What Does The UK’s Electricity Market Shakeup Mean For Consumers? | OilPrice.com

  • 📰 OilandEnergy
  • ⏱ Reading Time:
  • 47 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 22%
  • Publisher: 68%

Business News News

Business Business Latest News,Business Business Headlines

The country’s government aims to drastically reduce its exposure to volatile natural gas prices.

The UK has launched a review of its electricity market.The move would de-couple costly fossil fuel prices from electricity produced by cheaper renewables. Fossil fuel prices could be separated from the costs of electricity produced by renewables, radically reducing the country’s exposure to volatile global gas markets.

Under the current system, gas prices often end up dictating the wholesale electricity price, because it is often the last source of supply to meet demand. The ever-increasing participation of renewables in the system means over time, the Goverment believes cheaper electricity produced by renewables energy will determine the price more often.

The Review of Electricity Market Arrangements will seek views on how to address the challenges of higher global energy costs, the need to further boost energy security and to move the UK to a cleaner energy system. It also includes consultation on reforming the capacity market so that it increases the participation of low carbon flexibility technologies, such as electricity storage, that enable a cleaner, lower-cost system.The consultation forms part of the government’s comprehensive review of the electricity market, first announced in the British Energy Security Strategy .

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

BUT WINDMILLS ARE AWESOME ON THOSE NO WIND DAYS

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 34. in BUSİNESS

Business Business Latest News, Business Business Headlines