Energy Price Increase

StarTrekkie007

Hello,

Everyone seems affected by the huge energy price increase. My fixed energy tariff ended yesterday & I opted to go for the variable tariff (since it was cheaper than the fixed deals the supplier were offering - which were approximetly double what I am paying currently ).

My question is what is the main source for the price increase?

I've heard that demand for energy has increased and also there was a supply pipe that was damaged so couldn't transfer supply to the UK. If it was higher demand, wouldn't people get the sense that things would get more expensive rather than the "shock" increase we are seeing now ? If it is due to the supply pipe damage, why hasn't there been more effort to repair it asap so prices can return to normal ?

Verdigris

The price of gas and the stupid decision of this incompetent government to abandon most of our gas storage.

It wasn't a supply pipe, it was an electrical inter-connector, with France.

There is another pipeline involved, called Nordstream, which should bring gas from Russia to Europe but Germany, in particular, are a bit wary of Uncle Vlad having them by the short and curlies.

[Deleted User]

How long have you got? Businesses reopening after COVID; shutdown of gas fields during COVID; switch from coal-powered electricity generation to gas; closure of UK gas storage facilities; very little wind over the past 6 months; protracted maintenance and closure of nuclear power plants; Asian Governments who will pay what it takes to get all the available LNG; international politics and a Government that has failed to provide the UK with long-term energy security.

In short, not enough gas to meet Worldwide demand.

Look at the right hand column of this table today and look back a year ago:


https://energy.guylipman.com/sm/gastracker

QrizB

StarTrekkie007 said:

My question is what is the main source for the price increase?

Gas prices have tripled since June. That directly affects the price of gas and, as 50% of our electricity comes from gas-fired power stations, electricity rises too.