(Updates with details, comment)
LONDON, March 15 (Reuters) - British finance minister
Jeremy Hunt said he would boost investment in nuclear power by
launching a competition for small modular reactors (SMRs), such
as those being developed by Rolls-Royce , and funding if
the technology proved to be viable.
Britain aims to replace its ageing nuclear power stations as
all but one of the plants, which generate around 13% of the
country's electricity, are due to close by 2030.
Large-scale nuclear projects with huge up-front costs have
struggled to attract investment, putting the focus on smaller,
cheaper reactors.
"I am launching the first competition for Small Modular
Reactors," Hunt said in his budget statement on Wednesday.
"It will be completed by the end of this year and if
demonstrated to be viable we will co-fund this exciting new
technology."
Britain previously announced a competition for SMRs in the
2015 Autumn Statement with the first phase opening in 2016 and
attracting interest from 33 eligible parties.
It closed in 2017 without moving beyond the initial,
information gathering first stage.
Last year the government committed 210 million pounds to
Rolls-Royce for its 500-million pound SMR programme which could
see the company open factories to build the reactors in Britain.
"Rolls-Royce SMR has called for rapid progress from the
Government and we welcome the adoption of that principle in this
process," Tom Samson CEO of Rolls-Royce SMR said in a statement.
In the budget, Hunt also said he would consult on classing
nuclear power as "environmentally sustainable" to encourage more
private investment into the sector.
(Reporting by David Milliken, Paul Sandle and Susanna Twidale;
Editing by Kate Holton, Elaine Hardcastle)
Messaging: paul.sandle.thomsonreuters.com@reuters.net))
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