EU assesses UK-China nuclear plant deal

The European Commission is assessing possible UK incentives for a nuclear power plant deal that attracted Chinese investment, an EU official told China Daily.

The nuclear deal was struck when British Prime Minister David Cameron met Premier Li Keqiang in Beijing earlier this month.

"The commission has been assessing UK plans to support nuclear power on the basis of a notification by the UK authorities," said Antoine Colombani, spokesman for Competition and for Vice-President Joaquín Almunia of the European Commission.

The focus of the case is whether the UK government offered financial support which is against EU rules.

According to EU rules, Article 107 of the Treaty on the Functioning of the European Union, ensures that aid granted by a member state or through state resources does not distort competition and trade within the EU by favoring certain companies or the production of certain goods.

According to the spokesman, if the commission has doubts about whether the nuclear project complies with EU state aid rules, it may decide to open a formal investigation.

The $25.9 billion project, which was agreed on Dec 2 with France's EDF energy group and Chinese investors, will be the first nuclear plant deal in the EU since the Fukushima disaster prompted a major rethink of nuclear power.