Civil Nuclear Road Map and Wylfa

Debate between Virginia Crosbie and Geoffrey Clifton-Brown

Tuesday 23rd January 2024 Westminster Hall

[Virginia Crosbie]

I thank the hon. Gentleman for his kind words. He is absolutely correct. This is a UK-wide endeavour, and it means jobs not only on Anglesey but across north Wales and the whole of the UK. If we do not work together on this, we cannot work to deliver net zero by 2050.

The support of my constituents is indispensable, but it cannot be taken for granted. They have had their hopes raised and dashed again and again. They have endured so much heartbreak and disappointment as successive attempts to get the project off the ground have failed. The civil nuclear road map will have raised their hopes one more time, and I beg the Minister and the Government to do everything they can to ensure that those hopes at last begin to be fulfilled. What can the Minister do to fulfil them? As I have said, we can start by naming Wylfa as the site for a further large-scale project. We should also get the land off Hitachi, and the intellectual property from the Horizon project and into the hands of Great British Nuclear. I will put it simply: the land is designated for new nuclear development. If Hitachi will not use it, it should lose it.

I urge the Minister and the Government to think creatively about what we can do. As I understand it, EDF in the last year has paid £200 million from its nuclear fleet to the Government through the electricity windfall tax. Urenco usually pays an annual dividend to the Government of around £100 million from its uranium enrichment activities. Could that money not be used to buy out Hitachi, get the Horizon intellectual property and get on with the project at Wylfa?

As the Minister will know, I met, invited and personally showed around the leading contenders for a large-scale project at Wylfa: Westinghouse, KEPCO and hopefully EDF. All have said that the work Horizon has done to prepare the site and design a plant would cut the deployment time for a large-scale project at the site. We know that time is money, so getting the land and intellectual property into UK ownership is critical. The next thing is to design and start a process this year to pick up one of those prospective partners to execute a project at Wylfa in conjunction with Great British Nuclear. That can and should be done very quickly.

Westinghouse, KEPCO and EDF are all very well known internationally. They all have large-scale designs in commercial operation that the Government and our regulators can visit. The companies’ records are out there for people to see and scrutinise. Indeed, our friends in Poland have just gone through an extensive process to choose from those three for their first large-scale plant. The Czech Republic has done the same and the Dutch have started the same process. Can the Minister therefore set out how he and the Government can work with our allies?

[Sir Geoffrey Clifton-Brown (The Cotswolds) (Con)]

My hon. Friend’s enthusiasm for Wylfa is absolutely infectious, although there may be a little bit of competition for a gigawatt power station from Oldbury or Berkeley. That aside, through my hon. Friend the Member for Ynys Môn (Virginia Crosbie), I urge my hon. Friend the Minister to get on with the nuclear road map, because come 2030, with the demise of the advanced gas-cooled reactors, we will have a dip in nuclear power. Will he particularly consider that we might be able to get small modular reactors and advanced modular reactors online quicker than a new gigawatt power station?

[Virginia Crosbie]

I thank the hon. Gentleman for his excellent and timely intervention. We produce 6 GW of electricity from nuclear, and all but one of our nuclear reactors are going offline in the next decade. If we are to achieve 24 GW of electricity from nuclear by 2050, we need gigawatts, we need SMRs and AMRs, and we need to all work together to deliver to that timetable.

Can the Minister set out how he and the Government can work with our allies to get the advice and information needed to accelerate our process? We can start out with a pretty clear idea of what we want from any tendering process: a partner to lead construction of a multi-reactor, large-scale plant at Wylfa as quickly, cheaply and reliably as possible.

I really believe that the work can and should start immediately, and that it does not need to wait for a final investment decision on Sizewell C. FID on Sizewell C is vital, and I hope that that investment can be achieved as quickly and smoothly as possible. It is essential for the future of nuclear in the UK, and it is essential that we invest now in the skills needed. However, that is a different kind of work, involving different people in Government, from the task of selecting a partner for our next large-scale project.

I do not want to hide from the last point. The UK Government should be preparing to take an equity stake—at least 20% or 25%—in a project such as Wylfa. That investment would be worth several billion pounds over construction, but it would be excellent value for money. I am confident that we will get equity investment for that from our potential large-scale partners, and that could give other private sector investors the confidence to invest. Critically, the investment would give the local community the confidence that its hopes will not be dashed again, and that the UK Government—unlike the Welsh Government in Cardiff, who have cancelled plans for a third bridge—are backing the people of north-west Wales.

Think about what we would secure. We would secure billions of pounds of investment in Anglesey, north Wales and the whole Welsh supply chain. Hinkley C has already benefited the south-west by more than £5 billion to date, and a project at Wylfa would be on a similar scale. We would secure 9,000 jobs, probably more on site during construction and tens of thousands more in the supply chain. Those will be well-paid, skilled jobs that would bring people back to Ynys Môn to stay and to settle: well-paid and skilled jobs so people could build families and preserve the Welsh heritage and language, which are at the heart of the island’s identity. We would generate more clean, reliable, sovereign power for all of Wales, which is worth about £2 billion in today’s money, for 80 years. That is with two reactors, but the site can fit four, so we could do twice as much. We would sustain nearly 1,000 jobs in operations on that site for four generations, which would bring tens of millions of pounds directly into the local economy for the rest of this century and beyond. We would provide a base of employment and demand to help other businesses on our energy island to thrive.

Wylfa is the cheapest option in the medium and long term. The expert modelling and the Government’s modelling show that the cheapest electricity system has 24 GW and perhaps more in it. We know very well and very painfully from the last two or three years that if we do not invest in nuclear and our energy supply is insecure, everything is more expensive and our economy is exposed to the shocks and whims of forces beyond our control.

Finally, investing in large-scale nuclear at Wylfa is about Ynys Môn again having control of its future. It is about our community providing opportunities for families and young people to stay and grow, and preserving its unique character. It is about the UK having control of its energy security and its net zero future. Only nuclear provides the jobs and the clean, reliable, proven British power all in one package, and Wylfa is the best place to get it done. Diolch yn fawr.