The Hinkley Point C nuclear power project in the UK is now expected to conclude in 2029, representing a delay in its timeline.
The projected costs currently range between £31 billion and £34 billion in 2015 values, with an additional £1 billion in the event of the worst case scenario materialising.
Stuart Crooks, the project’s Managing Director, identified difficulties in civil construction, inflation and material shortages as the primary reasons for the increased budget.
EDF conducted a thorough review, presenting three potential timelines for the project, projecting operational dates from 2029 to 2031.
Mr Crooks clarified that the increased expenses will be borne by shareholders rather than taxpayers.
Despite these challenges, Hinkley Point C aims to contribute around 7% of the UK’s electricity supply upon its eventual completion.
In a message to staff, Stuart Crooks said: “Like other major infrastructure projects, we have found civil construction slower than we hoped and faced inflation, labour and material shortages, on top of Covid and Brexit disruption.
“Running the project longer will cost more money and our budget has also been affected by rising civil construction costs. It is important to say that British consumers or taxpayers won’t pay a penny, with the increased costs met entirely by shareholders.”
