E.ON Pulls Out of Proposed New Reactor in Finland

On 24 October 2012 German utility E.ON announced that it was going to sell its 34% in the plans to construct a nuclear power plant at Fennovoima in Finland. A spokesman for E.ON told Bloomberg that low power use and electricity prices were the cause of decision. However, E.ON is also selling its other assets in Finland, in order to focus its attention on the Danish and Swedish market. Two other companies, the meat processing company Atria and the S-Group retail chain announced earlier that they were divesting from Fennovoima. The Fennovoima project also recently dismissed its chief executive sayingit needed a different leader as it was entering a new phase. In these circumstance finding a replacement for the estimated €2 billion E.ON were expected to contribute is ‘expected to be very difficult’.