Recommendation 6

Arrangements for transferring nuclear stations to NDA are worryingly under- developed, and there is a risk that transfer negotiations between EDFE and NDA could drag on and increase the costs to the taxpayer. The first of the stations could transfer to the NDA as early as 2026. The NDA and EDFE believe there is sufficient time to prepare for the transfer of the sites. However, the negotiations between the Department and EDFE over the new decommissioning agreements did not provide clarity about what will be transferred to the NDA, when or how. Discussions between 8 The future of the Advanced Gas-cooled Reactors EDFE and the NDA to agree on the details only started in 2021. There is a risk that the costs associated with transfer to the NDA could increase. The issue of what happens to pension liabilities, for example, has yet to be worked through as are the precise details of the land and buildings to be transferred at each site. At the same as tying down these details, the NDA will need to develop its understanding of the sites and determine its preferred decommissioning strategy post-transfer. EDFE and NDA are currently working to identify and prioritise planning work for the transfer, but this is not yet complete. Recommendation: Within the next six months the Department, following discussions with NDA and EDFE, should write to the Committee with a detailed plan and timetable for how the transfers will take place. This plan should cover all the major aspects of the transfer including land and people, and it should identify where uncertainties remain, how those uncertainties might affect costs, and when they are likely to be resolved.