business energy prices

Fossil fuel demand to fall over the coming decades

Changes in environmental policies, increasing energy efficient technology and more affordable renewable energy will cause fossil fuel demand to drop significantly by 2040. That is according to an analysis by Carbon Tracker which challenges the major energy firms predictions that the fossil fuel industry will continue to rise.

Gas and electricity contracts at new lows

Annual gas contracts fell in June after they had initially risen to 47.0p/th due to worries over a production cap in Groningen, which limited the supply. Groningen is Europe’s largest gas field and has imposed an output cap of 30bcm after an EU court ruling. However, this rise was then counter balanced by strong Russian and LNG supplies, eventually pushing down prices. The Greek crisis has also had an effect on gas prices, with the euro weakening against the pound, imports have been a lot cheaper.

Energy Secretary confirms power capacity auction

The UK’s Energy Secretary Amber Rudd has confirmed that the government will again hold an auction for power capacity delivery for 2019-2020. This will be the second time this has happened after the Conservative-Lib Dem coalition did the same last year.

The announcement was made after a letter was sent to the national grid by Amber Rudd, outlining the governments plans for the auction. The auction parameters will be published closer to the auction date on the 1st of September.

Ferrybridge Coal Plant to close by March 2016

It has been announced by SSE that they will close their Ferrbridge Coal Power Plant by March 2016, after in was confirmed the companies profits had remained flat over the last 12 months. SSE have blamed the flat profits on competition from smaller companies in the market, with them loosing 500,000 customers in the period.