In this week’s Energy Perspective, we consider investor confidence and market sentiment following the legal challenge to the Capacity Market, the specific steps BEIS has taken to settle nerves and also the general support being afforded to demand-side response to provide market access.
The proposals from government in its Smart Export Guarantee (SEG) consultation – which aimed to address, among other things, a route to market – have been mixed. Summarising in our Policy section this week, we find a number of ideas that BEIS will want to consider but we maintain that it needs to make its mind up quickly, with there being no current safety net for exports from new installations.
The European Parliament adopted four new laws on 26 March that aim to make the European electricity market cleaner, more competitive and able to cope with risks. We cover the new rules, which complete the European Union’s Clean Energy Package in this week’s Regulation section. They are now reaching the final stages of the legislative process and very well reflect the evolving energy system and agenda of the EU, with more focus on the rights and empowerment of consumers.
Our Industry Structure section takes a look at the International Energy Agency’s Global Energy & CO2 Status Report, which well highlights the play between a growing economy and increasing demand for energy that accompanies it, and the impact that such growth has on efforts to decarbonise and improve energy efficiency.
In this week’s Nutwood, Cornwall Insight’s Head of Retail Robert Buckley discusses the challenges facing energy suppliers from increasing uncertainty over third party charges.