted to replicate the design based on pictures of the Pelamis project freely available on the web.

Or there could be a darker explanation: that Pelamis was targeted by China, which has been repeatedly accused of pursuing an aggressive industrial espionage strategy. The answer matters, given security concerns raised by the government’s award of the Hinkley Point nuclear contract to China.

“It was a tremendous feather in our cap to be the only place in the UK outside of London that the Chinese vice-premier visited,” Carcas said. “We did have a break-in about 10 weeks after, when a number of laptops were stolen. It was curious that whoever broke in went straight to our office on the second floor rather than the other company on the first floor or the ground floor.”

Carcas, who is now managing director of the renewable energy consultancy Caelulum, added: “I could infer all sorts of things but I do not want to say.”

Ironically, Pelamis is now defunct but the Chinese product, Hailong (Dragon) 1, still appears to be under development.

Scotland has been at the forefront of the development of wave technology for decades. Pelamis was one of the cutting-edge companies, originally named the Ocean Power Delivery company when founded in 1998 and renamed Pelamis Wave Power in 2007.

The company, which employed a staff of 50, developed a giant energy wave machine, which it named Pelamis. It looked like a metal snake, facing directly into the waves, harnessing the power of the sea. It had a unique hinged joint system that helped regulate energy flow as waves ran down its length.

Other revolutionary features included a sophisticated control system and a quick mechanism for releasing it into the sea and recovering it. In 2004, it became the first wave energy machine to generate electricity into the grid.

China expressed interest in December 2010 in an email to Pelamis: “It is decided that His Excellency, Mr Li Keqiang, vice-premier of the state council of China, and the delegation (60 people) headed by him will pay a visit to the Pelamis Sea Energy Converter between 16.40 and 17.00 on Sunday 9 January.”

Li, who is now premier of China, was accompanied by other senior Chinese government officials and was shown round the key stages in the construction of Pelamis at the site in Leith, Edinburgh.

Moore was his host for the visit and recalled the Chinese had been very impressed. Asked about the coincidence of the visit, the break-in and emergence of a similar Chinese project, Moore said: “I am afraid I am not going to speculate. It is intriguing.”

The day was rounded off with the dinner at the castle. A Scottish government memo setting out the itinerary said: “Evening dinner at castle with whisky tasting, Scottish dancing, crown jewels.”

Any faint hopes that the Chinese might invest in the Pelamis project proved fruitless however. Three years later, in November 2014, Pelamis went into administration, having run out of funding after 17 years developing the project at a cost of £95m.

Two months after the Chinese visit, on the night of Monday 22 March 2011, the Pelamis office was broken into. The burglar – or burglars – managed to get through a perimeter fence and then the front door. They skipped the first-floor office of the German engineering giant Siemens and continued to Pelamis on the second floor.

Police Scotland, in a statement confirming the break-in, said no one had ever been caught. “Entry was forced to a business premises on Bath Road in Edinburgh between 11pm 21 March and 6.45 am on 22 March 2011,” the police said.

“A number of laptops, collectively worth a four-figure sum, were stolen from within. Officers conducted extensive inquiries at the time and any new information received will be thoroughly investigated.”

Break-ins at dockyards are not unusual. Pelamis had suffered before when copper cables were stolen from its site. But theft of laptops from its office was a first.

The pictures from China, show that the product, as well as looking roughly the same, also seems to have specific features such as a similar-looking hinged joint system and a similar system for placing in and recovering the project from the sea. Tests on the Hailong 1 were carried out in in 2014 and again in 2015 but on both occasions the tests had to be suspended because of rough seas.

It was an unusual burglary, in which four or five laptops were stolen from a Scottish renewable energy manufacturer in the dead of a March night in 2011. So innovative was the company that it had been been visited by a 60-strong delegation led by China’s then vice-premier only two months before.

