I read this news on the BBC today that annoyed me immediately, and so I am taking to my blog to protest.
Please read this - https://www.bbc.co.uk/news/uk-england-suffolk-49083179
The government is proposing that the electricity customers in the UK (that’s you and I) should provide funds to the electricity generating companies to be used to assist the building of new nuclear power stations.
As electricity customers, we should be charged more, and in advance of the plants being built, in order to help companies like EDF overcome their investment barriers.
Why is this? Because proper “investors” (not end customers like you and I) don’t want to handover their funds to finance long term projects that are plagued with over runs and rising costs. And no bloody surprise if you ask me.
So, as members of the public, we don’t get to be consulted on whether we even want more nuclear power stations, and yet it is proposed that we pay up front for the benefits we may never even receive. And if the project planners get it wrong (which is inevitable), we then part fund the overruns and the extra costs too.
And what about the power plants at the end of their lives? Will all electricity end user customers pay towards the decommissioning too? The costs associated with decommissioning Sellafield have been astronomical and out of control.
But, cynically, it’s okay because other “investors” would then be able to receive dividends during the construction phase of a new plant. Oh and one day, us electricity users may save some money.
The Regulated Asset Base (RAB) funding method for nuclear projects is being consulted on by government over the next 12 weeks. Here’s the paper, read it for yourself and then think about contributing to the consultation. Or go and hassle your MP.
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/819214/rab-model-for-nuclear-consultation.pdf
Here’s where you take part - https://beisgovuk.citizenspace.com/energy-strategy-networks-markets/regulated-asset-base-rab-model/
Or you can email your comments to RABconsultation@beis.gov.uk
I can’t be alone in wondering if the government has got a proper grip. To illustrate, if UK plc can’t generate enough electricity with the infrastructure we have, then why the hell is the government then championing electric vehicles - which will inevitably increase the demand for electricity generation. Some thinking isn’t joined up. Diesel has been demonised, the car industry battered and our economy damaged for environmental advantages that we can’t actually realise with the investment/power generation structures that we have.
The consultation paper details the desire for pension companies (proper investors) to invest. Well if the RAB initiative goes through, I’ll be very prescriptive with my pension managers about my fund not having anything to do with electricity generation ever again.
And if we all stand for this RAB initiative, what next I wonder? A RAB for every single rail passenger to pay a premium to realise the undoubted benefits HS2 (another disastrous project). Or every single person that ever gets on a plane to pay a premium to fund exploration to Mars.
And in the race to Mars is key to this, Jeff Bezos, Elon Musk and all their sponsors have no issue sinking significant funds into space travel – you don’t see them keen in investing in UK nuclear power stations. If the numbers don’t stack up, then why are we doing it at all.
My feedback to the DBEIS is this – “you have got to be kidding” and “NO”. I was inclined to lace the comments with expletives, but will restrain myself.
Please share this post if you agree with me.
I am going to contribute to the consultation right now and I urge you to do the same. You’ve only got until the 14th October though.
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Please read this - https://www.bbc.co.uk/news/uk-england-suffolk-49083179
The government is proposing that the electricity customers in the UK (that’s you and I) should provide funds to the electricity generating companies to be used to assist the building of new nuclear power stations.
As electricity customers, we should be charged more, and in advance of the plants being built, in order to help companies like EDF overcome their investment barriers.
Why is this? Because proper “investors” (not end customers like you and I) don’t want to handover their funds to finance long term projects that are plagued with over runs and rising costs. And no bloody surprise if you ask me.
So, as members of the public, we don’t get to be consulted on whether we even want more nuclear power stations, and yet it is proposed that we pay up front for the benefits we may never even receive. And if the project planners get it wrong (which is inevitable), we then part fund the overruns and the extra costs too.
And what about the power plants at the end of their lives? Will all electricity end user customers pay towards the decommissioning too? The costs associated with decommissioning Sellafield have been astronomical and out of control.
But, cynically, it’s okay because other “investors” would then be able to receive dividends during the construction phase of a new plant. Oh and one day, us electricity users may save some money.
The Regulated Asset Base (RAB) funding method for nuclear projects is being consulted on by government over the next 12 weeks. Here’s the paper, read it for yourself and then think about contributing to the consultation. Or go and hassle your MP.
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/819214/rab-model-for-nuclear-consultation.pdf
Here’s where you take part - https://beisgovuk.citizenspace.com/energy-strategy-networks-markets/regulated-asset-base-rab-model/
Or you can email your comments to RABconsultation@beis.gov.uk
I can’t be alone in wondering if the government has got a proper grip. To illustrate, if UK plc can’t generate enough electricity with the infrastructure we have, then why the hell is the government then championing electric vehicles - which will inevitably increase the demand for electricity generation. Some thinking isn’t joined up. Diesel has been demonised, the car industry battered and our economy damaged for environmental advantages that we can’t actually realise with the investment/power generation structures that we have.
The consultation paper details the desire for pension companies (proper investors) to invest. Well if the RAB initiative goes through, I’ll be very prescriptive with my pension managers about my fund not having anything to do with electricity generation ever again.
And if we all stand for this RAB initiative, what next I wonder? A RAB for every single rail passenger to pay a premium to realise the undoubted benefits HS2 (another disastrous project). Or every single person that ever gets on a plane to pay a premium to fund exploration to Mars.
And in the race to Mars is key to this, Jeff Bezos, Elon Musk and all their sponsors have no issue sinking significant funds into space travel – you don’t see them keen in investing in UK nuclear power stations. If the numbers don’t stack up, then why are we doing it at all.
My feedback to the DBEIS is this – “you have got to be kidding” and “NO”. I was inclined to lace the comments with expletives, but will restrain myself.
Please share this post if you agree with me.
I am going to contribute to the consultation right now and I urge you to do the same. You’ve only got until the 14th October though.
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