UK Grid will sell off unused coal stocks to help lower bills

The UK power grid operator is expecting to be able reimburse consumers for the sale of emergency stockpiles of coal that were not used last winter.

In an online forum, a National Grid Plc spokeswoman said that after accounting for logistics, money is likely to remain from the sale. This will result in a small rebate to consumers whose bills paid for contracts worth $517 million (about £400 million) to keep coal-fired power plants running last winter.

Drax Group Plc, and Electricite de France SA both closed their coal stations. Uniper SE Ratcliffe is now the last coal station on the British market. The Ratcliffe plant is operating on the normal wholesale market. There won’t be any coal plants in reserve for next winter.

Reserve units were only ever used one time, in March. The revenue generated from coal sales will be used to reduce balancing charges, which are added on to bills. The spokesperson stated that the final numbers for the coal sales would be released later this year.

Post Disclaimer

The following content has been published by Stockmark.IT. All information utilised in the creation of this communication has been gathered from publicly available sources that we consider reliable. Nevertheless, we cannot guarantee the accuracy or completeness of this communication.

This communication is intended solely for informational purposes and should not be construed as an offer, recommendation, solicitation, inducement, or invitation by or on behalf of the Company or any affiliates to engage in any investment activities. The opinions and views expressed by the authors are their own and do not necessarily reflect those of the Company, its affiliates, or any other third party.

The services and products mentioned in this communication may not be suitable for all recipients, by continuing to read this website and its content you agree to the terms of this disclaimer.