Nothing else was taken from the company and the crime, while irritating, went unsolved and forgotten – until a few years later pictures began emerging which showed a remarkably similar project manufactured in the world’s most populous country.

Then some people who were involved in the Scottish company, Pelamis Wave Power, started making a connection between the break-in and the politician’s visit, which was rounded off with dinner and whisky tasting at Edinburgh Castle hosted by the then Scottish secretary, Michael Moore.

Max Carcas, who was business development director at Pelamis until 2012, said the similarities between the Scottish and Chinese products were striking. Speaking publicly for the first time, he said: “Some of the details may be different but they are clearly testing a Pelamis concept.

[see images in original article]

It might be that China’s engineers had been working along roughly the same lines as the UK engineers. Or it may be that China attempted to replicate the design based on pictures of the Pelamis project freely available on the web.

Or there could be a darker explanation: that Pelamis was targeted by China, which has been repeatedly accused of pursuing an aggressive industrial espionage strategy. The answer matters, given security concerns raised by the government’s award of the Hinkley Point nuclear contract to China.

“It was a tremendous feather in our cap to be the only place in the UK outside of London that the Chinese vice-premier visited,” Carcas said. “We did have a break-in about 10 weeks after, when a number of laptops were stolen. It was curious that whoever broke in went straight to our office on the second floor rather than the other company on the first floor or the ground floor.”

Carcas, who is now managing director of the renewable energy consultancy Caelulum, added: “I could infer all sorts of things but I do not want to say.”

Ironically, Pelamis is now defunct but the Chinese product, Hailong (Dragon) 1, still appears to be under development.

Scotland has been at the forefront of the development of wave technology for decades. Pelamis was one of the cutting-edge companies, originally named the Ocean Power Delivery company when founded in 1998 and renamed Pelamis Wave Power in 2007.

The company, which employed a staff of 50, developed a giant energy wave machine, which it named Pelamis. It looked like a metal snake, facing directly into the waves, harnessing the power of the sea. It had a unique hinged joint system that helped regulate energy flow as waves ran down its length.

Other revolutionary features included a sophisticated control system and a quick mechanism for releasing it into the sea and recovering it. In 2004, it became the first wave energy machine to generate electricity into the grid.

China expressed interest in December 2010 in an email to Pelamis: “It is decided that His Excellency, Mr Li Keqiang, vice-premier of the state council of China, and the delegation (60 people) headed by him will pay a visit to the Pelamis Sea Energy Converter between 16.40 and 17.00 on Sunday 9 January.”

China’s Vice Premier Li Keqiang (C) is escorted on a tour of the Pelamis Wave Power factory on January 9, 2011 in Edinburgh, Scotland.
Li Keqiang (centre) is escorted on a tour of the Pelamis factory on 9 January 2011 in Edinburgh. Photograph: WPA Pool/Getty Images
Li, who is now premier of China, was accompanied by other senior Chinese government officials and was shown round the key stages in the construction of Pelamis at the site in Leith, Edinburgh.

Moore was his host for the visit and recalled the Chinese had been very impressed. Asked about the coincidence of the visit, the break-in and emergence of a similar Chinese project, Moore said: “I am afraid I am not going to speculate. It is intriguing.”

The day was rounded off with the dinner at the castle. A Scottish government memo setting out the itinerary said: “Evening dinner at castle with whisky tasting, Scottish dancing, crown jewels.”

Any faint hopes that the Chinese might invest in the Pelamis project proved fruitless however. Three years later, in November 2014, Pelamis went into administration, having run out of funding after 17 years developing the project at a cost of £95m.

Two months after the Chinese visit, on the night of Monday 22 March 2011, the Pelamis office was broken into. The burglar – or burglars – managed to get through a perimeter fence and then the front door. They skipped the first-floor office of the German engineering giant Siemens and continued to Pelamis on the second floor.

Police Scotland, in a statement confirming the break-in, said no one had ever been caught. “Entry was forced to a business premises on Bath Road in Edinburgh between 11pm 21 March and 6.45 am on 22 March 2011,” the police said.

