[News] The Energy crisis

[nicko31]

Talk of bills doubling in the spring (a bit far fetched IMO) but 50% is possible

Is it time to impose a windfall tax on the North sea oil and gas industry? They have been coining it in on the back on inflated wholesale prices with negligible increases in fixed costs.

If that doesn't happen its the public purse or consumer that is going to be hit hard.....

 

[clapham_gull]

Not sure if mentioned about, but I guess rises will be somewhat cushioned by the removal of VAT on home fuel costs as promised by Johnson, Gove and Rees Mogg in 2016....

 

[Daddies_Sauce]

This corrupt government are racking in a fortune due to the increase in home and transport fuel costs which then increases income from VAT. Add that to the £1.6bn reduction in the state pension bill they are saving due to killing off elderly during the pandemic. Many families are really going to struggle with the increased fuel, NI and tax increases that are coming.

 

[nicko31]

This corrupt government are racking in a fortune due to the increase in home and transport fuel costs which then increases income from VAT. Add that to the £1.6bn reduction in the state pension bill they are saving due to killing off elderly during the pandemic. Many families are really going to struggle with the increased fuel, NI and tax increases that are coming.

The ones really making a fortune this winter are the wholesale producers, heard they will make an extra £20B.

 

[beorhthelm]

Talk of bills doubling in the spring (a bit far fetched IMO) but 50% is possible

Is it time to impose a windfall tax on the North sea oil and gas industry? They have been coining it in on the back on inflated wholesale prices with negligible increases in fixed costs.

If that doesn't happen its the public purse or consumer that is going to be hit hard.....

taxes are paid on profits, so it the companies make more money they'll pay more tax.

 

[WATFORD zero]

[Tweet]1475764431275577344[/Tweet]

[Tweet]1475914075599216640[/Tweet]

 

[nicko31]

The idea of a windfall tax on North Sea operators to try and reduce bills has become Labour policy with other parties and also some Tories……

But today from Nadhim Zahawi “A windfall tax on oil and gas companies that are already struggling in the North Sea is never going to cut it.”

What is the definition of struggling? A £1000 hike in household bills in April perhaps or the companies set to make an extra £20B profit this winter

Out of touch again

 

[Nobby Cybergoat]

The idea of a windfall tax on North Sea operators to try and reduce bills has become Labour policy with other parties and also some Tories……

But today from Nadhim Zahawi “A windfall tax on oil and gas companies that are already struggling in the North Sea is never going to cut it.”

What is the definition of struggling? A £1000 hike in household bills in April perhaps or the companies set to make an extra £20B profit this winter

Out of touch again

It's just such a glaringly obvious, just and popular policy, any rational, sane government is bound to introduce it. Any day now

 

[beorhthelm]

The idea of a windfall tax on North Sea operators to try and reduce bills has become Labour policy with other parties and also some Tories……

But today from Nadhim Zahawi “A windfall tax on oil and gas companies that are already struggling in the North Sea is never going to cut it.”

What is the definition of struggling? A £1000 hike in household bills in April perhaps or the companies set to make an extra £20B profit this winter

Out of touch again

might be reference to many of the north sea fields not being very profitable or net negative now.

if gas and oil producers make more profit this year they'll pay more through normal taxes, the use of a windful tax is political not for practical increase in revenue. do we want a gas producer to continue or shut down because the RoI got kicked by an unplanned tax making the field unviable? may be post COP21 we do want that.

 

[A1X]

[tweet]1480625572053233667[/tweet]

[tweet]1480644532995829764[/tweet]

 

[nicko31]

might be reference to many of the north sea fields not being very profitable or net negative now.

if gas and oil producers make more profit this year they'll pay more through normal taxes, the use of a windful tax is political not for practical increase in revenue. do we want a gas producer to continue or shut down because the RoI got kicked by an unplanned tax making the field unviable? may be post COP21 we do want that.

With producers set for a £20B windfall they aren't struggling, a levy while wholesale prices through the roof won't harm them. Its our North sea...

It they do nothing it will be bizarre when you consider their obsession with the retail supply of things, they have only made low single digit margins

 

[nicko31]

So energy price cap rises 54% to £1971, worse for pre-payment customers.

The government’s solution today is bizarre, the solution is to offer loans to retail suppliers to enable them to soften the blow by £200, seems like abdication of responsibility and makes the assumption that high energy price will be short time. It also puts the taxer on the hook for yet risk and risky debt at that

There was numerous other options available, like cutting taxes on bills (take the £150 VAT for example) or having a tiered energy pricing.

Then there’s the wholesale producers that will skim an extra £20B this winter off our north sea. Yesterday the Tories voted down a windfall tax, Johnson said they are doing it tough which is BS. Don’t supposed any donor or Tory ministers have links to the fossil fuel industry? (trust me you don’t need to dig much)

Anyway, there we have it. The result will be a further 3 million people into fuel poverty

 

[Thunder Bolt]

So energy price cap rises 54% to £1971, worse for pre-payment customers.

