The energy crisis - how did it get so bad?

[macliam]

Brits are paying the highest electricity bills in the entire world.

https://www.cityam.com/revealed-brits-a ... ire-world/

No surprise, all part of the ongoing exercise to transfer money from the poor to the rich.

[pabenny]

The story in cityam appears to come from a press release by boiler installer Boxt - although I could find nothing on the Boxt website.

It may be true that UK (domestic) energy prices are the highest. Or it might not quite be true. Our government has mitigated the price rises by subsidy direct to the provider (the energy price guarantee), the £400 bill discount, £150 credit via council tax to many households, as well as more targeted support.

Based on passing mentions on news bulletins, other countries have adopted different ways of providing subsidy, including a simple discount on the unit rate.

How have the authors of this press release taken account of the differences in subsidy mechanism? We don't know.

We should be more careful about taking press releases like this at face value.

[macliam]

Subsidies and mitigation policies are transient - it is the underlying cost per kWh that counts.

I can assure you that the price of electricity in the UK is now far, far higher than in Portugal, in my district the costs a standing charge €0.08 per day and electricity €0.18/kWh as opposed to a standing charge of £0.46p per day and an electricity cost of £0.34/kWh. Tell me how all the subsidies, grants, etc. will reduce the cost to the Portuguese level in the long term.....

The UK pegs electricity prices to the cost of natural gas....... even when the electricity is generated by green methods.