Good Energy Group plc (AIM: GOOD) - welcome news as Swansea Bay Tidal Lagoon given go-ahead
The building of a £1bn tidal lagoon in Swansea Bay was yesterday given the go-ahead by the UK government. The company behind the project, Tidal Lagoon Power says it will now negotiate how much subsidy will be paid for the energy generated from the project – the first of five tidal lagoons it plans to build on the West Coast of the UK.
The project, which draws upon existing technology, will have an installed capacity of 320MW, and is should begin to generate electricity in 2018. Once operational the development is forecast to provide electricity for more than 155,000 homes for 120 years. Despite there still being concerns over the impact the project will have on the environment and migratory fish, the backing of the UK government is a big hurdle to have overcome. The announcement also comes as good news for AIM listed Good Energy Group who has an option over 10% of the output from the project, currently forecast at 495GWh…