Written question asked by Lord Jenkin of Roding (Conservative), in the House of Lords. It was answered by Lord Truscott (Labour) on Wednesday, 20 June 2007.

Energy: Magnox Decommissioning

Question: asked Her Majesty's Government:Whether the decision to award the contract for the decommissioning of all 10 Magnox nuclear sites, with 22 reactors, was approved by the Nuclear Decommissioning Authority, by the Department of Trade and Industry, and by the relevant regulators; and, if so, how such approval was given and publicised.

Answer: The contracts with the Nuclear Decommissioning Authority to operate and clean up the 10 Magnox sites remain with the Reactor Sites Management Company Ltd through its subsidiary Magnox Electric Ltd. BNFL reached agreement on 6 June to sell the business to Energy Solutions, complete with these contracts with one year's duration with an option to extend. As stated in the NDA's strategy, the Magnox sites will be competed for in two bundles (northern region and southern region). The competition for the southern region is already under way; the one for the northern region will commence in 2010. My right honourable friend the Secretary of State for Trade and Industry announced BNFL's intentions to sell the business in a Statement to the House on 24 October 2006 (Official Report, col. WS 85). The sale was undertaken through a competitive process in full discussion with the DTI, as well as with the NDA and the regulators. The DTI approved the sale, as required in BNFL's articles of association, while the NDA is expected formally to approve the change of ownership before the sale is completed later this month.

Secondary information

Type: Written question
Reference: 4229; 693 c55WA
Session: 2006-07
Related items: Nuclear Energy
Tuesday, 24 October 2006
Written statements
House of Lords
Subjects: Contracts Decommissioning Nuclear power stations Sales Magnox reactors Magnox Electric
Link: View this Written question on www.publications.parliament.uk