In Parliament last week, the government introduced the Nuclear Energy (Financing) Bill, which could be used for the delivery of Sizewell C.
Under the existing mechanism, developers have to finance the construction of a nuclear project and only begin receiving revenue when the station starts generating electricity. This has led to the cancellation of recent potential projects.
The new funding model, however, will ensure that new nuclear can be financed by British pension funds and institutional investors, spreading the cost. This will reduce our reliance on overseas developers and lower costs for consumers.
Therese said: "This is a tried and tested method. I remember when I was a DEFRA minister, we used it to finance the Thames Tideway water project. So it has successfully funded other big infrastructure projects and is crucial to enable us to provide continuous, low carbon electricity."
More information here - https://bills.parliament.uk/bills/3057
