The proposals for national policy statements on energy - Energy and Climate Change Contents


Examination of Witnesses (Questions 340 - 359)

WEDNESDAY 20 JANUARY 2010 (afternoon)

MR KEITH PARKER, MR SIMON JAMES, MR RICHARD WAITE AND MR BRUCE MCKIRDY

  Q340  Dr Turner: Without long-term contracts?

  Mr James: Well, long-term contracts are a commercial issue for the companies. Some companies will enter into long-term contracts if they can get that as a commercial advantage, as a commercial arrangement. You do find in the existing market there are some very long-term contracts, and equally there are other shorter-term contracts. It is a purely commercial arrangement. It is in the interests of some users to enter into long-term contracts. A classic one would be Network Rail. Network Rail needs its business powered up the whole time to keep the trains running.

  Q341  Dr Turner: To cite EDF, how do you feel about the impact of carbon pricing?

  Mr Parker: It is a pretty consistent theme of all our representations to Government during the various consultations that have gone on over the last few years that a mechanism to price carbon in the market and to recognise and reward the low carbon attributes of nuclear and other low carbon technologies is an important factor and will have an impact on investment decisions. It is something which will strengthen, if you like, the business case for investing in low carbon technology so, yes, that is something we would welcome.

  Q342  Chairman: Copenhagen was going to produce that and it has not?

  Mr Parker: No.

  Q343  Chairman: What is your view on a floor on the price of carbon?

  Mr James: The Government has made it clear that if effective international mechanisms cannot be made to work to produce the carbon price it would seek to take domestic measures to take that forward.

  Q344  Chairman: I am not sure how clear it was, Simon. It was two sentences in the White Paper.

  Mr James: As an industry, we think that the Government is serious about that and there are different mechanisms that can be looked at for that. I mean, an obvious one is carbon taxation, which has been discussed, which would be another mechanism. Essentially there are two mechanisms for providing your price for carbon. One is the market-based mechanism and the other one is a direct tax intervention method. There are advantages to both ways of doing that and it is certainly the case with all low carbon technologies that the price of carbon is the market's signal that Government would choose to put out there to encourage low carbon, and the scale and ambition the Government has in producing low carbon technology and decarbonising the electricity sector indicates that the Government will inevitably have to look at this because it will need to produce that carbon price because the Government needs a low carbon electricity sector and that is the way they will deliver it.

  Chairman: Let us change the focus. Richard and Bruce, you have been very quiet wise men. We are going to talk about nuclear waste management and disposal, and perhaps you would take the lead on this. We will go to Mike first.

  Q345  Mr Weir: Obviously disposal is one of the principal concerns about a new generation of nuclear power stations. What evidence is there to suggest that effective means will exist to manage and dispose of the waste arising from new stations?

  Mr Waite: As we noted in our evidence, the NDA supports the Government's view that effective arrangements can be put in place based on the work that has been done in part to deal with the legacy, so the creation of the NDA itself is a key step forwards in that. But there are three aspects I think we need to consider in understanding whether existing arrangements and future arrangements can cope with new build. First of all, finding a suitable site is a fundamental part of the process. Secondly, understanding the technical achievability of disposal of new build material. Thirdly, are there going to be adequate interim storage arrangements in place until such time as disposal arrangements come along. On all three of those fronts we think the answer is a positive, "Yes, arrangements can be put in place," so, for example, on finding the site the Government in 2008 launched the Managing Radioactive Waste Safely White Paper, which set out a very clear staged process based on voluntarism and partnership to engage communities in expressing an interest first of all to step into a siting process. Good progress has been made, we feel, on that front with three communities having expressed said interest and indeed are now working together in partnership in Cumbria to effectively take that forward by engaging the local communities, the local people, and getting their views on taking the next step, as it were, in that staged process. So we feel that process, which has been seen to work well in other countries—just about every other country that has been successful in taking disposal forward has indeed based it on the volunteerist approach, so we are quite confident that that can be extended from the site viewpoint. In terms of technical achievability, under the generic design assessment process we have actually carried out some assessments over the new build fuel, the candidate fuel from potentially an EPR type of reactor or an AP1000, and we found both of those fuels to pose no new difficulties in terms of technical acceptability, no new issues arose that would form our views against them being able to be disposed of, so we are quite confident from a technical viewpoint that the new build fuels can be handled. Thirdly, on the issue of interim storage arrangements, we already have substantive interim stores in place to deal with the legacy waste that we already have. They are designed circa to 100 year design lives in many cases. They are already designed to cope with the impacts of climate change, seismic impact, and so on and so forth, so again the technology is there and the evidence is there that new build interim storage should be able to be put in place and maintained until such time as disposal facilities come along to take the material that they contain. So on all three counts we strongly support the Government's evidence that they believe the arrangements will be in place.

