As Dale Vince (Ecotricity) points out, all that is required to reduce energy prices (specifically electricity) in the UK is to remove the requirement from the auction system that the price is dictated by the highest bid (nearly always that made by gas).
Breaking the link with gas prices (and allowing each energy source to be supplied at its actual bid price) would immediately reduce energy prices across the country.
Moreover the Govt. has the power to do this, they just don't!
#energy
h/t FT
As I understand it, the reason for maintaining prices at levels required by gas generation is that at lower prices the private gas generators are not viable - so the owners won't keep them going to cover any gaps in renewable generation - so the problem is not regulation, but private for-profit ownership.
@GeofCox @ChrisMayLA6 it’s actually much simpler than that. Tweak the incentives and the market will do it for you. That’s what they did in Uruguay and they have reduced their costs and increased their GDP.
Emeritus Prof Christopher May
GeofCox
Peter Brown