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News

Business energy management and UK carbon targets

Clever business energy management has never been more crucial....... and tricky........ as the great energy debate pulls the country one way, and then another.  The green lobby, for instance, will argue that we need to shut down the UK’s creaking, ageing oil and coal-fired power stations.  Then rather surprisingly, big business wades into the argument on the same side, arguing green is good for business, as well as the environment.  Then we hear from the Office of Gas and Electricity Markets (Ofgem) - the organisation entrusted with securing our business energy supplies - that shutting these stations down, although ultimately necessary, will dramatically affect energy provision levels. EU environmental laws dictate levels of carbon emissions within member states.  Coal and oil are, essentially, the naughty schoolboys… those most culpable of all forms of energy production.  However sticking to these guidelines and shutting down these stations may well create an energy deficit.  Imagine a kind of energy bank account.  As a nation, our account is firmly in the black, with 14% spare capacity… a record high.  However, in its first annual electricity capacity assessment, Ofgem warn that by 2015 spare capacity may fall to 4%, and therefore, to continue this fiscal analogy, that means drifting towards the red.  And that may require a rather awkward phone call to the bank manager.

Managing your business in the dark

Scaremongering?  Well, news reports of Ofgem’s statement carried interviews with energy experts, brought in to explain what all this means.  They rather credibly suggested we could be looking at a situation where the lights, for instance, might dim - as you may have experienced on holidays overseas, in countries with less secure energy supplies.  Of course in business, this is not something anyone wants to hear, especially when the same underlying subplot seems to emerge: that what is required to confront this situation is investment in infrastructure and new, low carbon power stations. And guess who will be asked to stump up for that?  Yep, Ofgem have previously hinted bills will need to rise substantially to pay for such investment.  And that is why, more than ever, it’s crucial to utilise the resources of Utility Helpline for your business energy management needs. We'll keep an eye on the market, and make sure you always have the best possible energy deal for your company. See how much your business could benefit with our Impartial Business Energy Price Review.


Published by Utility Helpline on (modified )