Britain is Set to Spend Billions Upgrading its Energy Grid, But at What Cost?
A major green light has been given to the UK's energy network companies to embark on a £28 billion project to upgrade Britain's gas and electricity grids. The plan, which includes spending over £17.8 billion on gas transmission and distribution networks, will see households face higher energy bills as part of funding these projects.
The government aims to become a green energy superpower by the end of the decade, and this investment is seen as crucial in achieving that goal. However, critics are warning that the cost will be borne disproportionately by households, with annual charges on bills set to rise from £222 to £330 by 2031 - an increase of over 48%.
The National Grid, one of the energy companies involved in the project, welcomed the news, saying it was "recognition of the need for significant investment into the electricity transmission sector". However, some are calling for more scrutiny and guarantees to ensure that consumers get value for money.
Opposition figures are also warning that the plan will have a disproportionate impact on low-income households. The shadow energy secretary has accused the government of pushing up energy bills "soar[ing] to pay for installing hundreds of miles of cables and pylons".
Despite concerns, the Department for Energy Security and Net Zero has defended the need for investment in the grid, saying it's essential for energy security and that the government is offering support with costs.
The plans will also result in network charges for smaller businesses increasing, with estimates suggesting they will see rises of around £60 a year by 2031. Environmental groups are urging Ofgem to ensure that these upgrades deliver "genuine value for money".
In total, the energy regulator, Ofgem, has approved more than £80 billion worth of investment over five years, which is expected to save households around £80 in bills compared with not expanding the grid.
However, critics argue that the savings are far from guaranteed and that households must get "value for money" from these upgrades. The End Fuel Poverty Coalition has called on Ofgem to ensure that public funds come with proper scrutiny and guarantees.
The price cap will also increase by 0.2% in the next quarter, equivalent to an annual dual-fuel energy bill of £1,758.
A major green light has been given to the UK's energy network companies to embark on a £28 billion project to upgrade Britain's gas and electricity grids. The plan, which includes spending over £17.8 billion on gas transmission and distribution networks, will see households face higher energy bills as part of funding these projects.
The government aims to become a green energy superpower by the end of the decade, and this investment is seen as crucial in achieving that goal. However, critics are warning that the cost will be borne disproportionately by households, with annual charges on bills set to rise from £222 to £330 by 2031 - an increase of over 48%.
The National Grid, one of the energy companies involved in the project, welcomed the news, saying it was "recognition of the need for significant investment into the electricity transmission sector". However, some are calling for more scrutiny and guarantees to ensure that consumers get value for money.
Opposition figures are also warning that the plan will have a disproportionate impact on low-income households. The shadow energy secretary has accused the government of pushing up energy bills "soar[ing] to pay for installing hundreds of miles of cables and pylons".
Despite concerns, the Department for Energy Security and Net Zero has defended the need for investment in the grid, saying it's essential for energy security and that the government is offering support with costs.
The plans will also result in network charges for smaller businesses increasing, with estimates suggesting they will see rises of around £60 a year by 2031. Environmental groups are urging Ofgem to ensure that these upgrades deliver "genuine value for money".
In total, the energy regulator, Ofgem, has approved more than £80 billion worth of investment over five years, which is expected to save households around £80 in bills compared with not expanding the grid.
However, critics argue that the savings are far from guaranteed and that households must get "value for money" from these upgrades. The End Fuel Poverty Coalition has called on Ofgem to ensure that public funds come with proper scrutiny and guarantees.
The price cap will also increase by 0.2% in the next quarter, equivalent to an annual dual-fuel energy bill of £1,758.
I mean, who wants their bills goin' up just so some energy company can say "we're doin' somethin' for the future"? It's like they think we're made of money or somethin'! 
And what about all these new businesses? They're gonna get hit with even higher charges and I'm no' sure how many small shops are gonna be able to keep up... 
It just don't seem right. We gotta make sure we're gettin' value for our money, ya know? 
I'm all for Britain becoming a green energy superpower, but upgrading the energy grid at such a massive cost is a big concern for me. I mean, £28 billion is a huge amount of money and it's gotta be put into use efficiently. Those higher energy bills are gonna hit low-income households hard, you know? It's like, the government wants to help the environment, but how about helping those who need it most? 
They're saying it'll save households £80 in bills, but what if it doesn't? I'm all for saving money, not just throwing it around. 
£222 to £330 is a big jump, like 48% increase! and what about smaller businesses, are they just gonna get stuck with these rising network charges? 
... I mean, I get it, we need a greener future, but higher energy bills? 
My mate's mum lives in a tiny flat and she's already struggling to make ends meet... I just hope Ofgem is doing their job properly and making sure we're getting good value for our money 
so like the UK is going all out on upgrading their energy grid and it's gonna cost billions but honestly who cares?? 
and I'm HERE. FOR. IT. 
the idea of becoming a green energy superpower by 2030 sounds AMAZING 
and even tho some people are saying its all on the backs of low income households, like come on, someone's gotta pay for that fancy new grid 
and let's be real, those energy bills might not be the most fun but at least we'll all be living in a greener world 
It sounds like the government wants us to believe that this investment will make Britain a "green energy superpower" but what about the cost to low-income households? Will they really see any benefits from these upgrades?
. I think we need more transparency and guarantees that these upgrades will actually save us money in the long run 
.
did u know that the energy regulator Ofgem approved over £80 billion worth of investment over 5 yrs? 
and it's not just households that are gonna feel the pinch small businesses are gonna see a rise of £60 a year too 
.
. I swear, every time something like this comes up, it feels like the profit margins just keep going and going