Last month, the UK government placed a bold £14.2bn bet on Sizewell C, the country’s largest nuclear investment in a generation. This week, France’s EDF confirmed it will invest up to £1.1bn for a 12.5% stake in the project, strengthening a rare cross-channel energy partnership. But behind the headlines lies something deeper than a green infrastructure story, a redefinition of what the ‘S’ in ESG really stands for.
Sizewell C is as much a geopolitical move as it is an environmental one. It shows that decisions aren’t purely about value for money, instead, energy investment is being recast through the lens of national security, and sovereignty, as much as anything else. In taking its stake in the project to 83.8%, after buying out Chinese investors, the UK government is asserting national control over critical infrastructure. This is ESG as an industrial strategy.
And as Europe reshapes its energy landscape in response to war, economic instability, and climate commitments, Sizewell C signals that sovereignty is becoming top priority. Expected to supply 20% of the UK’s electricity and power six million homes, the plant will reduce exposure to volatile global gas markets making this, in part, a move towards energy security.
There are social dividends too. With 10,000 construction jobs and 1,500 apprenticeships planned, Sizewell C is investing in homegrown skills, building the workforce needed for long-term energy independence. Here an increase in employment contributes to UK energy sovereignty.
Some still question whether nuclear truly fits within the "E" of ESG. But this government is seeking to cut through the debate with a harder-edged view, the path to net zero must also run through energy sovereignty. In an era where the government has been accused of pursuing ESG that is too idealistic or too timid, this is a tangible, hard-edged example of values meeting national interest.
For investors and corporates this is a positive shift towards a holistic ESG approach that combines carbon disclosures and ESG ratings with investing in climate-aligned assets that strengthen a nation’s autonomy. If successful, Sizewell C could set a new benchmark, one that blends environmental ambition with economic and political resilience.
The project also offers a dual narrative; a vision of UK-EU energy cooperation, and a demonstration of how sovereign capability, supply chain control, and long-term planning are becoming integral to ESG. If sovereignty is indeed becoming the new 'S' in ESG, Sizewell C might just be the prototype?
