German energy giant RWE has appointed advisers for a strategic review of Urenco the nuclear power company it co-owns with the British and Dutch government.
The move could press the UK Government to formalise its own strategy on disposal of the company, which is expected to net UK taxpayers 1bn.
LONDON (Reuters) - Britain's nuclear strategy is "uninvestable" for private clients, who are only likely to put money into new plants if the government shoulders more of the risks involved, Citigroup's head of European utilities research said on Wednesday.
Nuclear developers plan to build around 16 gigawatts of new nuclear capacity in the UK by 2025 to help meet the UK's tough climate targets, but the investment environment is "dire," Peter Atherton told journalists at a briefing in London.
Britain’s “big six” energy companies will this week warn Chris Huhne, secretary of state for energy, that the government’s proposed “floor price” for carbon emission permits is not enough of an incentive for them to invest in new nuclear power stations.
Executives from the companies, including Centrica, EDF Energy and Scottish Power, now owned by Iberdrola, are due to make their views clear at a dinner with Mr Huhne on Wednesday.
LONDON, July 18 (Reuters) - Britain must reform electricity markets if it is to secure the private investment needed to meet its carbon emissions targets, according to a study by KPMG.
The report, which will be published on Monday, said the British government's approach to investment in low-carbon generation was inconsistent and clearer planning was needed to show how emissions targets will be met.
ENERGY GAP: Power suppliers are turning back the clock to use coal-fired plants as their main source of electricity in a bid to avert potential shortages this winter.
POWER SUPPLIERS are turning back the clock to use coal-fired plants as their main source of electricity in a bid to avert potential shortages this winter.
It’s not only banks that are asking investors for billions of pounds these days. Last week Centrica, the energy company behind British Gas, tapped its shareholders for £2.2 billion in what will be one of the biggest rights issues outside financial services this year.
Unlike the banks, Centrica doesn’t need the money to save itself from destruction. In a harking-back to precredit crunch times, Centrica wants the cash to invest in a new business. City institutions are relieved. “They [Centrica’s large shareholders] have all said thank goodness you are here to talk about that and not another recapitalisation,” said Sam Laidlaw, Centrica’s chief executive.
Electrabel has reacted strongly against a plan from the Belgian government to force a one-off payment of €250 million ($338 million) from nuclear power generators.
The company's parent group, GdF-Suez has told the Belgian government that it "emphatically protests" a draft of new legislation which requires nuclear operators - and nuclear operators only - to make a "contribution" of €250 million to government coffers for the 2008 financial year.
Nuclear power firm British Energy looks poised to fall into foreign hands after it was reported French power giant EDF has agreed a £12.4 billion takeover of the firm.
The deal is worth 774p a share, the Wall Street Journal said, 9p higher than a rebuffed offer made in July.
Centrica on Wednesday fulfilled its long-standing vow to take control of Belgian power company SPE, frustrating Gaz de France’s plans to sell its stake to EDF.
The UK energy group exercised a pre-emption right over GDF’s 25.5 per cent stake in SPE for €515m (£407m) in cash, with another €105m later. The deal is expected to be completed in September.
Suez’s formal withdrawal from the bidding for British Energy further whittles down the official number of European energy groups that have expressed an interest in acquiring all or part of the nuclear power group.
In early April it was thought that British Energy was in discussions with five European energy companies about a possible bid or collaboration. The groups believed to be in the talks at the time were EDF, the French state-controlled energy group, RWE and Eon of Germany, Spain’s Iberdrola, and Centrica of the UK.
