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 The fact we continue to allow critical national infrastructure to remain in the hands of private for-profit companies is just beyond belief.
These companies receive subsidy after subsidy, have the reassurance of government bailout if they screw up and still have the gall to overcharge and extort.
Their lobbyists should be exposed and the deals they do subjected to public scrutiny.
@Fishd @GeofCox @ChrisMayLA6 Reflect on the fact that National Grid itself, the monopoly approver and planner for the electricity system, is a private company with sizeable US control.
Not only do we have private power companies, we have a privately owned monopoly planner and effective regulator, in charge of a power market designed by the energy companies.
Emeritus Prof Christopher May
GeofCox
Fishd
BashStKid