Energy costs to rise again.

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Re: Energy costs to rise again.

Postby Workingman » 21 Aug 2024, 16:22

There is a lot of misinformation about green levies.

It was once claimed that they were 25% of our bills; that was never the case. They account for about 7.5p per day or roughly £28 per year - a couple of coffees and a blueberry muffin per year. Good grief!

The CfD works both ways, as Suff says. If the strike price is low the Govt makes up the difference, if the price is high the treasury coins it in. The customers notice no difference.

The Ofgem price cap is just that - a limit. Suppliers, not producers, will price to the hilt. They could charge lower... but the cartel won't let them.

Our energy prices (given inflation) are not that much more than they were pre the energy crisis, even with those damned green levies.
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Re: Energy costs to rise again.

Postby Suff » 22 Aug 2024, 10:53

Energy is a business not a charity and they charge what the market will afford.

What they should not be allowed to do is cartel to set prices and force competition out.

The ideas with green levies is that they produce money to help the transition. The problem is that they are likely to wind up as just another tax.
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Re: Energy costs to rise again.

Postby cromwell » 22 Aug 2024, 11:28

According to the Telegraph, we are paying four times what the Chinese pay for energy and two and a half times what the Americans pay. No wonder our industry and small businesses struggle.
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Re: Energy costs to rise again.

Postby Workingman » 22 Aug 2024, 12:27

Figures for China are hard to come by - they keep their cards close...

The US pays about 50% for electricity and 75% for gas compared to the UK.

What the Telegraph didn't say was that per annum China pumps out 14 bn tons of CO2 and the US is at 6 bn tons compared to the UK's 385 mn tons.

Overall the UK is doing pretty damn good.
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Re: Energy costs to rise again.

Postby Suff » 22 Aug 2024, 17:44

Also net US figures are deceptive. California is as expensive or more expensive than the UK. States like Texas with low regulation and high CO2 emissions have much lower rates.

China will always win overall because even after they have been forced off Coal for their power in order to sell their goods in the western world, they still have most of the solar and wind manufacturing so they can build their own faster than anyone else.
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