Energy news in general

Scot_39

JKenH said:

There may be a separate argument for investing in more offshore wind for environmental/climate reasons but this latest auction price cap surely buries once and for all the long peddled myth that offshore wind is cheaper than gas. By the time the AR7 capacity is actually built there will be so much paid out in constraint payments that wind power will probably be costing twice as much as gas fired generation. That’s before the cost of back up generators/storage is factored in. 

There's an article I quoted a while back - taking the example of the Seagreen wind farm in Scotland - where because it gets curtailment payments 71% of time - that actual cost per MWh is actually effectively 4x the rate.

Its a relatively new field too - and already according to the same article - single handedly at one stage receiving 40% of the total curtailment costs paid to all of Scotlands near 15GW of wind farms - for around 1.1GW rated - it is I believe currently still Scotlands largest single wind farm - just c 8% - of Scotlands theoretical capacity.

And the worst thing about that field is that it is I beleive part - 49% - owned by SSE Renewables - part of the SSE Group - who I believe are part of the SSE Group in UK - as are SSEN - both the local DNO and TSO - so well aware of the network capacity and operational loads in the area.

In other words - yet another new farm located without the local demand - or the grid / transmission capacity to transmit the output - to where their might - and yes I do mean might (*) - be demand. 

It might have been acceptible when wind was a tiny fraction of our generation mix - but it is clearly wrong to allow the farms to be built where and before their is insufficient capacity to use their power - and yet sanction the curtailment payments from day 1 of connection.

At best it is time any and all curtailment payments were scrapped entirely - or as a compromise - only license the farm generators to qualify for them - once the necessary grid capacity for their full capacity is in place.

[(*) Or all too often actually the risk there may not be any demand - on a bright windy day - as we approach 50 GW commercial and domestic solar and wind theoretical - but has achieved over 20GW on occasions - and solar renewables - which has exceeded 10 GW mid day on brighter days - especially vs current 25-30 GW summer demand and potentially even 40-45 GW in depths of winter demand.  Remember thats total demand - and need to subtract say 4-5 GW of guaranteed nuclear plant utilisaton.]

So yes it appears that 2x is more than possible for some locations.

And as usual - as a result of greenwashed contracts that bend over backwards to suit the green agenda - we pay regardless - just yet another reason - as DESNZ officials have openly admitted to the PAC - renewables do not lower our energy bills. As they cost more than traditional fossil generation.

And the CfD rates - are now higher than the gas wholesale rates again - just as they were pre crisis - so add to our wholesale costs - and then have to add network costs.  

Again as DESNZ to PAC - to explain the reason remewables are so expensive - there has been far too much focus on at farm gate wholesale rates - and not total system costs - including networks / delivery to our doors.

MattMattMattUK

stripling said:

er @MattMattMattUK can you qualify your last statement - 'millions of retired households get £25,000 worth of benefits' ? How? Where's your evidence please? 

The UK New Basic State Pension is £11,973 per year, a two pensioner household is pretty much there (£23,946) without receiving anything else.

Scot_39

Yes, in the wider context - most people do seem to forget the state pension - just as many do object to the state pension being labelled as a benefit.

But of course not everyone gets the new full state pension - e.g. this report from 2023 - saying only 50% did.

https://www.ftadviser.com/pensions/2023/08/29/half-of-people-claiming-new-state-pension-receive-full-amount/

And I was surprised how close it was - and had always suspected far fewer women than men do - especially stay at home wifes - and even some stay at home mums who did not apply so did not get the NI credits for raising the children to 16?/18 in FTE ? - cannot remember the rules.

So I suspect in reality their will be very few homes on 2 x full new state pension.

Pension credit thresholds for secondary benefits and top up to the threshold - are of course lower - around £18000 - and if get it worth on average iirc from last Aug DWP figures during the WFP cut - c£3900 per recipient (across singles and couples I guess)

stripling

Thanks @MattMattMattUK and @Scot_39

Here's the latest figures : two thirds (8.57 million pensioners) are claiming the pre -2016 State Pension while 4.38 million are new State Pension claimants.  Of course being labelled a claimant doesn't mean you receive the entire pension particularly as it requires a minimum of 35 years NI payments. NI credits for childcare stop at 12 years old btw. 

