Failure of the Government's wind energy auction could add £35 to household energy bills

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Failure of the Government's wind energy auction could add £35 to household energy bills
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The failure to secure contracts from offshore wind generators means that the UK is likely to be more reliant on expensive natural gas for longer

, climate and energy experts have warnednot a single offshore wind company bid for government contractsThe Energy and Climate Unit think tank has estimated that Britain’s energy costs will be around £1bn higher per year than they would have been had the Government amended the auction rules.

In July, then energy scurity secretary Grant Shapps, under whom the latest auction was run, claimed that Labour’s “energy surrender plan” to stop new oil and gas licenses would “give tyrants like Putin the power to hike your bill again”. Prices for electricity generated from gas are forecast to be around £100 per megawatt hour during the middle years of this decade, with those for offshore wind around a third less.

The annual cost to households, assuming that businesses passed on all their costs, would be approximately £35.

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