Potential investors for a pioneering scheme to generate renewable energy from tidal lagoons will “walk away” if the Government does not make a decision “very soon”, MPs have been told.
Labour’s Rachel Reeves pressed Wales Minister Guto Bebb on when a response would be published to a Government-commissioned review.
Former energy minister Charles Hendry supported the technology in the review, published at the beginning of the year, saying the plans could create a new global industry for the cost of a pint of milk per household per year.
The lagoons use the power of tides to generate electricity and would be less expensive than both offshore wind and nuclear power over the first 60 years of their 120-year life, the review found.
During Wales questions in the Commons, Ms Reeves said: “The issue of the tidal lagoon does need a response from the Government – it is eight months since the review.
“Can the minister say now when the Government will publish its response because there is a very real risk that the investors that are needed to fund this project will walk away unless a decision is made very soon by this Government.”
Mr Bebb said Ms Reeves would be “aware” of the need to “analyse from a cost perspective the benefits and the costs of the tidal lagoon”.
“The decision will be made and will be announced in due course by the relevant ministers.”