  Q346  Mr Weir: You mentioned a staged process and the White Paper set out a six stage process leading up to the actual construction. Can you tell us what stage we are at now in respect of this and when would you expect a geological disposal facility actually to be available to receive waste?

  Mr Waite: We are in the first stage really where the expression of interest from the local communities has been made. The next phase is for them to move beyond that expression of interest to decide to participate more fully in the process. The timeline for that is down to them. It is really difficult for us to say when that will be because it is really based on how quickly they feel they can progress with the local community support and gain that local engagement before they take their next step. Having said that, we have made some assumptions around how long that might take and we believe the assumption to be reasonably prudent and the basis of our plans is that we would have the GDF, as we call it, the geological disposal facility, up and running ready for business, as it were, in 2040 with a staged construction programme before that to get it into operation, so it would open its doors, as it were, for business for waste placement in 2040.

  Q347  Mr Weir: How long would you then expect on site interim storage to have to be in place? DECC have said it could be as long as 160 years, which seems a very long time.

  Mr Waite: If you assume that a reactor runs for 60 years and that the final core offload at the end of those 60 years has to be stored to get it cool enough to be able to dispose of it, then a pessimistic set of assumptions would see it being stored for 100 years beyond those 60, which is where you get the 160 from. That is based on a fuel burn up at the top end range, if you like, to give a conservative outer limit. The reality is that fuel burn up will probably be less than the upper limit and the 100 years telescopes back to 75 if you take an average view of fuel burn up. Having said that, there are other means of limiting the time you need the stores for by actually optimising and aligning the repository. Maybe Mr McKirdy would like to comment on that for me.

  Mr McKirdy: Yes. The 100 years cooling time was based on calculations we carried out. As Richard said, we used the higher end burn up of 65GW days per tonnes as the figure, that is the peak burn up time, moving the average down to about 50, and that results in a storage period of 75 years. But all of that is based on a non-optimised disposal facility. It is just taking the disposal facility that has been designed to deal with legacy waste and just shoe-horning in new build waste. Now, there are various things you can do, so the legacy wastes are put in four fuel elements into a disposal canister for disposal. You could reduce the number of fuel elements in each disposal canister, so if you take two fuel elements per disposal canister instead of four you effectively halve the cooling time that you would need to meet the temperature constraint in the repository, which is keeping the outside of that disposal canister to 100 degrees C. That is one aspect. The other thing we can do, which we did not explore, is that you can change the spacing of the disposal canisters within the repository, so if they are further apart they are less influenced by the heat from adjacent disposal canisters, therefore the amount of fuel you can put in each canister whilst still maintaining 100 degrees C remains the same. We did not do all of this when we did the generic design assessment, disposability assessments, because we were purely looking to see whether we could dispose of the waste. So the answer was, yes, we could dispose of it and we have noted in the disposability assessments that there is room for further optimisation.

  Q348  Mr Weir: Just to see if I am understanding you correctly, the cooling period you are talking about, am I right in assuming that that is before it can be moved off-site to disposal?

  Mr McKirdy: The constraint is when it is in the disposal facility to maintain a temperature at the outside of the disposal canister when it is underground of 100 degrees C. There are two reasons for that. One is that the disposal canisters will be surrounded by a Bentonite swelling clay. There is a temperature constraint on the Bentonite which currently is conservatively assumed to be 100 degrees. Also, by keeping the temperature below 100 degrees C, you avoid water turning to steam, which can cause problems in the disposal facility. So that is the thing which sets the constraint. It is not being able to move it away from the site, it is actually being able to put it and emplace it in the disposal facility.

  Q349  Mr Weir: Presumably—and I might be wrong—once a facility is available, is the plan to put the legacy waste in there in the first instance that already exists and is spread around the country, and what sort of timescale are you talking about then before you can put new waste in, or can it go in at the same time? Is there a difference in how it reacts?

