Tony Lodge: It is high noon for Britain’s fledgling energy policy. Years of failed interventions, arbitrary green targets and damaging subsidies will come to a head in this week’s capacity auction, when we will either see investors commit to building desperately needed new power plants or simply walk away. The stakes could not be higher, for the Government and for those policymakers who believed they had designed a credible strategy to keep the lights on. How have we got here and why does so much in this sector now hang on a complicated and little-known auction process? The overriding issue remains the urgent need to replace old coal-fired power stations, which have served the UK since the 1960s, with new plants that burn natural gas to generate electricity. At this stage, we can forget Hinkley C, as it will not be ready in time.
Telegraph 4th Dec 2016 read more »