Alliances for a Green Recovery: A TUC one-day Conference Green Energy Workshop 11 October 2010 Malcolm Lee Energy and Commercial Manager Sheffield Forgemasters

Green Energy - does it meet our needs? Energy Intensive industry Sheffield Forgemasters as an example - 60,000 tonnes CO2 direct - 60,000 tonnes CO2 indirect - 5,000 tonnes process - emissions set to increase as business expands (the price of success)

SF Electricity demand Background 10MW Almost instantaneous pick up to 50MW Therefore need secure reliable electricity sources that can cope with rapid increase in demand

Green Options Wind – no but would need 400% increase in UK forging capacity anyway to meet renewable targets or import components Hydro – don’t know but like wind can be unreliable Nuclear – yes but limited supply chain for new build Clean coal – yes but needs developing especially CSC

So need to develop Nuclear Supply Chain There is a nuclear renaissance happening with the demand for clean safe electricity increasing; world electricity demand set to grow 50% in next 15 years 16 large presses planned or proposed, only 6 of these for civil nuclear applications, 3 of which are in China, 1 was ours, 1 Japan, 1 Korea Demand for nuclear forgings outstrips existing capacity by 30-40% over the next 10 years Currently two established designs, Westinghouse AP1000 and Arreva EPR UK as configured now can only manufacture15 of the 38 components required for both the Westinghouse and Arreva design, therefore investment needed in UK to have future complete manufacturing capability As things stand, new nuclear plants will be built round the world, and hopefully the UK, but the components will come from Asia or France Will the UK be set to have to get in a queue if does not have own capability as lead times go out?

Plans For New Reactors Worldwide