Tim Cornelius, chief executive, Simec Atlantis Energy: “We believe our proposed project for the Wyre Estuary represents a golden opportunity for the government to reinforce its commitment tidal range technology. As well as generating predictable, zero carbon, sustainable power to the region, the project also offers flood protection capabilities for the local Wyre valley.

“With an expected CAPEX of £250 million and lifespan of 120 years, this project will have over 100MW of installed generation capacity and we expect that it will require a subsidy that is less than the CfD awarded to Hinkley Point and potentially less than Horizon.

“This project is the ideal pathfinder for a series of similar range projects being planned across the UK, including the Mersey, which only adds to its appeal as a sensible and good value investment proposition. This project will prove up the turbine technology required to make larger project viable and bankable.”

David Clubb, director, RenewableUK Cymru: “The loss in skills, supply chain and economic activity to Swansea, the region, to Wales and to the UK is colossal.  It means that the pathfinder project, described as being a ‘no-regrets’ decision by an independent review, which could have led to a whole series of projects across Wales with benefits UK-wide, will have to seek another mechanism of financial support, or will not go ahead.”

Sue Ferns, senior deputy general secretary, Prospect: “It is incredibly disappointing that the government are failing to support this innovative project that has the potential to make a major contribution to the UK energy mix over the coming decades.

‘Without serious investment in new energy infrastructure the UK risks being left dependent on energy imports through interconnectors, with serious implications for cost, security, and carbon emissions. To avoid this fate the government should be working with the Welsh government and others to support the project in a similar fashion to the Wylfa nuclear plant, an approach that would reduce many of the costs and risks of this new badly needed clean energy infrastructure.”

Dr Jenifer Baxter, head of engineering, Institution of Mechanical Engineers: “We are disappointed by this news as it is a missed opportunity to boost innovation and manufacturing in Wales. The project would have been a demonstration of first-of-a-kind technology and would have brought valuable new skills to Wales. This type of innovative scheme is key to encouraging growth and diversifying industry in the region.

“The Institution is supportive of a range of low-carbon technologies and the Swansea project is one of these that offers economic and environmental benefits.”

Emma Gibson, senior campaigner, Greenpeace UK: “A government that styles itself as an international leader in tackling climate change has just rejected the opportunity to become the international leader in developing tidal lagoons that produce clean energy day and night, and whose prices would have fallen after this first demonstration project.”

Hugh McNeal, chief executive, RenewableUK: “This decision is deeply disappointing and shows a lack of vision. Tidal lagoons have massive potential to meet our national energy needs and create jobs, as well as bringing industrial-scale economic benefits to the UK – including opportunities to export worldwide. The review commissioned by the Government on this innovative technology found that it can deliver secure power at a price that’s competitive in the long term.

“The UK’s future energy mix will be powered by a range of low carbon technologies. We know that with the right support, tidal energy can quickly become competitive on cost with other renewable and low carbon power like nuclear.

“With supportive policy and continued investment, we can rapidly cut the cost of new technologies and build world-leading industries. But at present there is no financial support on offer from government for marine renewables – or any new, innovative technologies.”

David Harwood, south Wales region chair, Institution of Mechanical Engineers: “We support the project but are aware that it had to be sensitive to environmental concerns which include the marine habitat in Swansea Bay as well as plans to quarry rock in Cornwall. We studied the environmental reports that were available last year and came to the conclusion to back the project when considering the social and economic benefits to Wales and the UK.”