We can’t say we weren’t warned. Mrs May’s legacy eco-lunacy – her net zero carbon policy by 2050 – is going to come at great cost.
The former Chancellor of the Exchequer forecast a trillion pounds but others are already predicting that this almost incomprehensible figure is an underestimate.
The question no one seems to have put is: from where and from whom is all this money to come? Well, we have our first taste of the so-called zero carbon future with the news that British consumers already face a doubling of electricity prices to bail out the new wind farms coming on stream now – just those currently planned for.
A recently released report by Professor Gordon Hughes of Edinburgh University provides a stark warning of the implications for energy costs of this headlong flight from fossil fuels to renewables.
In it he explains that a number of large wind farms have contracts to supply power at extraordinarily low prices, ‘but the cost and performance data suggest that they will be unable to cover their costs’. From his detailed analysis of the latest wind farm data he calculates that we face a doubling of the electricity prices to finance the bail-out they’ll need.
He gives as one example Moray East, a site under construction in northern Scotland, where the operators will need to double their selling price at least if they are to break even. Hughes says they are playing a high-stakes poker game with the government, with the government as patsy:
‘They are probably gambling that if they threaten to go bust, the government will be forced to raise carbon taxes sharply. This will push market prices up, and the operators will simply walk away from their agreed contracts and trade at the new prices.’
Instead of seeing cheap renewables, he shows how the consumer will be hit by huge electricity price rises. He fears, too, that when the full impact of this is felt by the consumer and small businesses there is a real possibility that we see the public take to the streets, just as the gilets jaunes have been doing in France.
You can find his full report here.