Scot_39

stripling said:

Thanks @MattMattMattUK and @Scot_39

Here's the latest figures : two thirds (8.57 million pensioners) are claiming the pre -2016 State Pension while 4.38 million are new State Pension claimants.  Of course being labelled a claimant doesn't mean you receive the entire pension particularly as it requires a minimum of 35 years NI payments. NI credits for childcare stop at 12 years old btw. 

Didnt realise it had been so low an age - the old "Home Responsibilities Protection" which referes to what I though it used to be - 16 - and gave credits - the new system from 2010 seems less generous - maybe as there are now a lot less stay at home mums.

QrizB

stripling said:

Here's the latest figures : two thirds (8.57 million pensioners) are claiming the pre -2016 State Pension while 4.38 million are new State Pension claimants.

And the pre-2016 state pension could be almost £400 a week, if you built up enough SERPS.

stripling said:

.Of course being labelled a claimant doesn't mean you receive the entire pension particularly as it requires a minimum of 35 years NI payments.

That's simply not true. If you peruse the threads on the Pensions board, there are some people who have accrued the full NSP with 30 (or fewer) years of NI. And others who've needed more than 40 years.

MattMattMattUK said:

stripling said:

er @MattMattMattUK can you qualify your last statement - 'millions of retired households get £25,000 worth of benefits' ? How? Where's your evidence please? 

The UK New Basic State Pension is £11,973 per year, a two pensioner household is pretty much there (£23,946) without receiving anything else.

If we're adding up cash benefits, you can include the Winter Fuel Payment. Another £200 each.

stripling

@QrizB
That's simply not true. If you peruse the threads on the Pensions board, there are some people who have accrued the full NSP with 30 (or fewer) years of NI. And others who've needed more than 40 years.

I'm not really interested in what people say in the forum about this, the law says you need 35 years   to get the full state pension. 

@QrizB
And the pre-2016 state pension could be almost £400 a week, if you built up enough SERPS.

Again, irrelevant to the question I asked, SERPS is a private pension. We were discussing the state pension.  Winter fuel? Lol... you have to be on Pension Credit to get it thus not getting the full State Pension. 

Any minute now someone is going to use that 'Boomer' word.... 🫢😁😂

stripling

.@Scot_39

With the 'stay at home mums' it's a bit chicken and egg... the cost of childcare is now crazy if you haven't got granny around the corner so losing your NI credits is another blow. And mortgages are now only possible for most people who are on two salaries.

They'll have the kids back up chimneys in a few years... 😳

MeteredOut

stripling said:

@QrizB
That's simply not true. If you peruse the threads on the Pensions board, there are some people who have accrued the full NSP with 30 (or fewer) years of NI. And others who've needed more than 40 years.

I'm not really interested in what people say in the forum about this, the law says you need 35 years  to get the full state pension. 

If you're not going to listen to the knowledgable people here, then at least read the contents of the link. The 35 years only applies to those who started paying NI after 2016.

Those getting the state pension now fall under different rules and it can be significantly lower or higher than 35 years.

If your National Insurance record started before April 2016

You may have been contracted out. While you were contracted out, you or your employer paid more into your workplace or private pension and less into your State Pension.

If you were contracted out, you will usually need more than 35 qualifying years to get the full rate of new State Pension.

If your National Insurance record started after April 2016

If your National Insurance record started after April 2016 you will need 35 qualifying years to get the full rate of new State Pension."

stripling

"It suggests an “income-based standing charge” and a “wealth-based standing charge”. 

UK energy bills could be set according to ‘wealth’, says regulator 

Apart from the outrageous invasiveness of ascertaining 'wealth' and 'income' it would cost an absolute fortune to administer. Their consultations are often a 'box-ticking' exercise.   🙁