The government of the United Kingdom has presented its new Energy Prices Bill to the parliament, putting into law measures to cap energy prices for households and businesses as well as unveiling proposals to limit profits generated by renewables and nuclear operators.
The “Energy Price Guarantee” will ensure that a typical household in the United Kingdom pays around £2,500 (€2,900) a year on their energy bill, depending on their use, for the next 2 years, from 1 October 2022, while non-domestic customers will see prices frozen at current levels for at least six months.
The “Alternative Fuel Payment” will deliver a one-off payment of £100 (€116) to UK households who are not on the mains gas grid and therefore use alternative fuels, such as heating oil, to heat their homes. The “Northern Ireland Energy Bills Support Scheme” will provide £400 (€462) of support to households in Northern Ireland for the winter.
The bill also includes plans for a new “Cost-Plus Revenue Limit” for renewables and nuclear generators in England and Wales to tackle the windfall profits some generators are receiving as a result of soaring wholesale power prices.
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