“A number of laptops, collectively worth a four-figure sum, were stolen from within. Officers conducted extensive inquiries at the time and any new information received will be thoroughly investigated.”

Break-ins at dockyards are not unusual. Pelamis had suffered before when copper cables were stolen from its site. But theft of laptops from its office was a first.

The pictures from China, show that the product, as well as looking roughly the same, also seems to have specific features such as a similar-looking hinged joint system and a similar system for placing in and recovering the project from the sea. Tests on the Hailong 1 were carried out in in 2014 and again in 2015 but on both occasions the tests had to be suspended because of rough seas.

The Hailong 1 appears to have been built at the Number 710 Research Institute, part of the Chinese Shipbuilding Industry Corporation, a commercial operation. The institute is also involved in developing military projects.

The Guardian sent a series of questions to the Chinese government asking for details about the origins of the Hailong 1 project but has had no reply. There is no suggestion that the Chinese premier is connected with the company or that he knows anything about the burglary.

Despite the similarities, neither the UK nor Scottish governments has any plans to challenge China over the patent. Calum Macfarlane, a spokesman for Wave Energy Scotland, said: “The IP [intellectual property] is not protected in China.”

Carn Gibson, who spent 15 years at Pelamis, where he was engineering manager, is disappointed that funding for the Pelamis project could not be found in the UK and appeared sanguine about the Chinese design.

Gibson, who is now senior consulting engineer at Quoceant, a new company that grew out of Pelamis, said he regarded it as a compliment that the Chinese may have thought it was an idea worth copying, especially if they were able to turn it into a viable commercial proposition. He was rueful though that it was being developed in the South China Sea rather than the Atlantic.”

http://www.theguardian.com/world/2016/oct/10/mysterious-factory-break-in-raises-suspicions-about-chinese-visit

Devon and Somerset devolution on governments “back burner”

Owl has two questions:

if it IS on the back burner, should we be hanging on Somerset’s coat tails, hoping for Hinkley C breadcrumbs and an elected Mayor who will be Hinkley-centric?

and

should we be employing LEP staff and shovelling out expenses to our LEP while things are re-evaluated – or should we cut our losses, scrap it and look to sustaining our own Devon economy in what will possibly be rocky post- Brexit times?

The region’s devolution bid appears to have been shoved onto the back burner this week, following a Government U-turn on the need for elected mayors.

Earlier this year council leaders were optimistic of securing a deal by the autumn, after agreeing on proposals to establish a combined-authority.

But the Treasury now looks to have ruled this possibility out, after revealing its “priority” will be areas with directly elected mayors.

Speaking to the Herald, Treasury minister David Gauke claimed this model provides local authorities with “maximal” opportunities for devolved powers.

“To get the most powers you need the best accountability and that’s delivered by directly-elected mayors,” he said.

“We think [it’s] the best model… so we continue to encourage local authorities to go down that route.

“Those areas that don’t want to go down that route, we will of course still look at the devolution options there.

“I think the priority is delivering the directly elected mayor model.”

This renewed focus on mayors appears to contradict messages from the Department for Communities and Local Government, which has previously indicated support for a combined authority model.

Earlier this year, councils in Devon and Somerset voted in favour of creating a combined authority for the region, on the understanding this would improve the area’s chances of a devolution deal.

Critics of the mayoral model express concern about the ability of a single leader to effectively represent areas as economically and geographically diverse as Plymouth and the Mendips.

Responding to Mr Gauke’s comments, leader of Somerset County Council, John Osman, said his understanding “is that the Prime Minister does not think a mayor is essential for devolution”.

“Some initial public engagement this summer suggests that is a view shared by Somerset residents,” he added.

“We have a compelling case for devolved powers and budgets which has the potential to drive productivity, address challenges and capitalise on our many opportunities.

