High prices force out bidders as UK nuclear site prices soar

Intense competition has sent bid prices to more than triple the original reserve price for one of the three nuclear power station sites up for sale in Britain. A group of bidders for one site in Essex that included Spain's Iberdola and France's GDF Suez have dropped out of competition.

Auctions for nuclear reaction sites in the UK have resulted in intense competition, forcing out some bidders.

Three sites were put up for sale a couple of months ago and the price for one, Bradwell in Essex, has surged from an original reserve of £40 million (€45 million; $59 million) to a bid of £160 million.

Sites for nuclear plants:
in high demand

One of the three bidders, a consortium of Spain’s Iberdrola, France’s GDF Suez and the UK’s Scottish and Southern Energy, has dropped out of the bidding. That leaves France’s EDF and a German partnership of RWE and Eon chasing the site.

The government’s Nuclear Decommissioning Authority is also selling sites at Wylfa in Wales and Oldbury in Gloucestershire. Bids for the three sites are now double the original £180 million reserve price, with investors viewing the UK as the most lucrative short-term nuclear punt in Europe.

In contrasting news, the world’s biggest wind turbine maker axed 600 jobs in Britain, more than half of its total in country.

Vestas blamed the government for failing to support the sector.