Coalition expects that State will have to pay for new nuclear power stations

The coalition parties expect that the Dutch State will end up paying for the construction of two new nuclear power plants itself, insiders told NRC. The government was hoping that private investors would cover at least part of the bill, but they find the billion-euro investment too financially risky.

Exactly how much the nuclear plants will cost is not clear. Estimates range from 8 to 20 billion euros each. According to the newspaper’s insiders, the coalition now expects that the government will pay the majority of the costs. “This is often the case with nuclear power plants in European countries at the moment. The Netherlands cannot avoid it.”

For decades, more nuclear energy in the Netherlands was taboo due to discussions about safety and how to deal with nuclear waste. That changed due to climate change and the energy transition. Renewable sources aren’t as dependable as fossil fuels, given that they’re usually dependent on the weather. The previous Cabinet, therefore, decided to investigate whether two new nuclear power plants, in addition to the existing one in Borssele, were feasible.

The new coalition is even more committed to nuclear energy. The PVV, VVD, NSC, and BBB’s coalition agreement states that the coalition wants to build not two but four additional nuclear power stations. They consider it necessary to have a reliable “backup” to renewable energy sources.

In other European countries, the construction of nuclear power plants has taken an average of 10 to 15 years. The energy market is pretty volatile, especially with the changing landscape as the world starts shifting to renewable sources. It is hard to predict how energy prices will develop and whether the Dutch State will earn back its investment in two new plants.

In parliament, there is a clear dividing line on the subject. Center and right parties typically favor more nuclear energy, following the coalition’s reasoning. Left-wing parties are mostly against it. They think the construction would take too long to contribute to achieving climate goals and that the hefty price tag could be better spent elsewhere, like on housing construction. The left-wing parties also don’t want to pass the nuclear waste issue on to future generations.