4 ms·
Also keep in mind, a lot of the cost of Hinkley Point is not so much the cost to build the reactors, but the financing. Speaking from memory, we are talking abo
by Xixi 5y ago
Also keep in mind, a lot of the cost of Hinkley Point is not so much the cost to build the reactors, but the financing. Speaking from memory, we are talking about borrowing at something like 10% over 35 years.
If France finances these new power plants, financing cost goes virtually to zero. So even if actually building the new reactors cost the same (unlikely, I hope they learnt a thing or two over the last 10 years...) they will end up a lot cheaper than Hinkley Point.
- seanmcdirmid 5y agoAlso insurance. All plants in the USA are insured by the government, I'm sure the same is true in France as well.
- deleted 5y ago[deleted]
- epistasis 5y agoFinance is not free, there is always opportunity cost.
- tim333 5y agoInterest rates are very low still though. Governments can borrow at nearer to 1% than 10%.
- epistasis 5y agoBut that money could also be applied in other areas of the economy, that might have far better payback. And with France's current track record of nuclear construction, throwing more money at nuclear without fixing the fundamental problems first is serious misallocation of capital. Just the latest news that is the same as the last decade of bad news: > EDF now estimates the total cost of the project at 12.7 billion euros ($14.42 billion). Its expected cost has more than quadrupled from the first estimate made in 2004. https://www.reuters.com/business/energy/edf-announces-new-delay-higher-costs-flamanville-3-reactor-2022-01-12/ https://www.reuters.com/business/energy/edf-announces-new-de... $15B of lithium ion battery factory would have far far greater carbon impact, dollar for dollar. $1B on early stage startups would similarly be more impactful.
- natmaka 5y agoThe total cost (to date, as it isn't yet delivered) of the EPR was mid-2020 established by the "Cour des comptes" (Court of Audit) at 19,1 billions euros. A recent official announcement added 300 millions euros. French: https://www.lemonde.fr/les-decodeurs/article/2019/06/24/epr-de-flamanville-visualisez-comment-le-cout-et-la-duree-du-chantier-ont-triple-depuis-2007_5480745_4355770.html https://www.lemonde.fr/les-decodeurs/article/2019/06/24/epr-...