DECC Ready To Frack

frack to business amber rudd

The Department of Energy and Climate Change is beefing up its Office of Unconventional Gas and Oil to push ahead with a revitalised fracking agenda. Free from the shackles of Ed Davey, the OUGO are already advertising for three Senior Policy Advisors to help put the framework in place to support the shale gas industry – something that is high on new chief Amber Rudd’s agenda. The age of cheap energy is dawning…

Labour Still Promising to “Freeze” Energy Bills as Election Pledge

Labour abandoned their flagship “energy price freeze” when they realised the shambolic pledge would keep energy bills artificially high after the drop in the price of oil. Apparently it was only ever meant to be ‘a cap’, despite the party handing out hundreds of tiny ice cubes saying “Freeze that Bill” at their party conference.

It seems the Brewer’s Green literature department did not get the memo:

This leaflet has gone out in marginal seats this week…

With the promise to keep bills artificially high until 2017 a top election pledge…

Government Cave In to Labour’s Fracking Regulations

The government has caved in and accepted Labour’s amendments on fracking rather than lose tonight’s vote, meaning no drilling will happen until 13 new safeguards are met. A Labour Party on the run from the Greens put a cheap political stunt before cheap energy in the middle of a freezing cold January. And they wonder why people don’t trust them? Fracking hippies…

Reeves Abandons Labour’s Price Freeze: “World Has Changed”

Brillo was another happy reader this morning, skewering Rachel Reeves on Labour’s energy price “freeze” spin. Reeves admits things were different “at the time“, and says that now “the world has changed”. She also confirmed the “cap” is a new policy:

AN: “I think honesty matters here… When you announced this policy the only fear was that prices were going up. It never crossed your mind that wholesale prices might come down… so you used the language ‘freeze’ and you never used the language ‘cap’. Now you’ve been forced to change. I think it would be honest if you admitted that… Did you use the word cap?”

RR: “We didn’t use the word cap.”

Ed’s flagship policy is in tatters…

Via @liarpoliticians

Labour Scrap Crap Energy Price Freeze

Labour have quietly ditched their flagship energy price freeze policy after falling prices mean their genius master plan would actually leave consumers paying more. A truth-stretching Labour spokesman tells the Sun: “it has always been a cap”, rather than a freeze. Which is presumably why this page titled “Freeze That Bill” still exists on the Labour Party website, vowing “we’ll freeze your bills”.

Who would have thought Labour’s Chavista attempt to dictate prices would end up costing consumers more?

Via Rob Oxley

Big Oil Freebie for Conflicted Energy Committee Baronet

Regular readers will remember Sir Robert Smith’s attempts to follow in the sleazy footsteps of Tim Yeo, namely the conflict of interest between the LibDem baronet’s position on the Energy select committee and his registrable shareholdings in Shell, Rio Tinto and Glaxosmithkline. Financial interest, tick! What next for Sir Bob at the Yeo School of Milking Your Cushy Energy Job for Personal Gain?

Well, Smith has just declared to the parliamentary authorities that BP generously paid for him and his wife to go to the Commonwealth Games in Glasgow. No expense spared, natch. Freebie from big oil, tick! Robert will be be back scrutinising the laws that regulate BP next week…

Davey’s New Green Projects to Cost Taxpayer £1.4 Billion a Year

Energy Secretary Ed Davey has today unveiled eight new major renewables projects which he says will be funded by £12 billion of private sector investment to “boost green growth and green jobs“. Renewable projects are guaranteed a price for the power they produce, meaning that the difference between the guaranteed price and the price on the market is subsidised by the taxpayer. Guido has been crunching the numbers to work out how much the subsidy for these new projects will cost taxpayers overall.

Wind

The wholesale price for power for winter 2015 is £53 per MWh. There are 5 offshore wind projects totalling 3,184MW, each guaranteed £140 per MWh if completed in 2017-18. That’s a subsidy of £87 per MWh.

If wind farms generate 35% of the time, that’s 3,066 hours per year. At £87 per hour on 3,184MW of capacity that’s a subsidy of £849 million.

Biomass CHP

There is 1 Biomass CHP project providing just 299MW. This is guaranteed £125 per MWh. A subsidy of £72 per MWh.

If this generates 85% of the time, that’s 7,446 hours per year. At £72 per hour on 299MW of capacity that’s a subsidy of £160million.

Biomass Conversions

Then there are 2 Biomass Conversions totalling 1,065MW. These are guaranteed £105 per MWh. A subsidy of £52 per MWh.

If these generate 85% of the time, that’s 7,446 hours per year. At £52 per hour on 1,065MW of capacity that’s a subsidy of £412 million.

Overall, that is a total subsidy of £1.4 billion per year.

Davey said today that the new contracts for renewable projects will support 8,500 green jobs. At £1.4 billion, that amounts to £167,000 per green job. Or green crap as the PM likes to call it.

Peter Lilley Fails to Declare Little List of Energy Interests

Number 10 policy board adviser Peter Lilley regularly bigs up big oil in speeches to parliament, bemoaning climate change laws that “require us to replace cheap fossil fuels with energy sources that are at least twice as expensive and less reliable” last September and then going after vested interests in November:

“Politicians and environmental campaigners have a vested interest in fanning that suspicion to divert attention from the increases in the cost of energy that the political elite are planning in the move to increasingly costly renewables, with the added costs that they impose on the transmission network.”

What Lilley didn’t mention on either occasion was his own vested interest as the £47,000-a-year non-executive director of Tethys Petroleum Limited, an oil and gas exploration company based in Central Asia. He is also a director of Facor Energy Limited, a new shell company which is yet to begin trading. Considering he’s been an MP for nearly 31 years, he should probably know better than to breach the members’ code of conduct by failing to declare an interest…

Gove Outrider Attacks Osborne’s Budget

Henry de Zoete, the former DfE SpAd who was Michael Gove’s media man, has founded and runs an energy switching campaign called The Big Deal. It’s pretty clever – essentially a mass lobby organisation for lower energy prices. Interestingly […]

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Government Trade Envoy’s £60,000 Conflict of Interest
Charles Hendry’s Oil Job Linked to Azerbaijan and Kazakhstan

Tory MP Charles Hendry has been a busy coining it since he was sacked as Energy minister, landing a £48,000 windfall from wind energy giants Forewind and hobnobbing with Hanover lobbyists and Environment Secretary Owen Paterson. On top of that, […]

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Last Person to Leave Venezuela Please Turn Out the Lights

Over in free and prosperous Venezuela last night, moderate and reasonable President Maduro addressed the nation on television. As he laid out his socialist vision of glorious revolution and the bright red future, large swathes of the country were plunged […]

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Davey Pockets Private Jet Cash as Holiday Tax Soars

Energy and Climate Change Secretary Ed Davey recently encountered some turbulence when his department were exposed as hypocrites for making air travel more expensive for holiday goers while charging two domestic flights a day to the taxpayer. Now Guido can […]

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Quote of the Day

Charles Clarke says Cameron is the most successful PM for over a century…

“Under Margaret Thatcher the Conservatives gained 99 seats. They lost 211 under John Major, gained one under William Hague, quickly and wisely got rid of Ian Duncan-Smith, gained 32 under Michael Howard and have so far gained 133 under David Cameron who, to the great surprise of many (including senior Conservatives), has turned out to be the most electorally successful Tory leader since 1900.”

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