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The newspaper said plans to build a 10-mile long tidal barrage, that could generate up to 5% of Britain's electricity, are likely to be shelved under a government cost-cutting drive.
BBC: 'No plans' to drop barrage scheme
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The massive Severn estuary tidal barrage scheme had been rejected by the coalition government because of its environmental impact, but ministers have indicated they are open to review the idea.
BBC: UK tidal power has huge potential, say scientists
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However, the SDC report concluded that it did not "consider that a large-scale tidal lagoon development in the Severn estuary would offer any environmental or economic advantage over a tidal barrage".
BBC: The ebb and flow of tidal power
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The tidal cycle powering the barrage might not coincide with demand for electricity.
BBC: Barrage 'fixation' claims group