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POWER: UK Zonal Power Prices Could Harm Wind Investment

POWER
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The introduction of zonal power prices in the UK could harm investments in new wind power plants, the owner of Scottish Power, Ignacio Galan said in a letter to the Chancellor, according to the Guardian.

  • The letter stated that zonal power prices could drive up development costs and create uncertainty.
  • UK energy groups have also sent a letter to UK’s energy and business and trade secretaries warning against the introduction of zonal electricity prices in the UK as it would harm investment and increase power prices in parts of the country.
  • “The reality is that introducing regional or zonal electricity pricing is likely to lead to higher bills for households and businesses in parts of England and Wales, as well as disrupting new investment in clean energy”, Jane Cooper, Deputy CEO of RenewableUK, said.
  • Previously, Octopus Energy said adopting zonal pricing could save UK consumers between £55-74bn by 2050.
  • SSE warned previously that the approach may lead to regional price disparities, potentially raising costs for consumers in certain areas.
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The introduction of zonal power prices in the UK could harm investments in new wind power plants, the owner of Scottish Power, Ignacio Galan said in a letter to the Chancellor, according to the Guardian.

  • The letter stated that zonal power prices could drive up development costs and create uncertainty.
  • UK energy groups have also sent a letter to UK’s energy and business and trade secretaries warning against the introduction of zonal electricity prices in the UK as it would harm investment and increase power prices in parts of the country.
  • “The reality is that introducing regional or zonal electricity pricing is likely to lead to higher bills for households and businesses in parts of England and Wales, as well as disrupting new investment in clean energy”, Jane Cooper, Deputy CEO of RenewableUK, said.
  • Previously, Octopus Energy said adopting zonal pricing could save UK consumers between £55-74bn by 2050.
  • SSE warned previously that the approach may lead to regional price disparities, potentially raising costs for consumers in certain areas.