“We aim to continue these with the new relevant minister, Sajid Javid, in the near future to maintain the momentum and take our plans forward.”

Conservative MP for Wells, James Heappey, acknowledged that the recent change in Government leadership has resulted in changes to devolution policy.

He suggested this could provide the region with an opportunity to “take [its] foot off the accelerator” and review its proposals.

“If there is value in doing it, if it’s going to allow public services to be more efficient…. Then clearly we should go ahead [with a combined authority bid],” he said.

“[But] it makes no sense to change things just for the sake of changing things.”

Kevin Foster, the MP for Torbay – which recently voted to scrap its mayoral system – said many residents “won’t be itching” to have another elected mayor.

But he suggested the option is worth considering if it means “getting transport powers and an ability to deliver for local people”.

Mr Gauke did stress that the Government is still keen to extend devolution beyond the high profile city regions.

He said “a lot of focus has been on cities” but it would be good to “show how devolution can work in all parts of the country”.

Read more at http://www.plymouthherald.co.uk/ministers-send-devon-devolution-deal-to-the-back-of-the-queue/story-29780812-detail/story.html

British public will pay decommissioning costs of Hinkley C

There will be some VERY happy nuclear-vested LEP members who will surely be hoping to cash in there when the time comes and their grandchildren are running their companies!

The French and Chinese companies that are to build the £18bn Hinkley Point C nuclear power station will have to pay up to £7.2bn to dismantle and clean it up. [but read further – the cost is built in to the price we will pay them for electricity generated].

Documents published yesterday reveal for the first time how much the developers, EDF and China General Nuclear Power Group (CGN), will have to pay to decommission the plant, beginning in 2083.

The new reactors in Somerset will be unique in British nuclear history, as they are the first for which the operator will have to pay to make good the site afterwards.

“Waste transfer contracts signed today mean that, for the first time in the UK, the full costs of decommissioning and waste management associated with the new power station are set aside during generation and are included in the price of the electricity,” EDF said in a statement.

Decommissioning costs ate up around half the budget for the now-disbanded department of energy and climate change, after the liabilities for cleaning up old nuclear plants were effectively nationalised in 2004 and 2005 when two companies faced financial problems.

The Hinkley Point C decommissioning costs are estimated at £5.9bn to £7.2bn, with the dismantling of the plant expected to begin in 2083. The government, EDF and CGN anticipate the winding up of the new reactors will continue well into the 22nd century. The plant is expected to be fully decommissioned “from 2138” when the final spent fuel is disposed of.

Experts said the cost estimate was likely to be on the low side. “The reality in terms of decommissioning is that it always costs more than people say,” said Dr Paul Dorfman, of the Energy Institute at University College London.

He claimed that the precedent of the government taking ownership of the liabilities of British Nuclear Fuels Limited and British Energy more than a decade ago showed that the government would be forced to shoulder the costs if Hinkley’s developers had a shortfall.

The body charged with dismantling 17 of Britain’s old nuclear power plants puts the cost of cleanup at £117bn over 100 years in its latest annual report, more than twice the cost estimated a decade ago. A large proportion of the cost is due to the complexity of Sellafield.

The business department also admitted that large scale solar power and onshore windfarms could produce electricity for less than the price agreed for Hinkley, as the National Audit Office said in the summer.

But officials suggested there would be additional costs to the renewable alternatives. “There would be significant upgrades to the grid required (such as connection and planning costs) as well as increased costs to keep the system in balance,” said the ‘Value for money assessment’.

Greenpeace UK executive director, John Sauven, said: “We now have it straight from the horse’s mouth. Increasingly cheaper renewable energy sources do indeed offer better value for money to British bill-payers than Hinkley.

