The long-expected Chinese investment in the development of Hinkley Point C nuclear power station was confirmed this week – and the final go-ahead for the £18bn project is now expected within two weeks.
With that decision now largely a formality, the Bristol area is on the brink of its biggest single biggest development 
project in a generation and one that could trigger an estimated £50bn worth of contracts for local firms over the next two decades as well as making the region a centre of excellence for the nuclear industry.
The Government says 25,000 jobs will be created by the Hinkley C project, the UK’s first new nuclear power station for a generation, with at least 5,000 people from Somerset expected to work directly on the project, providing a £40m boost to the local economy every year.
The Chinese state-owned China General Nuclear Power Corporation (CGN) confirmed on Wednesday it is to pay EDF Energy £6bn for a one-third stake in Hinkley C, which will be built alongside the existing Hinkley nuclear plants on the Somerset coast near Bridgwater.
The announcement was made at a news conference in London by Prime Minister David Cameron and Chinese President Xi Jinping, whose four-day state visit to the UK ended today.
EDF chairman Jean-Bernard Lévy said: “This marks a big step forward for EDF’s 30-year partnership with our Chinese partner CGN. Our ambitious nuclear projects are strongly supported by the governments of the UK, China and France and they will bring benefits to all three countries.
“I am confident that our experience and ability mean we will successfully deliver Hinkley Point C and subsequent projects. We are planning for a final investment decision within weeks so that we can move forward with construction.”
CGN chairman He Yu added: “Entering the UK’s nuclear market marks a new phase for CGN. At the same time this is also a triple-win for the existing nuclear energy partnership between China, France and the UK. CGN is highly committed to delivering safe, cost efficient, and sustainable energy and to supporting the UK’s goal of becoming a low-carbon society.”
The nuclear industry employs around 7,700 people across the South West but Business West, the organisation behind Bristol Chamber of Commerce and Bristol Initiative, says in future it could need 42,400 person years of employment across the manufacturing, construction and operation sectors.
This is equivalent to the London Olympics – but with greater demand for higher and specialist skills.
Business West managing director Phil Smith said: “The South West is set to become a nuclear hub and this landmark deal will kick-start a flurry of activity in this sector which is set to be worth £50bn to our region over the next two decades.
“Whilst the final investment decision has not been officially made, this announcement brings this gamechanging piece of infrastructure a step closer to reality. The hailed ‘golden generation’ for British-Chinese relations has just delivered a gem for the South West.”
Business West has set up Nuclear South West, a group bringing together firms already operating in the sector with academics and other businesses to maximise opportunities linked to Hinkley Point C.
As well as seeking to ensure West of England firms benefit from the construction phase, Nuclear South West will also aim to develop and promote expertise in the Bristol on all aspects of nuclear power including decommissioning.
Hinkley C is expected to start producing electricity in 2025 – almost a decade behind schedule – and could supply up to 6m homes for around 60 years.
But the deal to get it built has sparked strong criticism. Greenpeace says the Government has committed itself to paying a much higher price for the electricity it will generate that alternative power sources – with the consumer picking up the cost.
Other opponents are concerned about giving the Chinese state a key role in Britain’s nuclear industry.
The Government said it had put in place a Funded Decommissioning Programme that will make sure that the taxpayer doesn’t pick up the cost of decommissioning the plant in the future.
This week’s announcement will also lead to more nuclear power stations, including Sizewell C in Suffolk and Bradwell in Essex.
David Cameron said: “I’m pleased to announce that today we are signing an historic deal to build the Hinkley nuclear power station, providing reliable, affordable energy for nearly 6m homes and creating more than 25,000 jobs, all while working together to build a low-carbon future.”
Energy Secretary Amber Rudd added: “We are tackling a legacy of under-investment and building energy infrastructure fit for the 21st century as part of our plan to provide the clean, affordable and secure energy that hardworking families and businesses across the country can rely on now and in the future.
“The UK is open for business and this is a good deal for everyone – Hinkley Point C will continue to meet our robust safety regulations and will power nearly 6m households with low-carbon energy, creating over 25,000 jobs and more financial security for working people and their families.”
