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Horizon Nuclear Power Earning and sustaining public support. Leon Flexman Head of Corporate Affairs September 2013. Steady public support.
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Horizon Nuclear Power Earning and sustaining public support Leon Flexman Head of Corporate Affairs September 2013
Steady public support • To what extent would you support or oppose the building of new nuclear power stations in Britain to replace those that are being phased out over the next few years? Ipsos MORI
Local buy-in 3 3
Developing public & political support • 2003 No new nuclear without ‘fullest public consultation’ • 2006 Case for nuclear reviewed • 2007 Judicial review and second consultation • 2008 Nuclear White Paper • Dec 2010 Initial Regulatory Justification votes • Dec 2010 Electricity Market Reform process begins • March 2011 Fukushima incident • July 2011 National Policy Statement for Nuclear (EN6) passed • Sept 2011 Weightman report • 2012 EDF Development consent at Hinkley Point C 4 4
Falling capacity margins • Source: National Grid UK Energy Future Scenarios July 2013 5 5
Increased prominence of climate change • Growing awareness • Cross-party support • Legally-binding targets • Stern Review, 2006 “The cost of doing nothing on climate change will be 5 times that of acting now” “Delaying by a decade could be dangerous” “Combating the effects of climate change in the future – up to 20% GDP”
Economic benefits and industrial heritage • c6,000 workers at peak of construction* • c1,000 permanent roles* • 62,000 workers in UK nuclear industry • Supply chain benefits • Regional growth • Strong industrial history • Legacy of expertise • Regions proud of nuclear history • *per development site
Risks to support • Industry performance – incidents & delivery • Unresolved issues • National policy changes • Local consenting risks • Alternate energy sources YouGov, 2012
Building on support • Engagement – regular dialogue with stakeholders • Sensitivity – understanding the factors that matter locally • Honesty and transparency – making sure stakeholders hear news early and directly • Enduring need - never forget the fundamental case for nuclear
ABWR – a proven technology • Safe, reliable and cost competitive • Constructed to time and to budget • Licensed in Japan, Taiwan, USA • Operational Kashiwazaki-Kariwa-6/7 • Hamaoka-5 • Shika-2 • Under construction • Lungmen (Taiwan) • Shimane 3 • Ohma
Sustaining support, conclusions • Be confident in our position … … do not adopt a ‘siege mentality’ • Recognise that nuclear is different BUT… … not necessarily unique • Continue the basics of good engagement … … and focus on the issues which have won support • Deliver what we promise … … on time, on budget, with local opportunities and safely 11 11