Population adjusted its decent.150/400 isn't that great a ratio
Population adjusted its decent.150/400 isn't that great a ratio
It would make sense to be in the unit price, unit prices are higher in London than for example Scotland but its rarely mentioned. But as usual Ofgem are not forthcoming with details.
I found out there actually is a subsidy of users in Northern Scotland called the Hydro Benefit Replacement Scheme. I think the issue for Scotland is the cost of supplying people in the north of the country is very high.All I can find is the following from Ofgem although I remember the conversation between a couple of members earlier about the figures here - https://www.ofgem.gov.uk/informatio...ce-cap-standing-charges-and-unit-rates-region
Going by that Ofgem info - its likely the differences in unit rates between London and Scotland are rarely mentioned as its a difference of between 1.06p/kWh and 0.96p/kWh depending on Southern or Northern Scotland. With an average household Elec consumption (according to Ofgem) of 2,400kWh, its a difference of circa £24.50/year in units
The difference in SC between London and Scotland is circa £78/year or 3 times as much as the equivalent unit charges mentioned above. That's potentially a reason it doesn't get mentioned.
Electricity transmission charges2.10. These account for approximately 7% of a typical electricity bill (ex VAT). For‘typical’ households on the single rate the electricity transmission component of their bills range from £21 per year in North Scotland to £37 in London and Southern England.
I found out there actually is a subsidy of users in Northern Scotland called the Hydro Benefit Replacement Scheme. I think the issue for Scotland is the cost of supplying people in the north of the country is very high.
Transmission charges are a smaller part of the bill than local distribution and it looks like London is paying more to cover those transmission networks.
You can see more here which confirms what I suspected, the cost of supplying remote rural regions is very high. https://assets.publishing.service.g...ariff-obligation-review-2022-consultation.pdf
Even worse when you look at the proposed wind farms around Scotland.
List of offshore wind farms in the United Kingdom - Wikipedia
en.wikipedia.org
SOURCECurrently, Scotland has 8.8GW of onshore wind capacity and 2.1GW of offshore wind. In 2021, the UK had 14.5GW of onshore and 11.3GW of offshore in total.
That's just the offshore ones I see on that list?
Currently Scotland has a little under 16GW of renewable generation with projects in the pipeline taking it to an estimated 26GW or a 62.5% increase over current capacity (https://www.gov.scot/publications/e...q4-2023/pages/renewable-electricity-capacity/). The National Grid cant cope with the Scottish generation as it is so they best get their finger out to be able to cope with the extra else we are just ******* it away
Full Renewable Map of Scotland shows the extent of renewables in the country... Its everywhere (interactive so cant really post an image) - https://spice-spotlight.scot/2024/03/11/renewable-energy-map-of-scotland/
SOURCE
Works out at about 43% of wind renewables for the UK is generated in Scotland... I appreciate the data is 2-3 years old but the rest of the UK should get their finger out
Its still not about where its generated though, its about the cost of supplying rural and remote regions. Scotland already has lots of wind power to cover its usage, the issue is getting it to the properties.
1.18 Electricity transmission charges contain a locational element. This recognises that customers in different locations use different amounts of the transmission network, and therefore impose different costs on it. For example, customers located in areas where there is more demand than there is generation, such as in South East England, pay higher transmission charges for the energy they consume than those in areas where there is excess generation capacity, such as Scotland. This is because the electricity has to be transported over longer distances, using more of the transmission system, to reach them. Similarly, generators who only have to transport the electricity they generate over a short distance to reach customers will pay lower charges than those generators who are located a long way from them.This cost reflective approach is designed to promote efficient use of the network by larger users, for example, by providing a signal to generators that locating close to their customers requires less transmission network to be built
See here, its a little old but no reason to believe the principle has changed.
1.18 Electricity transmission charges contain a locational element. This recognises that customers in different locations use different amounts of the transmission network, and therefore impose different costs on it. For example, customers located in areas where there is more demand than there is generation, such as in South East England, pay higher transmission charges for the energy they consume than those in areas where there is excess generation capacity, such as Scotland. This is because the electricity has to be transported over longer distances, using more of the transmission system, to reach them. Similarly, generators who only have to transport the electricity they generate over a short distance to reach customers will pay lower charges than those generators who are located a long way from them.This cost reflective approach is designed to promote efficient use of the network by larger users, for example, by providing a signal to generators that locating close to their customers requires less transmission network to be built
Seems clear to me you are not subsidising anything.
Sorry, can you help me out with that quote because what it states is contrary to what I have seen in relation to standing charges, which are higher in Scotland than the South East of England. Unless "transmission charges" are not included in the SC element?
If they are included in the SC - why is the actuality of the charges in contrast to what the above states?
If they are not included in the SC - where are they paid in a manner as suggested above?
I dont know if they are in the SC or unit rates. I'm leaning toward unit rates because those are higher in areas away from most of the generation but its just a guess.Sorry, can you help me out with that quote because what it states is contrary to what I have seen in relation to standing charges, which are higher in Scotland than the South East of England. Unless "transmission charges" are not included in the SC element?
If they are included in the SC - why is the actuality of the charges in contrast to what the above states?
If they are not included in the SC - where are they paid in a manner as suggested above?
I think the whole point of the report seems to confirm there is understanding that the SC split could be viewed as inequitable, but the solutions don't create a significantly better position, at least when that was produced.
Clearly if the SC element was more heavily impacted by where its generated there would be a significantly better position for Scotland.
I dont know if they are in the SC or unit rates. I'm leaning toward unit rates because those are higher in areas away from most of the generation but its just a guess.
I think I've covered SC charges and why they are higher in Scotland enough already really.
75p for gas....nochance.Looking at the charts it seems on the Octopus tracker it's been dead flat for the past week. Looking at gas prices it seems to bounce between 70-75p for the past 2 weeks.
Wholesale price per therm, i'm talking trading prices which will effect us over the coming days75p for gas....nochance.
tracker is currently 4.5p
i look at what i pay, not what they pay.......its still way under the capped rateWholesale price per therm, i'm talking trading prices which will effect us over the coming days