Energy Pricing
This morning the Government has announced the measures it is putting in place to support businesses with the high cost of energy (more detail is here). This follows the Energy Price Guarantee provided to domestic consumers on 8 September and applies to non-domestic energy [...]
Today the new Prime Minister has announced the long-awaited support for rising energy bills. A new Energy Price Guarantee is being introduced which supersedes the price cap and will fix average energy costs for households at £2,500 for 2 years. This is in addition [...]
With the largely expected news that Liz Truss would become the new Prime Minister of the United Kingdom, speculation is growing about the support that will be offered to consumers ahead of the increase in the price cap that is due to come into [...]
Over the past few days I have been invited to comment in the mainstream press about the current energy crisis, both in terms of security of supply and high costs. These two legs of the trilemma now dominate the news as people rightly worry [...]
On Monday 18 July, National Grid ESO issued two Capacity Market Notices, the first at for 7pm which was cancelled after about half an hour, and the second for 8pm which was cancelled with fewer than 10 mins to go before the start of the [...]
There has been a lot of noise recently about the prospect of a move to some form of location-based pricing in the GB electricity market. National Grid ESO is strongly in favour, seeing nodal pricing alongside a return to centralised dispatch as the best [...]
Ofgem has recently launched a consultation into new measures to improve financial resilience within the energy sector, specifically aimed at gas and electricity suppliers. This came after half of the suppliers in the market failed last year, and highly critical reports by consultancy Oxera [...]
One night last week I had a dream that hydro-power isn’t generated by water, but by a mouse called Lucy which is getting tired, with dire consequences for the market. The dream made more sense than the tangle which is known as network charging [...]
On Monday, Ofgem issued yet another set of consultations into the retail price cap. The key proposals are to review the price cap every three months rather than the current six months, and make a small reduction in the notice given to suppliers of [...]
Gas prices have been continuing on their volatile journey as they respond to the global imbalances resulting from the pandemic, as well as the developments around the war in Ukraine. As the chart shows, UK gas prices have been extremely variable in recent months. [...]