The gap between electricity supply and demand is expected to be narrower this winter than last as the country battles an energy crunch but there should be no disruption from the lights or gas flames going out, according to key industry reports.
System operator National Grid released eagerly awaited forecasts covering both gas and electricity supplies – with both expressing confidence that supply would meet demand over the cold months ahead.
Its expectations come as raw energy prices shift wildly Europe-wide at unprecedented rates – with UK gas costs hitting record levels – raising fears of surging household energy bills ahead running into hundreds of pounds extra.
The release of the reports also set the stage for a showdown between energy intensive industries and the government – which has distanced itself from being responsible for the country’s supply and price problems – as they reacted by demanding intervention on energy affordability.
The National Grid’s annual winter outlook, which assesses its readiness to keep the lights on, forecast an electricity margin of 6.6% capacity, lower than last winter’s 8.3%.
That means it expects to have 6.6% of supply left over at peak times on average.
The figure is also tighter than the 7.3% margin that had been pencilled in when an early assessment was made in July.
That was before a fire damaged a crucial interconnector in Kent, putting part of it out of action until next March.
But the latest report admitted the Grid was likely to have to issue “margin notices” over winter for periods when demand is especially tight – calls for the market to ramp up supply, which tend to prompt a spike in the wholesale price.
These happened last winter too but this time prices are already elevated…
Source : skynews
