10 Sep (NucNet): German utility E.On will retain responsibility for its nuclear power stations in Germany after it divests the rest of its power generation, energy trading and exploration and production businesses in January 2016, the company has said.
E.On said the decision to keep responsibility for the remaining operating nuclear power stations, as well as dismantling and decommissioning once they shut down permanently, will not affect the company’s strategic transformation and its division into two companies will stay on schedule.
In April 2015, E.On said it will create a new company, called Uniper, to encompass E.On’s activities in the conventional energy market, including its nuclear energy assets and existing provisions for the dismantling and disposal of nuclear power stations. The idea was for Uniper to ensure the safe decommissioning of nuclear power stations and provide competitive services to third parties.
But E.On said today its decision to maintain control over the company’s nuclear power assets safeguards Uniper against risks related to the possible extension of Germany’s law on nuclear liability to be unlimited, and to which Uniper would be potentially exposed.
“Although such a law would likely be unconstitutional, E.On’s planned transformation cannot await the outcome of years of litigation,” E.On said.
The decision means E.On’s nuclear power business in Germany will be managed by a separate company based in Hannover, to be called PreussenElektra.
E.On said PreussenElektra will not be integrated into E.On’s management structure and E.On will not market PreussenElektra’s products to its customers. “Our decision to retain our nuclear power business in Germany has no implications for our fundamental strategy”.
PreussenElektra will operate the company’s three remaining nuclear power stations in Germany – Brokdorf, Grohnde and Isar-2 – and fully meet government policy to phase out nuclear energy by 2022, as well as waste-management and decommissioning obligations, E.On said. As a result of the decision, around 2,300 employees will no longer be assigned to Uniper.
The separation of E.On and Uniper will take place on 1 January 2016.
