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Fires on UK and French electric submarine cables cause new price hikes

UK energy renewal

A large fire on the UK’s mains submarine cable with France reduced imports into the UK and pushed prices up during periods of tight supply. Record high..

The National Grid said a fire broke out at the IFA1 interconnect site in Sellindge, near Ashford, Kent, and paramedics attended.

UK natural gas prices hit record highs in recent weeks, but have skyrocketed by more than 18% in the news, and traders need to drive harder for the next few days to supplement their gas-fired generators. Is calculated. Import loss.

The previous day’s price for National Balancing Points reached £ 1.89 per therm. That’s more than double the trading level just two months ago, and more than five times the level last September.

National Grid ESO, part of the FTSE 100 company responsible for balancing the UK’s electricity system, claims it still expects a “sufficient” margin of supply and demand during peak Wednesday nights despite the fire. Did.

The interconnector, which has been in operation since 1986 and imports nuclear power primarily from France as needed, was operating at only half its capacity for maintenance. The second 1GW interconnector between the UK and France, known as IFA2, is unaffected.

Kent Fire and Rescue Service said on its website that more than 10 fire trucks joined the scene after the fire broke out overnight.

“Although progress is being made, firefighters are expected to be on the scene for the next few hours,” the fire department said on its website at 9:15 am.

The French transmission operator RTE said the interconnect would not be available until “at least” October 13.

Interconnectors, which are submarine cables that the UK imports and exports electricity from countries such as Belgium, France, Denmark, Ireland and the Netherlands, have been increasing in recent years in balancing electricity systems as countries move away from fossil fuel production. It plays an important role. For more weather-dependent sources such as offshore wind.

The UK currently has six operational interconnectors with a capacity of 6GW.The seventh link between Britain and Norway Switched on for testing in June..

The UK government said in a December white paper that the UK would need at least 18 GW of interconnect capacity by 2030.

Glen Rixon, head of European power analytics at S & P Global Platts Analytics, said the fire turmoil is likely to be a “week, perhaps months” problem.

“It couldn’t have been the worst time for Britain and I’m hoping [electricity prices] It will rise significantly compared to the new record set this week, “he said, saying that auction prices for peak electricity demand in late Wednesday are likely to skyrocket.

Britain experienced record While bad weather has reduced wind power and some coal-fired power plants have switched on prior to peak demand hours, electricity prices in recent weeks have been due to strong gas prices flowing into the electricity market. is.

Fires on UK and French electric submarine cables cause new price hikes

Source link Fires on UK and French electric submarine cables cause new price hikes

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