• 20 hours PDVSA Booted From Caribbean Terminal Over Unpaid Bills
  • 22 hours Russia Warns Ukraine Against Recovering Oil Off The Coast Of Crimea
  • 1 day Syrian Rebels Relinquish Control Of Major Gas Field
  • 1 day Schlumberger Warns Of Moderating Investment In North America
  • 1 day Oil Prices Set For Weekly Loss As Profit Taking Trumps Mideast Tensions
  • 1 day Energy Regulators Look To Guard Grid From Cyberattacks
  • 1 day Mexico Says OPEC Has Not Approached It For Deal Extension
  • 1 day New Video Game Targets Oil Infrastructure
  • 1 day Shell Restarts Bonny Light Exports
  • 1 day Russia’s Rosneft To Take Majority In Kurdish Oil Pipeline
  • 2 days Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 2 days British Utility Companies Brace For Major Reforms
  • 2 days Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 2 days Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 2 days Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 2 days OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 2 days London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 2 days Rosneft Signs $400M Deal With Kurdistan
  • 2 days Kinder Morgan Warns About Trans Mountain Delays
  • 3 days India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 3 days Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 3 days Russia, Saudis Team Up To Boost Fracking Tech
  • 3 days Conflicting News Spurs Doubt On Aramco IPO
  • 3 days Exxon Starts Production At New Refinery In Texas
  • 3 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 4 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 4 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 4 days China To Take 5% Of Rosneft’s Output In New Deal
  • 4 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 4 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 4 days VW Fails To Secure Critical Commodity For EVs
  • 4 days Enbridge Pipeline Expansion Finally Approved
  • 4 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 4 days OPEC Oil Deal Compliance Falls To 86%
  • 5 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 5 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 5 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 5 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 5 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 5 days Aramco Says No Plans To Shelve IPO
What’s Stopping An Oil Price Rally?

What’s Stopping An Oil Price Rally?

Oil prices rallied in Q3…

Kuwaiti Minister: OPEC Deal Extension May Be Unnecessary

Kuwaiti Minister: OPEC Deal Extension May Be Unnecessary

Kuwaiti Oil Minister Al-Marzouk has…

UK Hopes to Attract £110 Billion Investment with Energy Market Reform

UK Hopes to Attract £110 Billion Investment with Energy Market Reform

On Wednesday, Ed Davey, the British energy secretary, announced the release of the draft plan for the UK government’s electricity market reform.

The Electricity Market Reform Delivery Plan, as it is known, will not be finalised until September, but this latest draft aims to encourage the £110 billion capital needed to upgrade the country’s electricity grid by 2020, by offering more certainty to potential investors.

Enthusiastic about the new plan, Davey stated that “no other sector is equal in scale to the British power market, in terms of the opportunity that it offers to investors, and the scale of the infrastructure challenge.

Related article: Future of UK Offshore Wind Sector in Jeopardy

The Delivery Plan will provide investors with further certainty of government’s intent, so that they can get on and make crucial investment decisions that are supporting green jobs and growth.

The strike prices we have set will make the UK market one of the most attractive for developers and investors in renewable energy. It is necessary to support technologies in the early stages of their development, but we are looking all the time at how we reduce the costs for consumers.”

The UK has received criticism for its lack of dedication to increasing the renewable capacity in its energy mix, and therefore is way off achieving its 2030 climate targets. Davey seems to think that this reform will turn that around.

“As well as being good for green jobs and growth, what we are doing will protect our environment. The new strike prices [the fixed price at which renewable energy can be bought or sold] will mean that renewables can contribute more than 30% of our power mix by 2020, putting us on track to seeing significant decarbonisation of the power sector by 2030 and meeting our wider climate targets.”

Related article: The UK is Way Off Hitting its 2020 Renewable Energy Target

Unfortunately not everyone is as pleased with the reform as Davey. Roger Salomone, the head of Business Environment Policy at the EEF, remarked that “would-be investors are gradually getting the details they need to take forward projects. But industrial consumers will be dismayed that there is still no concrete plan for moving to a competitive market for low carbon electricity. What’s urgently needed is a clear timetable setting out when technologies in receipt of significant subsidies, funded by the consumer, will stand on their own two feet.”

Oliver Hayes, from Friends of the Earth, said that in the decision to put natural gas at the centre of the new reform meant that the Department of Energy and Climate Change (DECC) is ignoring all advice given by the Committee on Climate Change, and will probably prevent the country from achieving its emissions reduction target.

By. Joao Peixe of Oilprice.com



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News