GOV’T REPORT: NDA MISSES SAVINGS TARGETS AT SELLAFIELD

The U.K.’s Nuclear Decommissioning Authority has missed its target for efficiency savings during Sellafield’s first contract period by £173 million, a U.K. government audit released yesterday found, but the NDA so far has provided “moderate assurance” of reported overall savings. The National Audit Office reviewed claimed savings at Sellafield since the contract with Nuclear Management Partners began in 2008. “Forecast site-wide savings over the initial period fell from the £825 million forecast in October 2012 to £652 million forecast based on latest data,” yesterday’s report states. It adds, “We judge that Authority’s systems for recording, scrutinising and challenging claimed site-wide savings at Sellafield provide moderate assurance of reported overall savings. The Authority’s testing and challenge of claimed savings was strongest in 2012-13, yielding credible explanations or appropriate adjustments, although this process is not yet complete.”

The NDA emphasized yesterday that it has made improvements since the contract began. “The report explains that whilst the original target for efficiency savings in the first contract period has not been met, some £650 million of verified savings have been made,” NDA spokesman Matt Legg said in a written response. “This confirms the NDA’s view that whilst performance at Sellafield has not been as good as desired, significant progress has been made.”