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Underwater power station plan gets €200m boost

A tidal lagoon project in Swansea will get a ?200m investment to encourage Westminster to give it the green light.
Labour's Welsh First Minister Carwyn Jones offered the "substantial" investment from the Welsh Government "if that would enable the project to move forward".
However Welsh Secretary Alun Cairns warned the numbers for the underwater power station "are awful" and there has been speculation Business Secretary Greg Clark will reject the plan.If it is built, the project in Swansea Bay would be the world's first tidal lagoon power plant and would power about 155,000 homes and sustain about 2,200 construction and manufacturing jobs while it is built.The structure would also protect the south coast of Wales against storms and floods.In a letter to Mr Clark and copied to Prime Minister Theresa May, Mr Jones said a "full and final offer" from the Welsh Government and Westminster was needed soon to "put an end to the ongoing uncertainty" over the future of the project.He wrote: "As I have repeatedly made clear to the UK Government, I am prepared to consider a substantial equity and/or loan investment by the Welsh Government in the Swansea Bay tidal lagoon if that would enable the project to move forward.":: World's first tidal lagoon power station gets backing
Underwater power station plan gets €200m boost

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The tidal lagoon in Swansea Bay would be a world first
Sources said the €200m does not address the "size or scale of the financial requirements" of the €1.3bn scheme.
Mr Jones called for the Government to commit to a "contract for difference on the same terms as that offered to Hinckley Point C".The nuclear power station being built in Somerset secured a guaranteed €92.50 megawatt hour strike price for future power.But Mr Cairns said the lagoon would cost "twice the price of nuclear".Mr Jones said both governments needed to further work on plans to make a joint offer to Tidal Lagoon Power, the company behind the scheme.A Department for Business, Energy and Industrial Strategy spokesman said: "The Government is considering the findings of Hendry review into tidal lagoons and an announcement will be made in due course."Keith Clarke, chairman of Tidal Lagoon Swansea Bay, said: "Once again we thank the First Minister for his particularly timely initiative.
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"We look forward to seeing the UK Government's positive response to a proposed joint deal on these terms."The proposal for a joint deal with this structure is extremely constructive, we are eager to engage on it with all parties and it is a proposal we'd be delighted to take to our Board".
news.sky.com
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