LCPD Directive | Large Combustion Plant Regulation To Cut Energy Prices
30/07/2010
Business electricity
prices could be cut if the government renegotiates the European
Large Combustion Plant Directive (LCPD), which would see coal and
oil-fired power stations stay open for a little longer.
Under the current LCPD, unscrubbed plants are allowed to operate
for only 20,000 hours from 2008, until they close at the end of
2015.
However, a report from consultancy Arthur D Little, suggested that
plants should be allowed to stay open for another three years,
which would allow renewable sources and nuclear to be improved
sufficiently, which will provide better value for business energy customers.
"The recession and global energy prices have
conspired to ensure that these plants are unlikely to reach their
20,000 hours running time limit by 2015, when they must close,
according to current commitments," said the report.
It added that at a time when this type of plant is needed most, it
made sense to allow them to stay open for longer than their 2015
deadline.
The report comes after PricewaterhouseCoopers revealed that the UK
needs a "quantum leap" in offshore wind in order to meet renewable
energy targets.
Posted by Tom Barnett
