Suppliers must now warn customers before raising prices, following Ofgem’s review of the energy industry. Last week Ofgem announced their completion of a review of the energy industry and promised some changes to the way suppliers operate. Following the announcements last week, Ofgem has published a review today requiring domestic energy suppliers to give a 30 day warning before raising … Read More
Budget 2011 introduces new carbon tax
The Chancellor, George Osborne announced yet another ‘carbon tax’ in yesterday’s budget, dubbed the ‘2011 budget for growth’. This means businesses and consumers can expect higher electricity bills, as carbon-emitting coal and gas-fired plants are taxed £3.2 billion over the next 5 years. Nuclear and renewable companies should see increased profits, as the tax is applied to the oil and … Read More
Ofgem crack down on energy suppliers
Energy industry regulator Ofgem has told energy firms to simplify their prices to avoid confusing their customers. The Office of Gas and Electricity Markets (Ofgem), the regulator for the energy industry, has told suppliers that their tariff structures are unnecessarily complex, which leave their customers “bamboozled”. The investigation came after suspicions that the big six UK energy suppliers (British Gas, … Read More
E.ON sells Central Networks to US firm
RWE E.ON has agreed to sell its UK electricity distribution company, Central Networks, to US firm PPL. The German-owned energy giant E.ON is selling Central Networks, the second largest distributor of electricity in the UK, to Pennsylvania Power and Light for £4bn. Central Networks operates an 80,000 mile power grid that delivers electricity to over 5 million customers in the … Read More
British Gas profits up 24 percent
Parent company Centrica has announced British Gas profits have risen by 24% to a record £742m Centrica’s operating profit rose 29% to £2.3bn, whilst Britain’s largest energy supplier made £742m last year. In 2010, British Gas added 267,000 customers to a grand total of 16m accounts.
Suppliers fined in new Ofgem action
Scottish Hydro Electric and 2 other power grid firms have been fined by Ofgem. The three companies include two major players: Scottish Hydro-Electric Power Distribution (owned by SSE), Central Networks (owned by E.ON) and a third smaller firm, Electricity North West. The fines are for failure to connect customers to the national energy grid within the compulsory 3 month deadline.
Dash for gas expected in UK
The Energy and Climate Change Committee has warned of another possible dash for gas in a report published last week. The parliamentary committee has targeted the UK coalition government’s National Policy Statements (NPSs), designed to speed up the planning process for energy projects. The report warns that the NPSs could in fact reduce investment in renewable and low carbon energy … Read More
E.ON raises domestic prices
German owned supplier E.ON UK has raised its domestic energy tariffs. The new price tariffs are expected to affect around 4 million people, and will come into effect from 4 February. RWE E.ON announced that its domestic customers will see a 9% increase in electricity prices, and a 3% rise in gas prices.
UK to miss 10pc renewable target
The Department for Energy and Climate Change (DECC) has said the UK is unlikely to hit the 10% energy from renewable resources target this year. The government is under fire following a report from the DECC saying the UK is not on course in its push for energy from renewable resources. The government had previously set a target of 10% … Read More
Big six facing Ofgem review
Energy industry regulator Ofgem is to launch an enquiry sparked by suppliers’ rising profit margins The big six UK energy suppliers could be faced with the prospect of multi-million pound fines if they are found guilty of misconduct by the office of gas and electricity markets (Ofgem). The enquiry takes into account recent energy price rises by the big six … Read More