In a joint letter, a coalition of manufacturers, infrastructure investors, trade organizations, engineers, consultants, and climate groups called on Rachel Reeves, the U.
K. Treasury secretary, to reduce electricity consumption and raise prices immediately by shifting traditional political spending from energy bills to general taxation and providing targeted support for electrification.
According to the letter, UK consumers are facing some of the highest electricity prices in the world, which is holding back investment and crippling industry in the current critical economic and geopolitical environment. High electricity prices also hinder the UK's transition to net zero and undermine the UK's competitiveness.
The coalition stated that shifting political costs to general taxation would be an effective way to reduce electricity prices in the near term, while allowing policy costs to be reimbursed gradually. Energy UK estimates that this would reduce electricity prices for businesses by up to 40 pounds per MWh, reduce bills by 15 percent, and reduce household electricity bills by up to 370 pounds per year. This would reduce the cost of bills and goods for consumers and free up business capital to invest in the UK. In addition to shifting political costs away from electricity bills, the coalition is calling on the government to provide targeted support for industrial electrification.
The coalition includes 7Steel UK (formerly Celsa Steel UK), Aldersgate Group, British Glass, Buro Happold, Cemex, Ceramics UK, Chemical Industry Association, Paper Industry Confederation, E3G, Encirc, Energy Consumers Group, Green Alliance, Heidelberg Materials, Council of the Largest Energy Consumers, Material Evolution, MPA and UK Steel (Great Britain).
Steelorbis.com
