Nuclear power industry news : Japanese conglomerate Hitachi has scrapped the 2.7GW Wylfa Newydd nuclear power project in the UK after failing to secure the necessary project funding.

The  Wylfa Newydd project was being developed by its subsidiary Horizon Nuclear Power  at the Isle of Anglesey in North Wales.

Hitachi suspended development of the nuclear power project based on the viewpoint of its economic rationality as a private organization. The Wylfa Newydd nuclear power plant called for an investment of nearly £16 billion.

The Japanese firm concluded that it would have needed more time to come up with a financial structure for the Wylfa Newydd nuclear power plant and also for determining the conditions for construction and operations of the nuclear power stations to be built by its subsidiary.

The Japanese conglomerate on the scrapping of the Wylfa Newydd nuclear power project stated: “Hitachi has held detailed discussions with the UK Government over various options about how the UK Government might support the project including potential for equity and debt investments.

“The parties, with the cooperation of the Japanese Government, have held discussions in good faith in regard to the financial structure for the project and various conditions for the building and operation of the nuclear power station.”

Hitachi revealed that an agreement could not be finalized about the proposed UK nuclear power project to the satisfaction of all the concerned parties.

The Japanese conglomerate will record losses of about JPY 300 billion ($2.74 billion) in its financial results for fiscal 2018, that will end on 31 March, 2019, owing to the cancellation of the Wylfa Newydd nuclear power project.

The proposed UK nuclear power plant was expected to enter into the service in the mid 2020s while construction was to begin in 2020 subject to approvals.

The Wylfa Newydd nuclear power project was planned to involve up to 9,000 workers at the peak of its construction and up to 850 permanent roles for its operations following its commissioning.

Duncan Hawthorne – CEO of Horizon Nuclear Power, commenting on the cancellation of the Wylfa Newydd nuclear power project, said: “Clearly this will have a significant impact for all involved with our project. We will look to minimise this as much as possible as we move into this next phase and we will begin consultation on the implications immediately with our staff who have shown extraordinary talent, resilience and determination to take this complex and exciting project to this stage.”

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  Duncan Hawthorne, Hitachi, Horizon Nuclear Power, Nuclear power industry news, United Kingdom, Wales, Wylfa Newydd nuclear power project