Chinese firm bids for key UK coal-fired power plant

A subsidiary of China General Nuclear Power Group (CGNPG) is bidding to acquire the Eggborough coal-fired power plant in Yorkshire, England, which provides 4 per cent of the UK’s electricity needs.

Last week CGNPG was officially confirmed as a stakeholder in the country’s first nuclear power plant in a generation.

Eggborough coal-fired power plant
Meiya Power, a subsidiary of CGNPG is in the running to acquire the 2 GW coal-fired power plant in North Yorkshire.

The Daily Telegraph reports that environmental regulations and the carbon tax are likely to force the plant to close down within a couple of years unless it is converted to burn biomass.

Eggborough’s current owners, a consortium including several hedge funds, are seeking a major injection of equity to fund the £500m conversion, or an outright sale.

The plant’s current owners are developing plans to convert three of its four units to burn biomass not coal, with a capacity of 1.35 GW and at a cost of at least £400m. Converting all four would cost more than £500m.

Last week it emerged Eggborough was one of the projects that had pre-qualified to share in £40bn of infrastructure loan guarantees from the Treasury.

If the plant is converted to run on biomass, it will also be eligible for a long-term subsidy contract from the Government to guarantee its revenues.

The current owners are thought to be frustrated at the slow pace of securing both the loan guarantee and the subsidies for the conversion to go ahead.

For more European power generation news

Follow Power Engineering International on Twitter

Editor's Picks

Mike Winkel of E.ON

E.ON calls for assistance in renewables investment drive

Germany’s largest utility says it can no longer afford to push large renewable projects on its own and is looking for part...
Wilhelmshaven

Molluscs force German coal-fired power plant to shut down

The 757 MW Wilhelmshaven hard coal-fired power plant has had to be temporarily shut down after North Sea mussels clogged t...
Polish flag

Poland's 2050 policy outlines move away from coal

The Polish government has published a draft energy policy, which looks to reduce dependency on coal in favour of a low-car...
Doel

Belgium braces for power cuts

The Belgian government is making contingency plans as the impact of the closure of half its nuclear capacity looks set to ...
Dr Stephen Mills

Turkey’s coal resource a potential economic boon – IEA CCC report

A report on the Turkish power sector has found that Turkey can significantly reduce its energy import bill by focusing its...

PEI Magazine Issues



>> Current Issue           >> Past Issues

Latest Wire News

Vectren Corp. Closes Sale of Its Wholly Owned Coal Mining Subsidiary, Vectren Fuels

Vectren Corp. Closes Sale of Its Wholly Owned Coal Mining Subsidiary, Vectren Fuels

Hawaii Energy Offers State's First-Ever Energy Efficiency Auction

Hawaii Energy Offers State's First-Ever Energy Efficiency Auction

Virtu Investments' Third Apartment Fund Oversubscribed at $48 Million

Virtu Investments' Third Apartment Fund Oversubscribed at $48 Million

Top Industrial Market News Stories for the Fourth Week of August 2014, an Industrial Info News Alert

Top Industrial Market News Stories for the Fourth Week of August 2014, an Industrial Info Ne...

Range Declares Quarterly Dividend

Range Declares Quarterly Dividend

Editorial Guides

How to cut your OPEX

How to cut your OPEX In a constantly evolving electricity market, factors such as over capacity and low coal costs can pu...

Alstom Editorial Guide: Thailand to showcase latest upgrade of Alstom's GT26 in combined-cycle

Read all about Alstom's new advanced GT26 gas turbine in the North Bangkok CCPP expansion project online with the Power En...

PLEXOS® Integrated Energy Model – Leading the Field in Energy Market Modelling

PLEXOS® Integrated Energy Modelling is an advanced software tool that employs the latest mathematical programming methods ...

Power Engineering International

Whitepapers

Portfolio Optimization by PLEXOS

PLEXOS performs the Security Constrained Unit Commitment and Economic Dispatch using Mixed Integer Programming (MIP) to minimize a cost function subject to all operational constraints. The PLEXOS M...

Evaluating cogeneration for your facility: A look at the potential energy-efficiency, economic and environmental benefits

The energy-efficiency, economic and environmental benefits of cogeneration are the subject of this in-depth white paper. The paper argues that producing electricity and heat/cooling from the same f...

The Effect of Moisture on the Breakdown Voltage of Transformer Oil

Power transformers utilize oil as a heat transfer medium and a dielectric material, together with cellulose. Breakdown voltage (dielectric strength) is one of the most important parameters of trans...

Improving Mission Critical Cooling Systems With More Reliable Level Sensing

The choice of coolant level sensor may seem like an insignificant detail when designing complex machinery such as emergency generators and cranes, but if this sensor fails, the operator has no warn...

Steps Towards a Low Carbon Future: Solutions and Technologies That Will Support the Global Revolution Required

A smart grid is becoming more and more essential as clean energy becomes more dominant. In addition, the demand for electricity is expected to treble the ability to supply it over the next decade. ...

Latest Digital Edition

  Power
  Engineering
  International
Look Inside >
Cover
Current Issue

Article Archives for Power Engineering International Magazine

Latest Energy Jobs

View more Job Listings >>