Government will ease the way for extra plants but not provide subsidies, energy minister Charles Hendry to tell industry chiefs
Energy minister Charles Hendry will today set out the government's support for new nuclear power, in the face of opposition from the Tories' coalition partners, the Liberal Democrats.
Hendry will tell the Nuclear Industry Forum that there is a role for new nuclear plants, provided they do not require public subsidies.
In one of the key differences between the two coalition parties, the Tories back a new generation of private sector-funded nuclear power stations while the Lib Dems have long opposed new nuclear build.
The Tory junior minister, who works under Lib Dem energy secretary Chris Huhne, said conversations he has had with companies suggest they are willing to invest without being subsidised.
But the government will take steps to remove 'unnecessary' barriers to building new nuclear power stations.
Government support is likely to include a strong floor price for carbon, which could be introduced in next week's emergency budget. This would push up the price of allowances for polluting and incentivise investment in low-carbon power such as nuclear.
Hendry is expected to tell the forum in Westminster: 'The coalition agreement clearly sees a role for new nuclear, provided that there is no public subsidy.
'We are clear. It is for private sector energy companies to construct, operate and decommission new nuclear plants.
'It will be for us to ensure the appropriate levels of safety, security and environmental regulation.'
He will also tell industry leaders: 'From the commitment I've seen from the nuclear industry, I have no doubt that you can rise to the challenge.
'Nuclear power can have a key role in our energy mix. But I appreciate clarity from us is essential if new investment is to happen.
'I am pleased that some of those most interested in new nuclear, such as EDF, have welcomed the coalition's position on nuclear.'
Under the coalition agreement between the Tories and Lib Dems, the government will bring forward a national planning statement to parliament that will pave the way for new nuclear build.
Lib Dems will be allowed to speak against the plans but the party's MPs will abstain from the vote.
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