Image copyright TLP
The Hendry assessment mentioned the lagoon would make a "strong contribution" to vitality provides
Plans to construct the world's first tidal energy lagoon have been thrown out by the UK authorities.
Business and Energy Secretary Greg Clark mentioned the £1.3bn project was not worth for cash, regardless of claims by builders Tidal Lagoon Power (TLP) a revised provide made it cheaper.
The determination has been slammed by native politicians throughout the events, together with the Conservatives.
The scheme off Swansea Bay had £200m backing from the Welsh Government.
But the UK authorities mentioned it could not pay TLP the payment it desires for vitality.
TLP claimed no talks have taken place for greater than a yr and mentioned supporters of the project have vowed to do what they will to make it a actuality.
Mr Clark informed the Commons: "Securing our energy needs into the future has to be done seriously and, when much cheaper alternatives exist, no individual project, and no particular technology, can proceed at any price."
Government evaluation estimated that the lagoon would price the typical British family client an further £700 between 2031 and 2050.
But TLP chief govt Mark Shorrock mentioned the figures had been flawed, including that offshore wind initiatives had obtained £8bn in subsidies and the "path finder" tidal lagoon project wanted £25m a yr "in order to kick start an industry".
"It's a very, very sad day for Wales, for Swansea," he informed BBC Radio Wales' Good Evening Wales programme.
First Minister Carwyn Jones posted on Twitter that it was a "crushing blow to Wales".
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Welsh Secretary Alun Cairns mentioned: "I realise the disappointment this decision may cause, but ultimately this project did not meet the threshold for taxpayer value."
There have been a variety of calls amongst Labour MPs for Mr Cairns to go however he informed the BBC Wales Today programme he was pleased with his file.
Fice Secretary Mark Drakeford, talking in an interview on Good Evening Wales, mentioned: "Wales has not had an effective voice at the cabinet table."
Plaid Cymru's vitality spokesperson, Liz Saville Roberts MP, mentioned the UK authorities's "decision demonstrates the need for Wales to gain greater control over its own future".
Welsh Liberal Democrat chief Jane Dodds referred to as the choice a "disgrace", as did Gower Labour MP Tonia Antoniazzi.
The announcement brings an finish to 18 months of ready since an unbiased assessment, commissioned by the ministers, really helpful constructing the lagoon.
TLP chairman Keith Clarke mentioned: "In light of today's statement and having heard next to nothing from government for two years, the board will be meeting in two days' time to consider its next steps."
Greg Clark mentioned the lagoon didn't meet "value for money" necessities
The assessment by former vitality minister Charles Hendry mentioned Swansea ought to be used as a check of the expertise, earlier than permitting different builders to bid to assemble additional schemes as a part of a aggressive tendering course of.
The UK authorities has been accused of dragging its heels since then, throughout which era they repeatedly said the scheme should show "value for money".
TLP claims the Swansea project would offer energy to 155,000 properties in Wales and is cheaper than nuclear energy.
The builders had beforehand requested for a 90-year contract with the UK authorities with an common strike wortha assured worth for the electrical energy generatedof £89.90 per megawatt hour.
The new nuclear energy station at Hinkley Point C in Somerset was given a strike worth of £92.50/MWh for 35 years.
Watch Tidal Lagoon Power's video of how the generators would work
Analysis by Brian Meechan, BBC Wales enterprise correspondent
This was a project that appeared at one level to have widespread and virtually common help in Wales.
It required the UK authorities to agree a vital strike wortha subsidy paid by shoppers via vitality paymentsthough the precise quantity diverse relying on the size of time that worth was set for and whether or not different taxpayer funding was invested within the project.
The unbiased report by Charles Hendry was very supportive of the tidal lagoon. However, it additionally stated that doing a full, worth for cash, evaluation was past its scope.
In current months, some within the enterprise neighborhood have been privately elevating considerations about the price of the project and its affect on vitality payments.
While Tidal Lagoon Power and the Welsh Government now say it's the similar worth as nuclear energy, the UK authorities insist it's double.
However, the goalposts have moved. There was big criticism of the UK authorities over the worth for vitality struck for the brand new nuclear plant throughout the water at Hinkley Point. With a pledge to not commit invoice payers to such prices once more, even getting the price of the lagoon to a comparable determine was unlikely to be adequate.
It appears, finally, that UK ministers wouldn't have confidence that the lagoon builders are in a position to ship the project on the worth they now assume is affordable for shoppers to pay. Especially as different choices corresponding to wind vitality are available in at an a lot decrease price.
2003: Plans first emerge for a £30m tidal energy project in Swansea Bay from a inexperienced vitality charity
2006: Tidal Electric Ltd prepares a scoping report for a lagoon to take the project on however it's placed on maintain
2012: Tidal Lagoon Power (TLP) unveils its ambition to develop a breakwater and energy technology
2013: TLP begins creating its plans
2014: Plans submitted to Planning Inspectorate with a price of £850m
2015: Proposals get backing of UK authorities, topic to subsidy settlementhope it could possibly be operational by 2018
2016: Report warns of affect on fish. Charles Hendry is appointed to guide unbiased assessment into £1.3bn lagoon's viability
2017: Hendry assessment backs the lagoon as a "no regrets" choice however the UK authorities continues to be to determine
2018: Delays, largely believed to be over arguments over worth for cash. Welsh Government additionally affords substantial funding, as does Wales Pension Partnership
Ian Price, director of enterprise group CBI Wales, mentioned: "We appreciate the effort and energy made by politicians from both governments who have worked tirelessly to try and make this project a reality. At the end of the day, any project has to be affordable for consumers."
David Clubb, a director at RenewableUK Cymru, the commerce physique for all renewable vitality, mentioned: "This means that the region will not benefit from many thousands of jobs from the project and the associated supply chain."