  Mr McKirdy: As I say, there needs to be an optimisation exercise and one of the things that would influence that is the thermal characteristics of the geological facility itself, so different host rocks for a geological facility will have a different thermal conductivity, which will take more heat away from the fuel elements and keep the temperatures lower. We do not have the site yet, so we are using a generic range of conductivities based on the kind of range of geologies we could expect to see in the UK. Now, at a certain stage we would then have to work an optimal design, so looking at the spacing, looking at how much fuel goes into each canister, looking at the existing stores that have been built to store this waste and making the best use of their design life. I think the important point is that it would not necessarily have to be stored for 100 years following reactor operation.

  Q350  Mr Weir: Is it your view that the site would have to be agreed on or under construction, or whatever, before new nuclear stations are built or do you think it can be done in parallel?

  Mr Waite: We do not think there is any linkage, if you like, between finding the site and building it and pressing on with the remainder of the programme, if that is what you are getting to, because of the existing arrangements for interim storage being perfectly adequate. Interim stores lasting 100 years are already designed and built, so there is now scope already. Sizewell B's new store is going to be 100 year design life for PWR fuel, which is similar to obviously what new build operators will be using. So the fact that there are existing interim storage arrangements are there effectively as a buffer between the availability of the geological disposal facility and the operations going on at the moment, from our perspective and indeed the new build operation we think we can decouple the two entirely.

  Q351  Mr Weir: The NPS at the moment says that the IPC does not need to consider the issue of nuclear waste. Would you agree with that?

  Mr Waite: Yes, we think there is sufficient evidence around to suggest that the work we are doing to support the legacy, the progress that has been made in the volunteering process, the technical work that we have done, as my colleague has been explaining, the fact that there are optimisation solutions downstream of today that will limit the amount of storage duration, and so on, we do not believe there is any real need for the IPC to look at that all again, given the amount of scrutiny it has already had. There has been a huge amount of consultation and scrutiny already around the whole waste issue. The solutions we have are adequate for the future solutions as well.

  Q352  Mr Weir: But is there an issue about, for example, the transportation of waste over distances? If, for example, you agreed that the geological disposal would be in Cumbria, obviously Sellafield may be in the running for one of the new stations, it would be a relatively short space to transport waste. Is that an issue which is relevant for siting new stations?

  Mr Waite: I think the important thing to remember today is that the fleet of operating stations, both the Magnox stations which we run and the British Energy AGRs, and indeed Sizewell but more so the AGRs, already have fuel transport arrangements, waste transport arrangements, if you like, happening already from sites across to Sellafield, and that is happening perfectly safely, perfectly adequately under the scrutiny of the Department for Transport, the regulations and so on, and has been for many years so there is no real big challenge there. It is not as if there is a huge flood gate of transportation opens up because of the timescales of these things opening. It is quite a slow process, so the infrastructure is already there. It is a case of extending and using that existing infrastructure.

  Q353  John Robertson: I have to declare an interest as Chair of the All Party Nuclear Energy Group. I think everybody here accepts that our biggest problem is not just whatever the future waste will be legacy waste. You said that the present storage, interim storage, was for 100 years. Is that 100 years from today, tomorrow, or does it date back already 10, 20 years?

  Mr Waite: There is a range. Some that are already in their 100 year design life being used and we carried out a study back in 2009 on those particular stores where we recognised we are going to have to extend them and we have figured out ways of actually taking out and refurbishing the elements that wear out. The civil structures generally last for as long as you need them to last, so designing civil buildings for 100 year, 200 years, is not a problem. It is more the electro-mechanical stuff inside, the control and instrumentation equipment inside where you would need to plan to replace those and we are doing that on some of our existing stores to life extend those stores. New stores that are being planned, that we have just commissioned on some of our stations are 100 years from now. New stores that are in the pipeline that we plan to build in three or four, and in some cases 10-15 years from now will be 100 years plus stores with lifetime extendibility built into their designs. So you know that you need to not have a cliff edge on the lifetime, therefore you build extendibility into the basic design by having certain elements that you know are going to wear out replaceable and maintainable.

