South West Wales

Swansea Bay tidal lagoon: 'Big call' needed on project

Tidal lagoon Image copyright TLP

A "big call" is needed on the future of the proposed £1bn Swansea Bay tidal lagoon, Welsh Secretary Stephen Crabb has said.

He told BBC Radio Wales the project has a "very large subsidy" and other options need to be looked at to see if they were more affordable.

The prime minister previously said his enthusiasm was cooling due to costs.

Tidal Lagoon Power, the company behind the plan, said it was confident it could hit a "viable" price.

Speaking on the Jason Mohammad programme, Mr Crabb said he was a fan of the project.

But, he added: "What we want to do is take a considered decision about whether it is in the best long-term interest in terms of energy, in terms of jobs and the economy."

The proposed subsidy for the tidal lagoon scheme is £168 per megawatt hour (pmh) of energy generated, compared to the £89-£92.50 pmh for Hinkley C's proposed nuclear plant.

Tidal Lagoon Power said: "Clearly there is a price at which this prospect becomes viable and through our ongoing negotiation with government we are very confident that we can hit that price."

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