POWER: UK Lobby Groups Against Zonal Pricing

Groups including RenewableUK, Offshore Energies UK, and UK Steel warned that dividing Great Britain into regional price zones would harm low-carbon energy investment and raise electricity costs for energy-intensive industries, they said in a letter, cited by Renews.biz.

• The letter – written to Ed Miliband and Jonathan Reynolds – highlighted that zonal pricing would increase risks for clean energy developers, driving up capital costs, especially with planned grid upgrades.
• Additionally, industries like steel, glass, and ceramics could face higher electricity prices, undermining efforts to align UK industrial energy costs with those in Europe.
• However,The Association for Decentralised Energy (ADE) has strongly supported zonal pricing in the UK energy market, calling it "essential" for lowering consumer bills, speeding up decarbonisation, and securing a flexible energy system.