The Hinkley Point C nuclear power station will go ahead following a “new agreement” with EDF for a new £18bn plant, the Government has confirmed.
Ministers said they had imposed “significant new safeguards” for future foreign investment in critical infrastructure.
A statement said: “Following a comprehensive review of the Hinkley Point C project, and a revised agreement with EDF, the Government has decided to proceed with the first new nuclear power station for a generation.
“However, ministers will impose a new legal framework for future foreign investment in Britain’s critical infrastructure, which will include nuclear energy and apply after Hinkley.”
Greg Clark, Secretary of State for Business, Energy and Industrial Strategy, said: “Having thoroughly reviewed the proposal for Hinkley Point C, we will introduce a series of measures to enhance security and will ensure Hinkley cannot change hands without the Government’s agreement.
“Consequently, we have decided to proceed with the first new nuclear power station for a generation.
“Britain needs to upgrade its supplies of energy and we have always been clear that nuclear is an important part of ensuring our future low-carbon energy security.”
Ministers said the agreement “in principle” with EDF means that the Government will be able to prevent the sale of the French firm’s controlling stake before completion of construction, without the prior notification and agreement of ministers.
The agreement will be confirmed in an exchange of letters between the Government and EDF.
“Existing legal powers, and the new legal framework, will mean that the Government is able to intervene in the sale of EDF’s stake once Hinkley is operational,” the Government statement added.
“The new legal framework for future foreign investment in British critical infrastructure will mean that after Hinkley, the British Government will take a special share in all future nuclear new build projects.
“This will ensure that significant stakes cannot be sold without the Government’s knowledge or consent.
“The Office for Nuclear Regulation (ONR) will be directed to require notice from developers or operators of nuclear sites of any change of ownership or part-ownership.
“This will allow the Government to advise or direct the ONR to take action to protect national security as a result of a change in ownership.