UK Energy Prices

[Sephiroth]

Originally Posted by nomadking

How? They're not the ones setting the costs. They are just passing on the costs that they incur and can't avoid.

There's not enough transparency on this. For example, what proportion of the wholesale price increase is absorbed by the energy suppliers?
Or are the maintaining their margins and thus their gross profit?

[denphone]

Originally Posted by papa smurf

These companies are taking the piss

And denting the bank account.

[Jaymoss]

One thing is for sure I will not be using my heating again this winter no matter how cold it gets

[papa smurf]

Originally Posted by denphone

And denting the bank account.

This greed will kill people this winter.

[GrimUpNorth]

I don't understand how a unit of electricity from a UK based wind turbine can cost so much more than it did from the same turbine a couple of years ago.

Originally Posted by GrimUpNorth

I don't understand how a unit of electricity from a UK based wind turbine can cost so much more than it did from the same turbine a couple of years ago.

Because the price is regulated and ultimately tied to the price of electricity produced by burning gas. It was supposed to provide an element of certainty while the industry was in its infancy, but now it’s just turning turbines into cash cows. There is some half-hearted sentiment in government towards reforming it, but seeing as the government is eating itself from the tail upwards at the moment I wouldn’t hold my breath.

[papa smurf]

Originally Posted by GrimUpNorth

I don't understand how a unit of electricity from a UK based wind turbine can cost so much more than it did from the same turbine a couple of years ago.

Well i can tell you the price of wind whistling down the Humber has gone up 70% and have you seen the price of a photon at the solar farms.

[nomadking]

Originally Posted by Jaymoss

Those who drill the oil and gas are the ones taking the mick. Profiteering on the back of a global crisis. High demand means they can charge what they want and by golly they are doing exactly that

We should frack in this country and stuff the do gooders

They DON'T set the prices. The buyers do in a sort of auction process.
You've highlighted the biggest source of extra costs, and higher gas prices, and that is the Green fascists. Eg The start of this was in a major part created by Germany's policy of switching off nuclear and coal, and trying(and failing) to rely on wind power instead.

---------- Post added at 15:40 ---------- Previous post was at 15:38 ----------

Originally Posted by Sephiroth

There's not enough transparency on this. For example, what proportion of the wholesale price increase is absorbed by the energy suppliers?
Or are the maintaining their margins and thus their gross profit?

They publish the figures, and even put them on your bill.

[GrimUpNorth]

Originally Posted by nomadking

They DON'T set the prices. The buyers do in a sort of auction process.
You've highlighted the biggest source of extra costs, and higher gas prices, and that is the Green fascists. Eg The start of this was in a major part created by Germany's policy of switching off nuclear and coal, and trying(and failing) to rely on wind power instead.

---------- Post added at 15:40 ---------- Previous post was at 15:38 ----------


They publish the figures, and even put them on your bill.

I'd be surprised from your posting history if you agreed with the politics of parties trying to look after the environment, but Green fascists? Really?? A bit strong when you look at the history of fascism.

[nomadking]

Originally Posted by GrimUpNorth

I'd be surprised from your posting history if you agreed with the politics of parties trying to look after the environment, but Green fascists? Really?? A bit strong when you look at the history of fascism.

So how else would you describe them and their behaviour, Terrorist? Bullying? Lying? They forced false reliance on renewables and heat pumps, got fracking banned, forced closures of nuclear plants, all leading to......
Several millennia ago, much of northern North America, including Manhattan Island, were covered in several feet of ice. Also Devon Island, inside the arctic circle, had grass growing, but is now covered in ice and is inhabitable. The biggest source of glacier melt there is geothermal heating.
How can that be?
Just look around you. How would the world manage without plastics and the oil they come from?

https://www.bbc.co.uk/news/business-62330190

UK energy bills are expected to rise again in the coming months, with one consultancy warning they could hit £3,850 a year by January.

The announcement of a resumption in dividends came as Centrica reported soaring profits for the first half of the year.

Adjusted operating profit for the six months ending in June rose to £1.34bn from £262m a year earlier.

Shell also reported strong results on Thursday, with second quarter profits of $11.5bn (£9bn).

The energy giant also announced another $6bn share buyback programme for the current quarter, on top of the $8.5bn of shares it bought back in the first half of 2022. But it did not raise its dividend of 25 cents per share.

[Jaymoss]

Originally Posted by Hugh

https://www.bbc.co.uk/news/business-62330190

I hate capitalism and the open market. Share holders get their butts kissed while the customers get their butts......

[nomadking]

Originally Posted by Jaymoss

I hate capitalism and the open market. Share holders get their butts kissed while the customers get their butts......

The rise in profits came from the company's nuclear and oil and gas business, rather than from British Gas. The supply business performed much worse.

So much for shareholders doing well,

Mr Cox, who used to work at British Gas, said that the firm had stopped paying a dividend over the past few years as it "didn't have the money" to do so.
...
Many of British Gas' rivals have gone bust over the past year, as they struggled to pass on soaring gas prices to customers. At least 30 energy companies have stopped trading in the UK since August 2021.

Lucky for us there is an open market.
Link

Britain paid the highest price on record for electricity in London last week as the capital narrowly avoided a power blackout, it has emerged.
National Grid paid £9,724 per megawatt hour, more than 5,000% than the typical price, to Belgium on Wednesday to prevent south-east London losing power.
...
They said: "We were bidding in a tight market and market prices were high that day because Europe also wanted the energy."

How else do you decide who gets the energy? Draw straws?

[ianch99]

I agree with Jaymoss, we should have a separate cost of living crisis thread. There are many disparate factors playing into the inability to afford essential things, not just energy. Maybe the mods can add their thoughts here?

I don't mind creating a new thread for the broader discussion ...

[Julian]

Originally Posted by ianch99

I agree with Jaymoss, we should have a separate cost of living crisis thread. There are many disparate factors playing into the inability to afford essential things, not just energy. Maybe the mods can add their thoughts here?

I don't mind creating a new thread for the broader discussion ...

Here