Energy charges rise by 10% annually for past 10 years
PCMG, a leading energy expert in the UK, announced that on average non-commodity charges for electricity bills have been rising by approximately 10% every year for the past 10 years.
Martin Chitty, the Director of Energy Analysis at PCMG, made the announcement during a speech at the nation’s largest energy event, EMEX.
“Non-commodity charges, which include network charges and environmental taxes, now represent a huge 55% of your annual electric bill,” reported Mr Chitty.
Martin Chitty also disclosed that this trend shows no signs of slowing down in the future.
“Back in 2008 non-commodity charges represented just 25% of the bill, now they are more than 55%. In the next two years they could be as much as 65% of your final electricity bill,” he added.
Non-commodity charges are made of a varety of factors, including energy taxes that a provider is required to pay to transmission charges, metering, and account management.
“Obviously depending on your business, these rises can have a huge impact on your energy costs.”
“To pick just one example, we've been working with a hospital in North West England, which has seen a 73% increase in their electric bills since 2010 which has been driven by the increase in non-commodity charges.”
“There are things that can be done to mitigate the issue, including forensically auditing the charges billed to the customer to ensure that nothing has been overcharged.”
Hydrostor receives $4m funding for A-CAES facility in Canada
Hydrostor has received $4m funding to develop a 300-500MW Advanced Compressed Air Energy Storage (A-CAES) facility in Canada.
The funding will be used to complete essential engineering and planning, and enable Hydrostor to plan construction.
The project will be modeled on Hydrostor’s commercially operating Goderich storage facility, providing up to 12 hours of energy storage.
Hydrostor’s A-CAES system supports Canada’s green economic transition by designing, building, and operating emissions-free energy storage facilities, and employing people, suppliers, and technologies from the oil and gas sector.
The Honorable Seamus O’Regan, Jr. Minister of Natural Resources, said: “Investing in clean technology will lower emissions and increase our competitiveness. This is how we get to net zero by 2050.”
A-CAES has the potential to lower greenhouse gas emissions by enabling the transition to a cleaner and more flexible electricity grid. Specifically, the low-impact and cost-effective technology will reduce the use of fossil fuels and will provide reliable and bankable energy storage solutions for utilities and regulators, while integrating renewable energy for sustainable growth.
Curtis VanWalleghem, Hydrostor’s Chief Executive Officer, said: “We are grateful for the federal government’s support of our long duration energy storage solution that is critical to enabling the clean energy transition. This made-in-Canada solution, with the support of NRCan and Sustainable Development Technology Canada, is ready to be widely deployed within Canada and globally to lower electricity rates and decarbonize the electricity sector."
The Rosamond A-CAES 500MW Project is under advanced development and targeting a 2024 launch. It is designed to turn California’s growing solar and wind resources into on-demand peak capacity while allowing for closure of fossil fuel generating stations.
Hydrostor closed US$37 million (C$49 million) in growth financing in September 2019.