The lifespan of Hartlepool power station has been extended for one year in a "major win for energy independence".
EDF Energy has announced that the site will continue to produce power until March 2027, having previously been expected to close in 2026.
The news comes just months after Ed Miliband said Labour would look at extending the life of Hartlepool power station if elected.
The power station has already had two life extensions from the French energy company - initially to 2024 before being boosted to early 2026.
The site represents a third of the borough’s economic footprint, contributes roughly £9 million in business rates annually and employs around 700 people, with many more in the supply chain.
Hartlepool MP Jonathan Brash said: “This is a fantastic decision for Hartlepool that will safeguard jobs and our local economy.
"Our power station has been an iconic part of our past and I am pleased that it will continue to be an important part of our future.
"I am proud that our town will continue to play its vital role in powering the UK and we are working to ensure that Hartlepool is at the centre of the British economy for the generations to come.”
Ben Houchen, Tees Valley Mayor, added that the positive news "provides much needed certainty to families across our area".
He said: “This extension is positive news for local jobs in Hartlepool and provides much needed certainty to families across our area.
“However, this news also tells us that we need to get on with delivering new nuclear SMRs to protect the jobs for the long term. We have the land, we have the skills, and we have the interest from investors.
“This is good news today, but as ever there is plenty more to do”
Hartlepool will join three other British power stations to get the extension, with Heysham Two, in Lancashire, and Torness in East Lothian set to keep producing electricity for two more years until March 2030 and Heysham One, near Lancaster, until 2027.
The decision comes after a Government-commissioned report found the UK would need its nuclear fleet to stay operational for longer than planned to meet the Government’s goal of decarbonising the power grid by 2030.
EDF owns and runs Britain’s nuclear fleet after buying the power stations in 2009, while British Gas owner Centrica also holds a 20% stake.
Labour’s planned rapid rollout of renewable energy is set to contribute to higher demands on the power system.
The report by the National Energy System Operator (Neso), the agency that keeps the lights on, said nuclear sites will be needed to maintain grid stability.
Energy Secretary Ed Miliband said the decision was “a strong endorsement of our clean power mission”.
He said: “These extensions are a major win for our energy independence – powering millions of homes while supporting 3,000 good jobs across Lancashire, Teesside and East Lothian.
“We can’t achieve clean power by 2030 without nuclear, which provides an all-important steady supply of homegrown clean energy.”
EDF said it will invest a further £1.3 billion at the sites over the next three years to safely extend its operations.
So far, the nuclear fleet has generated more than 240 Terawatt hours of electricity, enough to power every UK home for two years.
Sizewell B, Britain’s fifth nuclear power station, which is also operated by EDF, is a different type of plant and was not reviewed as part of this process.
However, EDF said there is also a chance to extend that plant by a further 20 years to 2055 if needed.
Mark Hartley, managing director of EDF’s nuclear operations business, said that when the company bought the sites they “were all due to end generation by early 2023, which would have left the UK with just one generating nuclear station at Sizewell B”.
He added: “Careful stewardship and around £8 billion of investment since 2009 has seen several life extensions for these stations and much higher output than was predicted.”
Neso chief Fintan Slye backed the decision on Wednesday, adding that the agency’s recent report had shown “the important role that nuclear power will play in the electricity system to 2030 and out to 2050”.
Centrica boss Chris O’Shea added that the extension is “critical to UK security of supply and the country’s net zero ambitions”.
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He said: “In an energy system that is becoming ever more intermittent, baseload power generation that doesn’t depend on the sun shining and the wind blowing is essential to keeping the lights on.”
Mr O’Shea added: “We’re delighted that a further extension was possible which allows us the time necessary to develop other zero carbon dispatchable electricity generation options such as new nuclear and hydrogen-fired generation.
“We must move at a faster pace to ensure that these replacement technologies are deployed in time.”
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