“The government tries to obfuscate the advantages of solar and wind by throwing in extra costs for grid upgrades and balancing the energy system. But there’s no evidence anywhere in the documents to back up their assumptions.”

http://www.theguardian.com/environment/2016/sep/30/hinkley-point-c-developers-face-72bn-cleanup-bill-at-end-of-nuclear-plants-life

French company gets big Hinkley C contracts

French nuclear group Areva (AREVA.PA) said on Thursday it has won contracts worth over 5 billion euros (£4.32 billion) to provide various services at Britain’s $24 billion Hinkley Point nuclear project.

The deal to build Britain’s first new nuclear power station in decades at Hinkley Point was signed behind closed doors in London earlier on Thursday in a private ceremony.

Areva said the subcontracts include among others, a long-term fuel supply agreement, and the delivery of the two nuclear steam supply systems, from design and supply to commissioning.

The company will also provide material for the fuel fabrication, producing uranium and providing conversion and enrichment services at Hinkley Point.

http://feeds.reuters.com/~r/Reuters/UKTopNews/~3/gfU-JvCSFbA/uk-britain-nuclear-areva-contracts-idUKKCN11Z2KB

“Working with the willing” in devolution deals

The post below cites former Labour minister John Healey as saying that his government got devolution wrong but this government has got it right by “working with the willing”.

Owl finds this a chilling phrase in politics. Working with those who are willing to do what exactly?

We have never been given the story of how a bunch of businessmen and women with vested interests suddenly found themselves working together as something called the Local Enterprise Partnership. There is no back story, no minutes of meetings where they were chosen (Were they chosen? Who by? When? How?), no paper trail about it all hooked up as a package that slipped into full being.

How come very quickly Cornwall decided to go it alone when its natural partner would have been Devon? How come Somerset decided to pall up with Devon and not Avon and Bristol?

The reason for that at least for that is clear. Devon businesses in the LEP are highly invested in nuclear activities or training for nuclear jobs or building houses around the nuclear sites or servicing the site through parent companies or subsidiaries. Whilst it might have worked better for Somerset to pall up with Bristol and Avon – Somerset was definitely “working with the willing”!

With Hinkley C having French and Chinese construction and personnel, it will be interesting to see whether those two partners are willing to work with each other, let alone Somerset or more remote Devon!

We can’t see the Chinese workers bedding down at the Premier Inn at Exmouth each night or the French workers choosing Honiton over Bristol for their nights out on the town!

Perhaps get some advance payment on Hinkley C from the Chinese ….

“China has failed to curb excesses in its credit system and faces mounting risks of a full-blown banking crisis, according to early warning indicators released by the world’s top financial watchdog.

A key gauge of credit vulnerability is now three times over the danger threshold and has continued to deteriorate, despite pledges by Chinese premier Li Keqiang to wean the economy off debt-driven growth before it is too late.

The Bank for International Settlements warned in its quarterly report that China’s “credit to GDP gap” has reached 30.1, the highest to date and in a different league altogether from any other major country tracked by the institution. It is also significantly higher than the scores in East Asia’s speculative boom on 1997 or in the US subprime bubble before the Lehman crisis.”

http://www.telegraph.co.uk/business/2016/09/18/bis-flashes-red-alert-for-a-banking-crisis-in-china/

“Hinkley: where Tories’ private bank balances are going nuclear”

“On 15 September, Prime Minister Theresa May officially gave the go-ahead for the controversial Hinkley Point C nuclear power station. After May put the project under review in July, there were rumours that it might be cancelled. But today’s sudden announcement appears to have cemented the deal.

But the move should come as little surprise. Because when you look at who is behind it, and who benefits from it, it appears that the Tories (once again) have their snouts firmly in the trough.

An eye-watering white elephant

The £18bn new plant in Hinkley, Somerset is being built by French energy company EDF, and financed by both them and the Chinese government. The latter agreed to the financing, in return for approval of a Chinese-led and designed project at Bradwell in Essex. But there are concerns about escalating costs and the implications of nuclear power plants being built in the UK by foreign governments.

