To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential effect of the volatility in gas prices on the UK's (a) energy security and (b) transition to renewable resources.
3 November 2021
Higher wholesale gas prices have been seen globally in 2021 due to multiple international factors in supply and demand. The UK has highly diverse sources of gas supply and a diverse electricity mix, which ensures households, businesses, and heavy industry get the energy they need. National Grid Gas’s Winter Outlook notes the supply margin has increased compared to last winter and is sufficient in all of their modelled scenarios. Similarly, National Grid Electricity System Operator’s 2021 Winter Outlook Report confirms that there will be sufficient capacity available for the coming winter.
The Government has published a comprehensive Net Zero Strategy, which outlines measures to transition to a green and sustainable future, helping businesses and consumers to move to clean power, so that households and businesses will be much better protected from energy price spikes caused by volatile international fuel markets.