EDF delays Hinkley funding ‘until at least September'
17 May 2013
EDF will not make a final investment decision on its £10bn Hinkley nuclear plant project until at least September and is set to cut up to half the staff on the site in Somerset.
The French power company is expected to reach a deal with the government over what it can charge for the electricity from the power plant in Somerset - the so-called “strike price” - later this month, and had been expected to announce its investment decision soon after.
However, sources close to the project have said no decision is now expected till September at the earliest. One source said it would “probably” be nearer to Christmas.
As a result of the delayed investment decision, the main civils work, which is being undertaken by Laing O'Rourke and Bouygues, is set to start about six months behind EDF's last published schedule, which said that it would start at the beginning of 2014.
This was itself a year behind the firm's original indicative timetable, which said the civils work was due to start at the beginning of 2013.
In May 2012, EDF said the joint venture had been scheduled to start “large-scale earth-moving activities” at the start of 2013, but this is now not expected to start until spring 2014.
One key factor in the delay is understood to be the need for additional investors to come on board, after UK firm Centrica announced in February it would no longer be investing.