Tags: EU | Britain | China | Nuclear

Britain to Guarantee Chinese Investment in New Nuclear Plant

Monday, 21 September 2015 09:14 AM EDT

LONDON (AP) — The British government said Monday it will underwrite 2 billion pounds ($3.1 billion) in Chinese financing for a new nuclear power plant in southwest England, as it encourages major Chinese investment in the U.K. nuclear sector.

Treasury chief George Osborne, on a trip to China, said Britain would underwrite China's stake in the Hinckley Point power station. He said the deal "opens the door to majority Chinese ownership of a subsequent nuclear project" planned for England's southeast.

British officials hope Monday's announcement will encourage France's EDF Energy — which is backed in the project by China General Nuclear Corporation and China National Nuclear Corporation — to make a final decision this year to build Britain's first new nuclear power station in two decades.

The plant, which had been due to start producing electricity in 2023, has been mired in delays, and critics say it is uneconomical. Britain has agreed to grant operators a fixed above-market electricity price for 35 years to ensure their investment will break even.

Visiting Beijing ahead of a state visit to Britain next month by Chinese President Xi Jinping, Osborne hailed deals he says will make London's financial district a bridge between China and Western markets. They include an agreement for the People's Bank of China to issue renminbi-denominated short-term bonds in London — the first time this has been done outside China.

"I want the U.K. to be the natural Western hub for renminbi trading," Osborne said.

© Copyright 2024 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Europe
The British government said Monday it will underwrite 2 billion pounds ($3.1 billion) in Chinese financing for a new nuclear power plant in southwest England, as it encourages major Chinese investment in the U.K. nuclear sector.Treasury chief George Osborne, on a trip to...
EU,Britain,China,Nuclear
241
2015-14-21
Monday, 21 September 2015 09:14 AM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
 
TOP

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
© Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
© Newsmax Media, Inc.
All Rights Reserved