The government’s solution today is bizarre, the solution is to offer loans to retail suppliers to enable them to soften the blow by £200, seems like abdication of responsibility and makes the assumption that high energy price will be short time. It also puts the taxer on the hook for yet risk and risky debt at that

There was numerous other options available, like cutting taxes on bills (take the £150 VAT for example) or having a tiered energy pricing.

Then there’s the wholesale producers that will skim an extra £20B this winter off our north sea. Yesterday the Tories voted down a windfall tax, Johnson said they are doing it tough which is BS. Don’t supposed any donor or Tory ministers have links to the fossil fuel industry? (trust me you don’t need to dig much)

Anyway, there we have it. The result will be a further 3 million people into fuel poverty

[tweet]1489180569967734787[/tweet]

 

[nicko31]

[tweet]1489180569967734787[/tweet]

Important to remember we get 50% of our gas from the north sea. Shell are gonna cane it

https://uk.finance.yahoo.com/news/shell-defends-bumper-payouts-investors-113901808.html

 

[Thunder Bolt]

Important to remember we get 50% of our gas from the north sea. Shell are gonna cane it

https://uk.finance.yahoo.com/news/shell-defends-bumper-payouts-investors-113901808.html

Yep and no windfall tax.

 

[Daddies_Sauce]

So energy price cap rises 54% to £1971, worse for pre-payment customers.

The government’s solution today is bizarre, the solution is to offer loans to retail suppliers to enable them to soften the blow by £200, seems like abdication of responsibility and makes the assumption that high energy price will be short time. It also puts the taxer on the hook for yet risk and risky debt at that

There was numerous other options available, like cutting taxes on bills (take the £150 VAT for example) or having a tiered energy pricing.

Then there’s the wholesale producers that will skim an extra £20B this winter off our north sea. Yesterday the Tories voted down a windfall tax, Johnson said they are doing it tough which is BS. Don’t supposed any donor or Tory ministers have links to the fossil fuel industry? (trust me you don’t need to dig much)

Anyway, there we have it. The result will be a further 3 million people into fuel poverty

Agree - As you say a tiered pricing strategy just makes sense. Remove the VAT and the green tax that we have included in our bills.

I guess I'm fortunate that we have just had a solar installation undertaken that includes a battery for any excess generated power to be saved until we need to use it. We are unable to get a EV currently due to the high costs for building works required to enable parking and the charging infrastructure installation that is currently prohibitive,

There are those with solar installations similar to ours who do have EV's, they are able to sign up for some of the really cheap overnight EV tariffs, so that they not only charge the EV overnight but also charge their home battery(s) and hence reduce their daily import costs further.

There is a large amount of power that is generated overnight (wind farms etc.) that the country is not able to use or store, having a cheaper overnight rate so that all can take advantage of this generation would seem a lot fairer. All households can then run their heavy consumption items (washing machines, dish washers, heating, water heaters etc.) overnight and take advantage of cheaper rate electricity. Electricity consumption will only increase as fossil fuels are phased out over the coming years.

 

[Dick Swiveller]

I don't understand the Council Tax rebate thing. I have a 3 bed semi and I am band C so will get it. Now I am not well off but can cope with the price increase. Presumably a lot of people in band D house even more so. And yet the energy costs could mean choosing between heating and eating for some lower paid families. Surely there should have been more targeted support than council tax bands?

 

[Audax]

I don't understand the Council Tax rebate thing. I have a 3 bed semi and I am band C so will get it. Now I am not well off but can cope with the price increase. Presumably a lot of people in band D house even more so. And yet the energy costs could mean choosing between heating and eating for some lower paid families. Surely there should have been more targeted support than council tax bands?

Definitely going to be needing an explainer on how it all works for many - splitting the measures across two separate methods and two different time frames, I can see a lot in the electorate simply not understanding it all (and, potentially, missing out as a result if it's not applied automatically).

 

[nicko31]

Agree - As you say a tiered pricing strategy just makes sense. Remove the VAT and the green tax that we have included in our bills.

I guess I'm fortunate that we have just had a solar installation undertaken that includes a battery for any excess generated power to be saved until we need to use it. We are unable to get a EV currently due to the high costs for building works required to enable parking and the charging infrastructure installation that is currently prohibitive,

There are those with solar installations similar to ours who do have EV's, they are able to sign up for some of the really cheap overnight EV tariffs, so that they not only charge the EV overnight but also charge their home battery(s) and hence reduce their daily import costs further.

There is a large amount of power that is generated overnight (wind farms etc.) that the country is not able to use or store, having a cheaper overnight rate so that all can take advantage of this generation would seem a lot fairer. All households can then run their heavy consumption items (washing machines, dish washers, heating, water heaters etc.) overnight and take advantage of cheaper rate electricity. Electricity consumption will only increase as fossil fuels are phased out over the coming years.

That's frustrating you can't get an EV due to building works, guess you can always charge on a public charging point (no off peak rate mind)

Got an EV on order 6 months + delivery, using off peak elec 50% less per unit. That said my renewable supplier (Ecotricity) already hiked their prices, they are not bound by the price cap, if they were they might have hit financial trouble

 

[SIMMO SAYS]

Got my new energy hike from E-on Next today.
My gas and electric price going up an extra £1112.51 a year in April.