Why Electricity Price increases for 100% renewable

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  • PeterWillett43's Avatar
    Level 1
    If Electricity is 100% renewable why has the price increased sharply in line with the increases for hydro-carbons ?
  • 4 Replies

  • Landmark's Avatar
    Level 29
    If Electricity is 100% renewable why has the price increased sharply in line with the increases for hydro-carbons ?
    2 points to make about this.
    Electricity is:
    1. Not rising anywhere near as much as gas per KwH, only the electricity standing charge is jumping up for standard variable rate this April.
    2. Already more expensive per KwH because of the cost of investment in carbon neutral and zero carbon sources of electricity power generation.

    Then there is inflation and the cut in supply from Russian gas that will pile on the agony so let's face it that high energy costs is a fact of life now.
    We can prolong this long term by relying on gas, or we can adapt through green technology, but one thing is certain, we won't get cheap energy any time soon, at least until we crack cheap carbon free energy generation.
    Some think nuclear power is the answer, I think not fission but fusion is the only potential answer here for cheap carbon free energy.

    Eon Next Customer

  • Beki's Avatar
    @Landmark 8 Nuclear reactors being built will cost £13 billion - perhaps you can put a price on totally clean energy! I suppose with them covering the gaps in supply with renewables we could have a more stable grid and over all, cutting the fossil fuels out is the way forward in the future. My only other concern is the nuclear waste that is produced and the amount of land these reactors take up. The UK is tiny in comparison to other countries and we are already losing large areas of our coastlines, landscapes and wildlife to housing developments, HS2 and other projects.

    Is nuclear the only potential answer? Perhaps not. What about building batteries large enough to store the electricity generated by wind turbines, solar panels and other renewables? 🔋
  • BatteryCarOwner's Avatar
    Level 1
    @Landmark 8 Nuclear reactors being built will cost £13 billion - perhaps you can put a price on totally clean energy! I suppose with them covering the gaps in supply with renewables we could have a more stable grid and over all, cutting the fossil fuels out is the way forward in the future. My only other concern is the nuclear waste that is produced and the amount of land these reactors take up. The UK is tiny in comparison to other countries and we are already losing large areas of our coastlines, landscapes and wildlife to housing developments, HS2 and other projects.

    Is nuclear the only potential answer? Perhaps not. What about building batteries large enough to store the electricity generated by wind turbines, solar panels and other renewables? 🔋

    How is the battery storage trial getting on in Leighton Buzzard? I understood it was near a PV field of panels to save its output for use during peak periods. If that is proving useful and the life costs of the system, inc. maintenance, testing, battery replacement, etc. is calculated, how is a profit calculater and at what stage can it be said to generate a clear profit?
  • meldrewreborn's Avatar
    Level 91
    Look at the graphs on page 11 of this report.
    Full report – Statistical Review of World Energy 2021 (bp.com)
    There were obvious dips in the consumption of all fuels in 2020 but what is stark is that total energy consumption continues to rise quite fast, and of the favoured clean energy sources nuclear is declining, hydro is static and only renewables are increasing their proportion of consumption, albeit from a very low base.
    Oil consumption is falling while use of gas is rising proportionate to other fuels. By region you can see the huge differences –the dependence of the Asia Pacific region on coal is stark.
    Coal is, in carbon terms, are really dirty fuel. Many countries have sought to replace coal with gas, which is much cleaner, but change here doesn’t come quickly. While the environmentalists argue against investment in new gas production, because it is still a fossil fuel, this view totally ignores that coal consumption, which is much worse, has substantially increased over the period 2016-2020. Surely as a transitional fuel gas has an important role to play in replacing coal?
    In the UK we have made great strides in increasing renewable output and largely eliminated coal from our electricity generation. Failure to invest in nuclear over a prolonged period in preference to gas has been called into question recently with prices high and security of supply no longer assured. So the emphasis now is on boosting nuclear energy and renewable production. Nuclear is a key component of future energy mix in the UK as the problem of continuity in renewable production will always be there. Nuclear produces 24/7 and provides base load to the network. Gas is currently used to meet peak demand, usually through daytime peak hours, but also to meet renewable fallow times. But there is a very long way to go and conversion of home heating and the electrification of transport incease the problems massively. The investment in clean energy sources needs to be very substantial indeed.
    I use nearly 6 times the amount of gas (in kWh terms) for heating, water heating and cooking compared to electricity. Transition to electric heating (using a heat pump) is entirely feasible for me but even allowing for efficiency advantages from heat pumps, energy (electricity) consumption costs would be considerable and electricity is still 4 times the price of gas, even after recent surges in the price of gas. Economically it’s not an attractive proposition to me, and I think most people think likewise.
    Battery storage to allow renewable energy produced at periods of low demand to be used in peak periods is feasible (Elon Musk delivered a plant to South Australia) in 2017. Hornsdale Power Reserve - Wikipedia but while this has extremely useful grid management functions, it cannot replace the need for swift back up conventionally fuelled generation.
    So while the push for renewable and nuclear power must proceed apace, net zero by 2050 is a demanding target that will be difficult to achieve.
    Current Eon Next and EDF customer, ex Zog and Symbio. Don't think dual fuel saves money and don't like smart meters. Chronologically Gifted. If I offend let me know by private message, but I’ll continue to express my opinions nonetheless.