As reported, power companies are expected to build a 400MW carbon capture and storage (CCS) demonstration plant by 2014, to qualify for the government funding.
According to Paul Golby, chief executive of E.ON UK, the government has decided to retain Kingsnorth in a competition for the funding, though it is difficult for the project to meet this key deadline. He added that there is a possibility of the date to be waived by government.
Mr Golby told The Times: “Clearly, it would be very difficult for Kingsnorth to have met that condition. We are still in a process of consultation on CCS and how (the competition) will work.”
Earlier, E.ON had said that due to a decline in the electricity demand, the decision on the Kingsnorth proposals will be delayed for up to three years. The company was competing with RWE npower and Scottish Power to get the government funding to fit the plant with carbon capture and storage (CCS) technology.
