(UK) Hinkley Point C nuclear deal contains £22bn 'poison pill' for taxpayer
http://www.theguardian.com/uk-news/2016/mar/18/hinkley-point-c-nuclear-deal-22bn-poison-pill-taxpayer
Public left with huge liability for a government closure of power plant before 2060 under UKs agreement with EDF
Hinkley Point C nuclear deal contains £22bn 'poison pill' for taxpayer
Damian Carrington
Friday 18 March 2016 07.00 EDT
The Hinkley nuclear power deal contains a poison pill which could leave taxpayers with a £22bn bill if a future UK government closed the plant before 2060, according to an official document seen by the Guardian.
The huge liability shows Hinkley is a terrible deal for the UK public, according to critics, with the company also guaranteed three times todays price for electricity for 35 years. The project has recently been battered by financial warnings and resignations at its prime backer EDF, although on Thursday Frances economics minister, Emmanuel Macron, said that the French state would bail the company out.
The deal the UK government has agreed with EDF, set out in an unpublicised minute, commits the British public to pay subsidies of up to about £40bn in real terms and provides state guarantees on nuclear waste disposal and insurance, while allowing the plant to begin producing electricity as late as 2033.
A shutdown that triggers the poison pill compensation is not entirely within the control of the UK government but could also be forced by the EU or an international regulator such as the International Atomic Energy Agency, according to the document.