Reactor Shutdown & Electricity price
Posted: 31st October 2024
The scheduled closure of two of the UK’s Advanced Gas Reactor (AGR) nuclear power stations is forecast to trigger an increase in wholesale electricity prices in 2027, with prices remaining elevated through the end of the decade. Data from Cornwall Insight’s Benchmark Power Curve shows wholesale electricity prices are projected to reach £83/MWh in 2027, just after the AGRs are due to close. This is higher than the average £81/MWh prices suppliers paid over the past year for the energy they intend to use in 2025. By 2030 wholesale prices are forecast to have only dropped slightly to £77/MWh. Since wholesale electricity prices make up the bulk of consumer bills, this could jeopardise the government’s promise to significantly reduce energy bills by the end of the decade. At the beginning of the decade, the UK had eight nuclear power stations contributing to about 16% of the country’s total electricity generation1. Seven of these were AGR stations, with the eighth being Sizewell B. Three of the AGR stations have already been decommissioned, with two more set to close by 2026-27 and the remaining two by 2028-29.
Cornwall Insight 29th Oct 2024
Energy Live News 29th Oct 2024
https://www.energylivenews.com/2024/10/29/uk-nuclear-plant-closures-threaten-energy-bill-reductions/