Ripple Energy wind farm?

JKenH

Coastalwatch said:

Yep, I'm in for it as well. My take being that energy secured at 2p/kWh is going to take some beating in the years ahead. Given that the last round of published CfD prices were circa 4.5p/kWh to come on stream in about five years time. Then add on the cost of nuclear at circa 10p/kWh and a reducing % of gas, at who knows what price, then I cannot see wholesale prices approaching any where near 2p/kWh in the foreseeable future(life of the turbine). But that's just my take. Others may have different views of course, perhaps clinging to the hope that the nuclear fusion riddle will be solved where upon there will be an abundance of energy available for us all at near zero cost.

That's assuming they haven't blown us all up in the attempt in the meantime.

As some of the older government supported wind farms come out of subsidy we will eventually see a reduction in subsidy costs which currently are part of our electricity bills. (A lot of subsidies based on ROCs were over £100/MWh). In 2020 £1.65bn* was paid out in wind farm subsidies. The amount paid out in subsidies may go up, though, before it comes down so even if real generation costs fall electricity prices could still be above the prices we have enjoyed over the last few years. 

The one upside of the current high cost of gas is that during 2021 that trend was reversed and wind farms are currently paying back subsidies but if electricity prices do fall then wind farms will fall back into subsidy again. Once the old wind farms are retired and the majority of our generation is being produced by wind at or even below the last round of CfD strike prices of around £40/MWh (4p/kWh) then potentially we will enjoy low retail prices again.

* https://www.bloomberg.com/news/articles/2022-01-13/high-power-prices-mean-wind-farms-are-paying-the-u-k-government

Reed_Richards

I'm out.  I looked at Ripple and compared it with the listed company Greencoat UK Wind, which is a constituent of the FTSE 250.  Greencoat invests in wind power and pays a dividend of about 5% of its current share price.  If you need cash in the future you can sell your shares (for whatever they are worth at the time).  You can use the money from the dividend to offset your electricity bill or you can use it for something else if you wish.  I don't get nearly enough dividend income to have to pay tax on dividends so for me there is no tax to pay.  The main risk that I can see is that interest rates become so high that a 5% dividend becomes unattractive so the value of the shares fall and you could only get some of your money back if you sold.  But that still compares favourably with Ripple where you cannot sell at all.     

QrizB

Reed_Richards said:

I don't get nearly enough dividend income to have to pay tax on dividends so for me there is no tax to pay.

... and you can hold UKWIND in a SSISA and then divident taxes are a non-issue anyway.

2nd_time_buyer

I am complete beginner at investing in stocks and shares. I invest in tracker funds via my pension. However, I am looking at putting some money in an ISA to build up a fund to draw on before the pension minimum age. Any advice on what is the best/cheapest way to invest around £5k in e.g. Greencoat UK Wind? Thanks

TCA

2nd_time_buyer said:

I am complete beginner at investing in stocks and shares. I invest in tracker funds via my pension. However, I am looking at putting some money in an ISA to build up a fund to draw on before the pension minimum age. Any advice on what is the best/cheapest way to invest around £5k in e.g. Greencoat UK Wind? Thanks

Have a look at the Monevator guide to trading platforms to see which one suits you best:

https://monevator.com/compare-uk-cheapest-online-brokers/

2nd_time_buyer

TCA said:

2nd_time_buyer said:

I am complete beginner at investing in stocks and shares. I invest in tracker funds via my pension. However, I am looking at putting some money in an ISA to build up a fund to draw on before the pension minimum age. Any advice on what is the best/cheapest way to invest around £5k in e.g. Greencoat UK Wind? Thanks

Have a look at the Monevator guide to trading platforms to see which one suits you best:

https://monevator.com/compare-uk-cheapest-online-brokers/

Thanks for that. I would be doing very little trading other than investing around £5k lump sum each year. So am I right in saying that the iWeb shares ISA could be suitable? 

TCA

2nd_time_buyer said:

Thanks for that. I would be doing very little trading other than investing around £5k lump sum each year. So am I right in saying that the iWeb shares ISA could be suitable? 

It's impossible to say without knowing your time frame for investment. You need to consider the iWeb account opening fee of £100 and compare to annual charges of other platforms (fixed or percentage) and incorporate dealing and other charges. I don't want to clutter this thread on Ripple, so best to post on the ISAs & Tax-free Savings board if you've got more questions.      

thevilla

2nd_time_buyer said:

TCA said:

2nd_time_buyer said:

I am complete beginner at investing in stocks and shares. I invest in tracker funds via my pension. However, I am looking at putting some money in an ISA to build up a fund to draw on before the pension minimum age. Any advice on what is the best/cheapest way to invest around £5k in e.g. Greencoat UK Wind? Thanks

Have a look at the Monevator guide to trading platforms to see which one suits you best:

https://monevator.com/compare-uk-cheapest-online-brokers/

Thanks for that. I would be doing very little trading other than investing around £5k lump sum each year. So am I right in saying that the iWeb shares ISA could be suitable? 

Employed or self employed?  Look at the MSE pension forum.  I'm no pension expert but you could be missing out on employer contributions and or tax relief.  An ISA is very unlikely to be the right answer unless part of a pension wrapper.  (Not financial advice, I know nothing)

Exiled_Tyke

Pensions are more tax friendly than ISAs if you can live with the restrictions.  If you make a payment into a Pension fund then you get the tax contribution back. If you can do it via your employer then you can also save NI (possibly both employers and employees).   Whichever route you choose to go down I'd look for something with very low costs but some good quality funds.   Hargreaves Lansdown is one of the more expensive providers but anyone can view their reviews of funds.  

QrizB

C'mon folk, there's an entire "green and ethical investments" thread for this sort of talk:

https://forums.moneysavingexpert.com/discussion/6127314/green-ethical-investment-news-and-suggestions

Or the pensions forum:

https://forums.moneysavingexpert.com/categories/pensions-annuities-retirement-planning

Can we try to keep this thread for Ripple? (Yes I know I'm one of the offenders, I'm trying to make amends!)