The deal been slammed by both Labour and environmental campaigners. Green Party MP Caroline Lucas, meanwhile, has called Hinkley “the biggest white elephant in British history”. She said that it was absurd and disappointing that the deal was to proceed when the government is reducing support for cheaper, safer and more reliable renewable alternatives:

Instead of investing in this eye-wateringly expensive white elephant, the government should be doing all it can to support offshore wind, energy efficiency and innovative new technologies, such as energy storage.
But a quietly released report by Greenpeace shows that the deal was probably always going to go ahead.

EDF: in bed with the government

Analysis done by Greenpeace found that ten advisers and civil servants who worked at the former Department for Energy and Climate Change (DECC) in the last five years had links to EDF. One was recently employed by the DECC and was also a manager at the Office for Nuclear Regulation, the regulator for the nuclear industry. This was before they became a licensing officer for EDF.

An EDF Strategy Manager had a 13-month secondment to the DECC commercial team while working for auditors KPMG. As Greenpeace notes, the DECC commercial team “played a crucial role in deciding to press ahead with the Hinkley project”. It was this team which had oversight on who invested in Hinkley Point C. Additionally, a communications officer for EDF was previously the Senior Ministerial Visits Manager at DECC until early 2016. And a policy adviser and analyst for the now-defunct department had previously done the same job at EDF.

This is on top of the fact that former Liberal Democrat Energy Secretary, Ed Davey, now works as a lobbyist for MHP Communications – where EDF just happens to be a client. As Martin Williams describes in his book Parliament Ltd: A journey to the dark heart of British politics:

When he lost his seat in 2015, he [Davey] went off to join MHP Communications. He had connections with the firm already: MHP acted as lobbyists for EDF Energy, who Davey “had dealings with as a minister”… When MHP’s Chief Executive announced Davey’s appointment he was able to speak candidly about the benefits of employing a former energy minister. “Ed’s unique insight into the energy sector will be particularly valuable to the companies that we work with in that sector. His knowledge of the top-level workings of Britain’s political system will also prove immensely useful to a range of our clients and to MHP itself”.

It was Davey who was responsible for the initial agreement between the government and EDF. But the links to EDF Energy and the Tory government run deeper than the Greenpeace analysis. And go right to the top of the Conservative Party.

Tories: in bed with EDF

Sir Richard Lambert heads EDF’s Stakeholder Advisory Panel. It gives EDF “strategic advice and direction”. Knighted under David Cameron, he’s a non-executive director of the Foreign and Commonwealth Office, acting as lead advisor to the Foreign Secretary. He was in this role under Philip Hammond, who appears to have been crucial in getting the Hinkley deal pushed through. Lambert said of the Hinkley deal:

The Stakeholder Panel will be taking a particular interest in the final investment decision on Hinkley Point C.

Also advising EDF is Dame Helen Alexander. She is a non-executive director at Rolls-Royce, which has £100m worth of contracts at Hinkley, Alexander is also the Deputy Chair of the “women on boards” review. She was appointed by Sajid Javid in February 2016.”

http://www.thecanary.co/2016/09/15/hinkley-tories-private-bank-balances-going-nuclear/

Hello, Hinkley C, goodbye green energy (and the NHS)

The champagne corks will be popping at our Local Development Partnership (though we can’t tell you where that will be as they don’t tell us where their offices are). Many pockets to be lined by those members with nuclear interests.

Green energy will now be the Cinderella and the money that could have got our NHS out of debt will now be poured into Chinese and French pockets.

And our LEP can hold us all to ransom as it holds all our purse strings.

Happy days.

The Chinese way of doing business?

Our LEP and the Government need to keep their eyes wide open if Hinkley C goes ahead according to this report!

” … China’s growing industrial sector has been hard on the aluminum producers in the United States. In 2000 there were 23 smelters operating nationwide, now there are only five.

So when an aluminum executive named Jeff Henderson got wind of a giant stockpile of Chinese aluminum just below the U.S border with Mexico, he decided to commission a plane to check it out.

