Gee, it’s almost like their “industrial strategy” is more like an industrial destruction strategy. My theory is that, in the same way that governments no longer ever announce spending plans, they only announce plans to “invest.” In the same sort of Orwellian newspeak, “central planning” is now only to be referred to as “industrial policy” or “ industrial strategy”.
This is an interesting article, but you appear to have bought into the myth that gas prices are setting the price of electricity in the UK.
It simply isn't true. The markets for electricity have been designed to allow renewables suppliers to bid low prices (below the cost of gas), so they get priority when feeding to the grid. They can bid whatever price they need to bid to get below the price of gas-generated power and ensure they will be selected. However, they are not paid the low prices they bid, nor are they paid the marginal prices that the gas generators receive.
Renewables are purchased on fixed-price contracts, suppliers receive the market price plus a top-up subsidy to bring their revenue up to the contract prices. Those subsidies are paid by the consumer.
All of the renewables contracts have prices that are higher than the cost of gas generation, even with the carbon tax included in the gas costs.
For a more detailed explanation, see this article by David Turver, it explains in detail why UK electricity costs are so high. The blame can be squarely placed on the NetZero policies of this government and its predecessors.
Me thinks the smartest Europeans migrated to America.
My kinsmen back home lost their edge.
Last Winter Scotland was using diesel generators to run the blades
If it were not for the people in England
🏴 I’d simply just close it down
Culture is a rape culture
Muslims infiltrated
Brutal pandemic tyranny
Cant even get electricity right
Poor woman is being charged out of her home
In a way this can’t all be incompetence
But Genocide
All in the name of “ clean energy”
Gee, it’s almost like their “industrial strategy” is more like an industrial destruction strategy. My theory is that, in the same way that governments no longer ever announce spending plans, they only announce plans to “invest.” In the same sort of Orwellian newspeak, “central planning” is now only to be referred to as “industrial policy” or “ industrial strategy”.
This is an interesting article, but you appear to have bought into the myth that gas prices are setting the price of electricity in the UK.
It simply isn't true. The markets for electricity have been designed to allow renewables suppliers to bid low prices (below the cost of gas), so they get priority when feeding to the grid. They can bid whatever price they need to bid to get below the price of gas-generated power and ensure they will be selected. However, they are not paid the low prices they bid, nor are they paid the marginal prices that the gas generators receive.
Renewables are purchased on fixed-price contracts, suppliers receive the market price plus a top-up subsidy to bring their revenue up to the contract prices. Those subsidies are paid by the consumer.
All of the renewables contracts have prices that are higher than the cost of gas generation, even with the carbon tax included in the gas costs.
For a more detailed explanation, see this article by David Turver, it explains in detail why UK electricity costs are so high. The blame can be squarely placed on the NetZero policies of this government and its predecessors.
https://substack.com/@davidturver/p-162898337