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The Low Carbon Economy Ltd

18 Nov 2008 05:11:01

E.On's Kingsnorth could be delayed



E.On's Kingsnorth could be delayed
The German company has been applying to be a demonstration coal-burning plant for carbon capture and storage capacity (CCS) technology – which traps carbon emissions and then buries them underground.

Environmental campaigners were concerned the company might go ahead and build the first new coal plant in three decades in the UK even if it was not selected to trial the 'clean coal' technique.

However, where a flotilla of campaigners' protest ships failed to halt the power company's plans, it seems the economy might have succeeded.

Mr Bernotat told the Sunday Times: "There are a number of conventional power-plant projects for which we have made no firm commitments at this stage.

"Component prices have just passed a peak and they may come down in the wake of lower steel and other commodity prices. Thus keeping such projects on hold looks the right thing to do."

He added that the board preferred to "err on the side of caution".

Other companies bidding to be demonstration plants for the CCS technology are ScottishPower and Peel Power.

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