What did they find?

Six percent of the world’s aluminum, worth some $2 billion and enough to make 77 billion beer cans, according to the Journal’s fascinating report.

The revelation led to tensions between U.S. trade authorities and China, as U.S. industry executives insist that the metal is linked to Liu Zhongtian, who runs China Zhongwang Holdings, an enormous industrial aluminum company.

U.S. industry officials allege the metal got there as part of a scheme to evade trade restrictions. The idea was to move aluminum through Mexico into the U.S. where it could benefit from provisions in the North American Free Trade Agreement.

“These things have nothing to do with me,” Liu told the Journal, although the results of the investigation cast doubt on that claim.

Aluminum manufacturing is subsidized in China, and so Chinese firms were able to undercut U.S. producers; the United States responded by setting up tariffs to make domestic aluminum more attractive.

Routing Chinese aluminum through Mexico was a way to get around those tariffs.

Things went awry when a one of Liu’s alleged business partners Po-Chi “Eric” Shen, started to gain attention over some of his erratic practices, which the Journal report highlighted and included spending fortunes on dubious expenses like $70 million worth of red diamonds and rare Ferraris.

The relationship allegedly deteriorated quickly — Shen made headlines in 2014 when he wrecked Liu’s sports car while vacationing in Italy, and was rescued by Rowan Atkinson, of Mr. Bean fame.

The metal may never make it to the United States, in fact there are currently plans to ship it back to Asia, this time Vietnam.”

http://uk.businessinsider.com/a-chinese-billionaire-may-have-hidden-6-of-the-worlds-aluminum-in-the-mexican-desert-2016-9?amp?r=US&IR=T

European energy use falls ahead of target – another Hinkley C nail in the coffin?

“Europe has met a landmark goal of slashing its energy consumption six years ahead of time, cutting greenhouse gas emissions equivalent to switching off about 400 power stations.

In 2014, the EU’s 28 member countries consumed 72m tonnes of oil equivalent less than had been projected for 2020, according to a report by the EU’s science arm, the Joint Research Centre (JRC). The figure matches Finland’s annual energy use.

Environmental campaigners described the achievement as “remarkable”. and “incredible” but the European commission was restrained.

“Final energy consumption is currently below the 2020 target,” a spokeswoman for the commission said. “The EU-28 are also on a good pathway to achieving the primary energy consumption target for 2020 if current efforts are maintained.”

Major energy savings were reported across all sectors in the study, with EU legislation driving efficiency gains in electrical products, industry installations, fuel economy and the housing sector.

Energy use in residential buildings fell by 9.5% between 2000 and 2014, second only to the industrial sector, where there was an energy drop of 17.6% over the same period.” …

http://www.theguardian.com/environment/2016/sep/06/eu-energy-reduction-target-six-years-early-greenhouse-gas-emissions

“Hinkley Point deal out of date and too expensive, says energy chief “

The head of energy giant ScottishPower has waded into the row over Hinkley Point, insisting that the controversial subsidy deal for EDF’s proposed nuclear plant should be renegotiated because it is too expensive.

Keith Anderson, the firm’s chief corporate officer, said the deal, provisionally agreed by the Government in 2013 following lengthy negotiations, no longer made sense in the light of lower gas and offshore wind costs.

“It looks like a contract that was written five years ago on a business case that was probably pulled together 10 years ago. It looks out of line with what’s going on in the market now,” he said. …”

http://www.telegraph.co.uk/business/2016/09/03/hinkley-point-deal-out-of-date-and-too-expensive-says-energy-chi/

The article raises very serious concerns about the business sense of our Local Enterprise Partnership, which seems blind to the economic realities of the Hinkley C project.

We know, of course, that many members of our LEP have enormous direct and indirect investment in the project and presumably need it to continue to allow their own interests to thrive.

