HC Deb 19 May 1980 vol 985 cc14-5
10. Mr. van Straubenzee

asked the Secretary of State for Energy when he intends to decide whether future nuclear power stations, to be built in Great Britain, after those already announced, should be of the pressurised water, gas-cooled or of some other type.

Mr. Norman Lamont

As my right hon. Friend made clear in his statement of 18 December, decisions about the choice of reactor for later orders will be taken in due course.

Mr. van Straubenzee

I understand my hon. Friend's problems, which stem, as much as anything, from decisions which should have been taken not being taken in previous years. However, will he accept that it is necessary for the future of our energy resources that the decisions are made as soon as is prudently practical.

Mr. Lamont

Of course that is so. However, to be sure about the benefits of the pressurised water reactor we have to build one to see whether the claims made about costs are correct. We are continuing to maintain both options. Without the AGR option there would be no work for that part of the construction industry. That is why we must have the two options.

Mr. Wigley

When considering whether we need any nuclear stations, does the Minister agree that the critical parameter is the success or otherwise of the insulation programmes? What is the Government's assumption of the success as a percentage of the reduction in total electricity energy demand, of the insulation programme over the next decade?

Mr. Lamont

The demand for electricity is a key factor in deciding what investment should be made in the supply of nuclear electricity. Our projections, published last year, assumed that by energy conservation, including a large degree of insulation, by the year 2000 demand for energy would be reduced by 20 per cent. below that which it would otherwise be.

Mr. Hooley

Since it has taken 16 years to produce 1½ gigawatts of generating capacity through the AGR system, would it not be sensible to sort out that system—if it can be sorted out—before launching into another system?

Mr. Lamont

The hon. Gentleman must bear in mind that although the record of nuclear power stations, through cost-overruns and delays in construction, has been poor—as it has been for every other type of power station—fossil fuel costs have risen. That still leaves a strong economic case for the nuclear stations, even after allowing for the delays.