George Osborne has announced during a five-day tour that China will invest on the nuclear plant project, Hinkley Point, located in Somerset, United Kingdom.

The U.K. has guaranteed the deal of over $31 billion American dollars, that is -- or such £2 billion would enable greater collaboration between the two countries, according to The Guardian. It has been said that the Hinkley Point nuclear plant project has already been delayed because the French firm that initially announced and wanted to invest has pushed back its decision.

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According to BBC News, Osborne said that the Chinese companies would receive a considerable worth of money at stake in the project while the U.K. acted as the guarantor for their investment. The guarantee will be provided by Britain's Infrastructure U.K. Scheme -- allocating finance for projects that have had hardships in raising money from private investors.

EDF Energy has struggled to find other investors for the Hinkley Point project. Therefore, the government assured that it will provide seven percent of Britain's entire energy needs from 2023. The former then agreed to supply electricity from the said plant at a guaranteed minimum price of £89.50 or about $139 per megawatt hour for 35 years.

Amber Rudd, the Energy Secretary, said that the government will continue to work with EDF to finalize the Hinkley Point deal.

The initial support from the U.K. government would make way for the construction of its £24.5 billion first new nuclear power plant that can provide power for a generation or about 60 years. Osborne faced the opposition from environmental groups and thus redoubled his arguments for the nuclear plant, saying that it is cost competitive with other low carbon technology.

Nevertheless, Chinese backers have committed on the investment to the project, but intense criticism from the city and the energy industry still surfaced. The analysts, too, questioned the economics of the project that at its cost of over $38 billion, as it could have combined other projects such as the London 2012 Olympics, Crossrail bill and the renovated Heathrow's Terminal 2.

TagsEDF Energy, Hinkley Point, Nuclear Power Plant, Electricity