Really desperate times
Dec 13, 2012
Bishop Hill in Energy: gas

With ministers expected to annouce a go-ahead for Cuadrilla today, the green movement is in overdrive, wailing and gnashing their teeth. Fiona Harvey gets her retaliation in first:

Household energy bills will be about £600 higher per year by the end of the decade if the UK relies increasingly on gas, the government's climate advisers warned on Thursday.

But the Committee on Climate Change found that bills would only be £100 higher than today's average dual fuel bill of about £1,300, if the country concentrated on renewable power generation, such as wind power.

The CCC estimates use the DECC assumption that wholesale gas prices will rise by 27% and that gas will continue to be loaded with extra costs. Given that Poyry are now saying that exploiting the Bowland Shale alone will reduce gas prices by 2-4% (a figure that is likely to be on the low side), I would say Ms Harvey is a bit behind the times.

Funny that.

Update on Dec 13, 2012 by Registered CommenterBishop Hill

Ed Davey's statement is here. It is important to note that the government has authorised exploration, not production.

Article originally appeared on (http://www.bishop-hill.net/).
See website for complete article licensing information.