Landmark nuclear deal signed between China and Britain

Britain has signed a landmark nuclear deal with China to build the United Kingdom’s first nuclear power plant since the 1980’s. The landmark deal was signed in London during the official visit of Chinese President Xi Jinping. The agreement is considered as the first major Chinese investment in Western nuclear facility.

The agreement was signed between French state owned EDF Energy and General Nuclear Power Corporation (CGN) of China. Under this deal, nuclear power plant will be built at Hinkley Point, Somerset near London with total planned investment of 18 billion pound. CGN will contribute 6 billion pounds i.e. one-third of the total planned investment. CGN will have two-thirds stake and Areva will have one-fifth stake. The plant will be become operational by 2025 providing affordable power to Britain. Apart from this landmark deal, both countries also signed deals worth more than 30 billion pounds.

The Treasury hopes that within 10 years China will be Britain’s second biggest trading partner. But the visit comes amid job losses in the UK steel sector, with cheap Chinese imports among the factors being blamed. This deal has come as a surprise for many nationalists as China is seen as a hostile country by many. Steve Hilton, a former policy adviser to David Cameron, told BBC Newsnight the UK should be imposing sanctions on China over issues such as its “vicious political oppression” and its “relentless cyber attacks”, instead of “rolling out the red carpet”.

But still this multi million dollar deal will help both countries in many ways.