But is it in OUR interest to allow them to trouser likely profits from such an unbalanced deal?

They will say that they are doing this for our benefit, of course – more jobs, more houses, etc. But with Brexit we now look towards having fewer people coming to this country from the EU (though exceptions would doubtless be made for French and Chinese workers) and much higher import costs if we do not have free trade in the EU. Plus the business case for renewables is strengthening all the time, especially as battery storage research and implementation has made enormous progress.

Our LEP members know all this but only last week its CEO was telling us how hard he and his members are battling to keep the project going:

http://us4.campaign-archive2.com/?u=4e59660292bd6b4a5c7d7b8a7&id=a36a037523&e=fa5cdb1f1

We have to ask: who are they battling for – and why?

The great scandal of LEPs now lies before us: small (very small) groups of business people who look to their own interests before those of the residents where they live. Often in secret and with minimal or no scrutiny. And who pursue their own interests even when they put them at odds with the majority of people in the areas they purportedly represent.

Our East Devon Business Forum seems to have been a practice run for our Local Enterprise partnership, and we all know how that ended – also coincidentally in the Daily Telegraph:

http://www.telegraph.co.uk/news/uknews/9921333/If-I-turn-a-green-field-into-an-estate-then-Im-not-doing-it-for-peanuts.html

Heart of the South West LEP member doing well in the arms trade

?Good to see LEP board member Nick Ames doing well with his company’s new range of military arms vehicles:

Dunkeswell-based Supacat is unveiling the Logistic Support and Recovery variants at the DVD2016 show, a two-day event at Millbrook Proving Ground, on Wednesday and Thursday, September 7 and 8, which brings together army staff and industry representatives from the land equipment sector.”

http://www.exeterexpressandecho.co.uk/supacat-to-unveil-new-military-vehicles-at-dvd2016-show/story-29679072-detail/story.html

Supacat has also moved into the nuclear sector and is, unsurprisingly backing Hinkley C along with other nuclear-invested board members:

https://www.nsan.co.uk/news/supacat-ltd-expand-nuclear

How long before we see a Nuclear Supercat?

image

Source: http://tetrahedral.blogspot.com/2009/11/newsflash.html

EDF staff reps go to court to get Hinkley C decision to proceed annulled

“Five staff representatives on the board of EDF have filed a legal complaint seeking to annul the utility’s decision to go ahead with its Hinkley Point nuclear project in Britain, EDF unions said in a joint statement on Wednesday.

On July 28, EDF’s board voted 10 to seven to proceed with the 18 billion pound project to build two nuclear reactors. All six staff representatives and one other board member voted against, while one board member resigned in protest against EDF’s strategy.

The unions argue that EDF Chief Executive Jean-Bernard Levy and representatives of the French state should have informed the board that they knew the British government wanted to take more time to review the contract.

Hours after EDF’s board approved the project, the UK government postponed its decision until early autumn. Days later, in an email to top EDF executives, Levy admitted that the night before the board meeting he had been told new British Prime Minister Theresa May wanted a bit more time.

The nuclear reactors carry huge risks for both France and Britain. EDF will assume the up-front costs, which unions say could jeopardise the firm’s survival, while Britain has committed to pay a price twice current market levels for the power generated by the plant.

“Some board members discovered they did not benefit from the same level of information as the CEO and government representative,” the CGT, CFE-CGC and FO unions said. The moderate CFDT union did not sign the statement.

The unions added there was no justification to push the board to vote on the project in a hurry.

EDF declined to comment on Wednesday.

Law firm Alain Levy, which represents the five union board members, said in a statement it had filed a complaint with the Paris commercial court, asking it to annul the vote because Levy had not shared essential information with all board members.

A first hearing in the case is scheduled for Sept 5.

Source: Reuters
http://feeds.reuters.com/~r/reuters/UKDomesticNews/~3/rCGvD5kV93M/uk-edf-britain-nuclear-cgt-idUKKCN11617T