De Wever asks Engie to keep nuclear plants open even longer

Fresh Belgian ‘formateur’ Bart De Wever (N-VA) has informed Engie that he wants to put “maximum” effort into nuclear energy, writes the business newspaper De Tijd. The intention is to keep Doel 4 and Tihange 3 open longer than the 10-year extension negotiated by the previous Vivaldi government.

Whether Engie will comply with the request remains to be seen, but it will certainly not be easy to persuade the French group to agree to an additional extension.

Extension until 2045?

The outgoing Vivaldi government previously decided that the latest nuclear power plants, Doel 4 and Tihange 3, which were due to close next year, would continue to operate until 2035. Engie is currently working on that deal.

However, it was written in the stars that the next federal government without the Greens would try to open the gate to more nuclear power because several of the negotiating parties, such as CD&V, MR, and Les Engagés, are big supporters of nuclear energy, which is also one of the N-VA’s fads and fancies.

De Wever reportedly wrote Engie a letter saying he wants to work on an additional extension “anyway” if he becomes Prime Minister. Since it is customary to do so in 10-year blocks, the two reactors would remain operational until 2045.

The ‘formateur’ has asked Engie to consider that in the planned works. By announcing his intention now, De Wever wants to prevent the French group from saying later that it is too late to adjust the plans. He also wants to consider continuing to run Belgium’s other five nuclear power plants.

Unclear Engie situation

At Engie, they do not want to react for now because they have not yet received an official invitation, but it will not be easy to get the French group to agree to an additional extension.

For example, the two so-called ‘crack plants’, Doel 3 and Tihange 2, have already been shut down, and Engie has already started decommissioning. In turn, Doel 1, Doel 2, and Tihange 1 are older and uneconomic reactors, of which safety compliance is uncertain and scheduled to be shut down in 2025.

It is also unclear whether Engie wants to extend the two youngest nuclear power plants, Doel 4 and Tihange 3. The Belgian state does participate half in the complex construction set up with the energy company for the management of both reactors.

This sets a maximum bill of 15 billion euros for decommissioning the sites and the disposal of nuclear waste, immediately removing a great deal of financial uncertainty on Engie’s balance sheet.

However, the French multinational has also already made it clear that it wants to end its nuclear activities, which is why the construction with Engie also includes the option of embarking with another operator.

Moreover, in case of extension, a new and very complex environmental report must be drawn, the safety authority FANC must approve, and an expensive price tag must be attached.

For example, a ten-year extension of Doel 4 and Tihange 3 will cost between 800 million euros and 1 billion euros each, at a time when cost cuts are supposed to be made.

 3.5 gigawatts of additional production capacity needed

Of course, the critical question remains whether more nuclear power is needed to ensure supply. The International Energy Agency (IEA) has pointed out to Belgium that it must again prepare scenarios to guarantee the security of supply beyond 2025 if CRM auctions for new gas power plants or the extension of the two nuclear reactors do not produce enough power after all.

CRM, which stands for Capacity Remuneration Mechanism, is the support mechanism introduced by the government to ensure the security of supply from 2025. This is done through a system of auctions, partly four years in advance and partly one year in advance. For example, it was decided in 2021 to build two gas-fired power plants in Seraing and Les Awirs.

Several new battery projects are also receiving support, and the increase in battery projects and the use of wind and solar energy should guarantee sufficient replacement capacity.

Nevertheless, system operator Elia warned last year that 3.5 gigawatts of additional production capacity will have to be found by 2034. The IEA also remains concerned about Belgium’s power supply, even after the extension of the Doel 4 and Tihange 3 nuclear reactors.