SCORES of jobs are being lost as EDF Energy tries to cut costs associated with the currently stalled Hinkley Point C project.

Although the French energy giant has not put a figure on the losses, it is believed a significant number of the 800 people employed on the project in both the UK and France could be affected.

EDF said it was having to "refocus its activities" while talks continued with the Government to try and agree a price for electricity generated at the proposed new power station.

The leading nuclear workers' union Prospect warned this week that unless a resolution was found soon, thousands more potential jobs could be at risk.

EDF has already ploughed around £1 billion into the project and is believed to be spending £1 million a day on the scheme.

But as reported in last week's Free Press, the future of the multi-billion pound Hinkley C project is still hanging in the balance almost a month after the Government gave the go-ahead for the plant to be built.

This week, a spokesman for EDF said its decision to scale back work on the proposed development was simply "good project management".

In a statement, the firm said the move would control costs and reflected its priorities "ahead of securing the financing necessary for the project".

It said much activity such as further detailed pre-construction engineering work would continue ahead of the later construction phase, but there would be a reduction in the number of people working on the project for the time being.

The company has already lost its main investment partner due to delays and is adamant it will be unable to attract another unless the right deal for the price of electricity is struck with the Treasury.

The firm had hoped that deal would be signed and sealed before the end of last year.

That deadline came and went, as did the last cut-off point at the end of March this year.

This week EDF said negotiations with the UK Government to agree a contract for the electricity from Hinkley Point C were "making progress".

Troubleshooters Lord Deighton, the Treasury's commercial secretary, and Stephen Lovegrove, the Energy Department's permanent secretary, have both been drafted in to try and resolve the crisis.

Alan Leighton, national secretary of Prospect, which represents 21,000 nuclear sector workers, said all concerned should redouble their efforts to find an agreement.

"Our members fear that any delay in the preparation work could impede or delay EDF's ability to bring the project to fruition once agreement has been reached.

"Without an agreement we risk losing a once-in-a-generation opportunity to meet the country's decarbonisation targets and help build a new economy that provides good quality jobs and growth for the UK," Mr Leighton said.

He said Prospect was committed to an "appropriate energy mix" for the UK, including gas and renewables, but believed nuclear new build was pivotal to ensure a secure future energy supply.

DESPITE news of the job losses, Somerset Chamber of Commerce said it remained optimistic for the future of the Hinkley C project.

The group said there were still "vast opportunities" for Somerset businesses to be part of the Hinkley Point C supply chain and provide a significant boost to the local economy.

The chamber, which manages the Hinkley supply chain website, insists there is still work to be done right now to ensure the county is in a strong position to benefit when the project moves forward.

Rupert Cox, chief executive of the Somerset Chamber of Commerce, said: "It is disappointing but not surprising that EDF has made the decision to rationalise its activity as it has probably done all the work it can at this stage of the project.

"However, we still believe a deal will be struck with Government as it is in both parties' interests.

"The Government needs to secure a robust, cost-effective and sustainable energy supply for the generations to come, while EDF needs to maximise its existing investment in the British nuclear industry by developing more power stations as part of the UK's new nuclear programme.

"Locally we will continue to prepare the Somerset supply chain for the tremendous opportunities that Hinkley C will bring, and we will continue to develop relationships with the preferred top tier contractors to make sure that they are aware of the huge pool of supply chain resource that they should be tapping into here in Somerset."

As well as nuclear-related industries, the Hinkley project will require involvement from a wide range of other sectors, from professional services to food and drink suppliers and from construction companies to designers.

Anyone interested in find out more about Hinkley supply chain opportunities, should contact the Somerset Chamber of Commerce on 01823 444924 or visit the website http://www.hinkleysupplychain.co.uk">www.hinkleysupplychain.co.uk.