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Why green electricity prices go up when brown prices do - Part 2

Filed under: Energy

A better explanation of our recent price rise

You may remember a post I wrote entitled “Why green electricity prices go up when brown prices do” in which I first attempted to explain this seemingly counter-intuitive situation.

I also recently wrote to all of our customers explaining that we needed to follow the recent price rises (of the Big Six) and why. In it I tried to provide a simple explanation of why green electricity prices go up when brown electricity prices do. I received a number of e-mails and letters from customers who had further questions about that and related issues.

I’ve spent the last few nights considering how best to approach this and writing what follows below – it’s a more detailed explanation of why our prices need to follow the market (for now). I hope in the process to better explain the way the electricity market works, how this affects what we do and at the same time cover the majority of questions asked.

Here we go… Continue reading “Why green electricity prices go up when brown prices do - Part 2″

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Does ‘Good Energy’ cause new generation to be built?

Filed under: Energy

This post was inspired by a couple of comment posters who got in a discussion about Good Energy. Andre - in my opinion the claims (you refer to) of Good Energy don’t stack up. The idea that by selling existing green electricity to someone you can encourage someone else to build a wind farm is tenuous at best Continue reading “Does ‘Good Energy’ cause new generation to be built?”

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Why green electricity prices go up when brown prices do

Filed under: Energy

I often get asked to explain why the price of green electricity rises when the price of brown electricity does. I realise it’s counter intuitive. To understand it you need an understanding of how the market works. Here’s my attempt to explain: Continue reading “Why green electricity prices go up when brown prices do”

9 Responses

Zero Carbonista

Dale Vince This blog is about answers to the big questions - how will we keep the lights on, what kind of cars will we drive (will we drive?) and how will we feed ourselves - in a post oil world, and a world where we can't afford to keep burning things and throwing things away. Energy, Transport and Food are the three big issues.

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