£1.3billion Swansea Bay Tidal Power Scheme Risks Stalling
Investors of the projects have warned that if the scheme is not given the green light by the government soon, then further funding will be put on hold. Backers led by Prudential, Investec, poMacquarie, and two other major financial institutions have provisionally committed over £200 million with plans to provide hundreds of millions more to oversee the scheme.
However, investors have warned that without government go-ahead for the tidal power project, they will not release any further funds. They have been waiting for the go ahead for the project, which will include the construction of a 9.5kn seawall embedded with turbines, since January.
The project was granted planning permission in 2015, but requires a guarantee of subsidised price of electricity from the government before they proceed any further, in order to make the project financially viable. The tidal lagoon was planned to be the first in a chain of similar tidal lagoons across the UK coastline.