Fires in critical power installations raise concerns about affordability in the coming months, requiring households to protect themselves from spikes in energy costs before winter.
The flames pulled out an electrical interconnect on the Kent coast-one of only two-it allows power to flow between France and Great Britain.
Fire news has raised UK electricity prices by almost 19% at some point. This is based on concerns that the country is facing an unprecedented surge in energy costs during the winter, and in some cases since then.
The National Grid, which operates the site in the village of Sellindge, claimed that there was no risk of a power outage due to a fire, but acknowledged that it could take a month for the link to recover.
The National Grid has already been forced to rejuvenate its UK power plant reserves, simply because of unfavorable climatic conditions, low wind supplies and soaring wholesale gas prices. Turn on a coal-fired power plant to keep the lights on this month.
Glen Rixon, head of European power analytics at S & P Global Platts Analytics, told Reuters about the effects of the fire: Demand will increase as we move further towards winter. “
Experts said they had removed 1 gigawatt (GW) of interconnect capacity (about 3% of the UK’s daily needs), but coupled with a wider energy shortage, portrayed an alarming situation and wholesaled. Explained why electricity costs are running at record levels.
ICIS’s leading European gas analyst Tom Marzec-Manser told Sky News that wholesale gas contracts in October increased 16% on Wednesday alone.
“The loss of French electricity imports means that the GB market needs to generate an additional 1 GW of electricity domestically.
“Given the lack of options, this means running even more gas-fired power generation, even at these soaring (price) levels.”
Consumer groups have already closed four challenging household suppliers this month alone, but the increase has led to household billing prior to raising the so-called default tariff (also known as standard variable tariff) price cap. Warned that it is reflected in the book (SVT)-this Effective in October..
Of particular concern is the rise in overall living costs. Fastest pace in August record -Further acceleration during the winter, combined with the loss of two important economic lifelines.
Gillian Cooper, head of energy policy for Citizens Advice Services, told Sky News:
“Furloughs are over, Universal Credit will be cut, and many will see energy prices skyrocket as price caps rise.
“Continuous rises in wholesale energy prices make it difficult to see the light at the end of the tunnel, and invoices may continue to rise in the coming months.
“Maintaining an additional £ 20 a week on Universal Credit is the only best way to support a family during this difficult time. Ofgem by providing additional funding to prepaid customers’ fuel vouchers. Can also play that role, “she said.
Justina Miltienyte, an energy policy expert at price comparison site Uswitch.com, warns: Being floating.
“More than ever, consumers need to remain involved in energy consumption and consider the best options available on the market.
“For some, continuing (SVT) may be the right option for now, but those customers need to be especially vigilant and watch out for further price increases over the next six months.
“Fixed transactions are the best way to protect yourself from long-term market volatility. There are still transactions in the market that can save you money against the cap.
“Switching to a 12-month fixed transaction also means that consumers will avoid the uncertainty of the next price cap announced in February 2022.”
Households were urged to act on the bill, as fires could lead to a leap in electricity costs.Business news
Source Households were urged to act on the bill, as fires could lead to a leap in electricity costs.Business news