Planned new UK nuke power plant heading for white elephant territory

[JohnyCanuck]

The World’s Most Expensive “Thing” – It’s British, a Financial Disaster And Will Affect Us All
By Graham Vanbergen

One of the biggest scandals of our time is heading towards Britain. At the heart of Conservative energy policy is a white elephant of epic proportions – the Hinkley Point Nuclear power station in Somerset. You may have read something about it – but probably not this.

This power station has been described as the most expensive single “thing” on earth, although other power projects such as energy ports come even more expensive. Originally budgeted to cost around £14 billion three years ago, then £18 billion last year and revised up to nearly £22 billion this year. The EU Commission has estimated its final cost to be £24 billion.

Electricité de France or EDF the French state owned energy company is the biggest stakeholder. The project to build this power station is more expensive than the entire market capitalisation value of EDF and is effectively one huge gamble, and a gamble in more ways than one.

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The Chinese have been beckoned as investor of last resort and you might wonder why they would want to be involved anyway in such a disaster. Well, for their investment, expected to be worth up to one third of the total project cost they want guarantees as well. However, they want payment even if the project fails, now or in the future, for whatever reason, including if no power is generated ever. And the British government on behalf of the taxpayer, has decided to give those guarantees.

http://www.activistpost.com/2016/05/the-worlds-most-expensive-thing-its-british-a-financial-disaster-and-will-affect-us-all.html