On 6 April 2009, those provisions of the Energy Act 2008 (the
"Act") which relate to decommissioning and clean-up of
nuclear sites will come into force. These new provisions set out a
legislative framework for funded decommissioning programmes which
will ensure that operators are responsible for the costs of waste
management and decommissioning of new nuclear power stations in
England, Wales and Northern Ireland.
It is critical that operators are aware of these provisions as
it will be an offence to operate a nuclear site without first
having a funded decommissioning programme ("FDP")
approved by the Government or to fail to comply with an FDP once it
is approved. The financial liability could also extend to parent
companies and subsidiaries of the site operator. Exit strategies
will also need to take account of the fact that the decommissioning
obligations of a site operator will continue until the Secretary of
State for Energy and Climate Change ("SoS")
