Centrica (LSE: CNA) plans to expand in North America in a move that could signal the end of its interest in nuclear power plant development in the UK.
Centrica is planning a new wave of expansion in North America, in a strategy shift that is likely to see it pull out of plans to build new nuclear plants in the UK.
An option remains on the table for the company to take a 20 per cent stake in the Hinkley Point venture being led by EDF, however Centrica has expressed its concern about cost over runs in construction. They are unconvinced that subsidies for the sector by the UK government will be sufficient to justify investment.
By contrast it sees North America – where its Direct Energy subsidiary already supplies 5.6m customers – as an attractive market with lower political and financial risk.
The company is understood to be eyeing expansion into more US states as they open up their energy sectors to competition between suppliers.
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