Sellafield handed over to US-led consortium
Last updated 15:14, Monday, 24 November 2008
The Government has made history by handing over control of Sellafield to the private sector for the first time in its half century of existence.
Nuclear Management Partners (NMP), a US-led consortium, was taking over the running of the site, the most complex nuclear facility in the world, after a handover of shares.
Copeland MP Jamie Reed, whose constituency covers the site, has called it “the most important development in the history of west Cumbria”.
NMP is a collaboration between US nuclear giant URS Corporation, French outfit Areva and British construction services group Amec.
The group beat off competition from three rivals to land the contract, which is worth more than the London 2012 Olympics.
Executives will now be tasked with overseeing the dismantling of the site, which could take 100 years to complete.
One challenge that has been removed from their in-tray is the threat of a potentially crippling strike.
Unions have now accepted a revised pay offer which has ended the possibility of an enforced shutdown as a result of escalating industrial action.
NMP has pledged to become part of the west Cumbrian community, a pledge which helped it win the contract.
Staff have been told their jobs are safe now, but there will be an inevitable reduction in numbers as its winding down gathers pace.
NMP will become Sellafield’s Parent Body Organisation (PBO) and will be handed £1.3bn a year to run it.
It will be awarded a five-year contract initially, with another 12 years on offer subject to performance.
NMP’s contract covers the decommissioning of the former nuclear power stations at Calder Hall and Windscale on the Sellafield site plus the management of the Thorp and Mox reprocessing plants.
The deal also covers the Capenhurst nuclear facility in Cheshire and an engineering design centre at Risley, near Warrington. The NDA will continue to own the land at the sites.
