THE GOVERNMENT is preparing to finalise an agreement to continue operations at a coal-fired power station that was set to close this autumn.
Downing Street is desperate to ensure the security of the UK's energy supplies this coming winter and has been holding talks with the plant operator EDF to extend the life of the West Burton A Power Station in Nottingham from October to March next year.
City A.M. understands a deal could be reached this week, with the French energy giant negotiating the price with the government, Ofgem and the National Grid's Electricity System Operator (Grid ESO).
An EDF spokesperson told City A.M.: "EDF is working hard to finalise an agreement with Grid ESO to support the government's request to keep West Burton A Power Station available over next winter. An update will provided at the appropriate time."
EDF's plant is one of three coalfired power stations still operating in the UK, following the county's switch to gas over the past decade.
The government told City A.M. that details of the extension will be announced in due course.