  Q354  John Robertson: I think probably most people would be more concerned about what we have at the moment and what the lifetime is of the present waste we have and other places that are already storing it. What is the oldest one and the newest one?

  Mr Waite: One store that is being used at the moment, for example, for capturing or storing the vitrified product from high active liquid vitrification started operation in the 1980s. It has a 50 year design life. We are busy filling that up through the reprocessing process at THORP and we have recognised, for example, on that one that we need to life extend it and there is work going on now to change it from 50 years to probably 100 years.

  Q355  John Robertson: For how many years down the road of 50 years are we?

  Mr Waite: Well, 80, so we are about 20 years in on that one. Around the world there is experience, of course, not just in the UK, of the storage of nuclear materials back from the 1950s. We have materials ourselves from that timescale where stores have been in place. New stores get built when old ones wear out and need replacing and we have a number of those in Sellafield. At the moment we are building new stores because we are monitoring the arrangements for the existing stores to make sure that when we know we need new ones we build them fast enough. So it is a case of monitoring the materials, building new stores, designing in life extension and making sure that this material is kept safe and secure until such time as disposal comes along.

  Q356  John Robertson: The three sort of volunteer sites, I cannot imagine you have not done anything in regard to them so there must be some kind of studies that have already been done? Are they similar geological ground where we are going to put them in, or are they all different? Where are we in that respect?

  Mr Waite: The three communities that have expressed interest are Copeland District Council, Alledale and now Cumbria County Council, so it is effectively a large part of Cumbria is in the process. Bruce, maybe you would like to say something about the geology in those areas.

  Mr McKirdy: Yes. Very generally, there is some basement under sedimentary cover, which is sort of a hard fractured rock with a sandstone overlaying on it. There are also some carboniferous rocks which would probably be ruled out because they may contain mineral deposits which could be sought after, and then there would also be basement rock to surface in the Copeland and Alledale area, so you have got sort of hard, fractured rock that will go all the way to the surface and either the basement to surface or basement under sedimentary cover are potentially suitable for a repository, but we would not want to pre-empt that. The next stage in the process is that the British Geological Survey will look at any of the candidate areas who have expressed an interest and screen out some or all of those areas based on criteria which were published in the white paper. Following that, if a decision to participate is made by those areas there will be a need to go from the very big areas, the Copeland and Alledale areas, out to about 2,000 sq km between them. We are looking for a repository site of 5 sq km, so there would be a need to look at what had got through the BGS screening process, what volunteer sites or areas were still involved, and then identifying with those communities specific sites within those areas for investigation.

  Q357  Chairman: What is the planning process for a deep facility? Who gives the planning consent?

  Mr Waite: I believe the final planning authority in the Cumbria area is Cumbria County Council, although the local district council obviously have their own process as well and one of the arrangements that have been set up at the moment, because we are talking about a two tier council structure in Cumbria, is exactly what is our process going to look like and the Cumbria County Council people, Alledale and Copeland, have just formed a partnership, an MRWS partnership at the back end of last year to work through those sorts of issues, which we think is a really strong development.

  Q358  Chairman: So for a big new nuclear plan it is the IPC, but for the back end it is the traditional planning process?

  Mr Waite: I believe that is the current arrangement.

  Q359  Chairman: Okay. Do you think that makes sense? I can see some of my colleagues looking a bit astonished at that.

  Mr Waite: I think given the voluntarism approach and given that it is all about getting local communities comfortable about hosting one of these facilities, I think the reliance is more on the local arrangements through normal planning arrangements rather than a national approach using the IPC, so it would be more consistent, I guess, to use the local arrangements if you are relying on the local communities to give you the support that you are looking for. I believe that is the philosophy behind that.

  Mr McKirdy: I suppose I could add to that and say at the time at which the Government consultation leading to the Waste White Paper in 2008 was carried out the whole IPC arrangements were not fully in place and so the consultation had not covered those, and also given that it is going to be a long time before a planning application for a repository is likely to be put in place, there is time for that decision to be made. The White Paper did not rule out the new planning arrangements applying to a repository, but because of the fact that they were not in place at that time we could not say that they would apply.

  Chairman: If you could just drop us a note to clarify that point that would be helpful. We are going to suspend this sitting for ten minutes.

The Committee suspended from 3.40 pm until 3.55 pm for a division in the House.


 
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