Amber Rudd has set out a plan to switch from coal to gas generation, but first she has to persuade the industry to finance the huge cost.....As my colleague Emily Gosden pointed out last week, nobody would willingly build new gas fired capacity knowing that it will be needed for only short periods of time as back-up for intermittent renewables. Without subsidy, or exceptionally high prices when generating, it makes no sense.
Besides its humongous costs, the present trajectory also looks set to deliver an energy system whose supply potential is vastly bigger than what’s actually needed. To ensure the required level of overcapacity, consumers would be forced to pay through the nose.
However much Ms Rudd might wish it otherwise, the stupidities of UK energy policy are never going to be far from the headlines."