8 Jul 2020

Rare good news from the crazy electricity market.
We negotiate 3-4 year contracts for office buildings. The latest tussles have seen reductions in the power charges of 20% plus.
Some environmental charges have also fallen. Unfortunately “service charges” for poles and wires have not moved and they add up to nearly half the bill.
The rates for power in years 2 and 3 have will fall further. The area to watch is “service charges”. The grid is going to need massive expenditure to cope with renewables. Who will pay?
Negative power prices? For some times in the wholesale market strange but true! More details next time.