U.K. Power Is So High That EDF Hinkley Reactor Looks Good Value

  • Prices climbed above nuclear plant’s guaranteed rate
  • Offshore wind farms use same subsidy mechanism from government
Hinkley Point C nuclear power station construction site, near Bridgwater, U.K., on Dec. 17, 2020.Photographer: Luke MacGregor/Bloomberg
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U.K. power prices have climbed so high that the cost of a new controversial nuclear plant, criticized for being too expensive, is now looking reasonable.

Wholesale electricity prices have pushed above 100 pounds ($139) per megawatt-hour for the first time since 2008. That’s higher than the guaranteed rate the government agreed Electricite de France SA would get for the power produced from the Hinkley Point C nuclear plant being built in southwest England.