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Energy review ‘welcome contribution’ to debate on costs of supply

Chairman of the National Infrastructure Commission Lord Adonis has said publication of a wide-ranging review into the costs of energy is a “welcome contribution”, which will be considered as part of developing the first-ever National Infrastructure Assessment.

In his report to the Government, Professor Dieter Helm of Oxford University examines the whole electricity supply chain, including generation, transmission, distribution and supply.

In it, Professor Helm particularly highlights the use of competitive auctions to bring down costs, and examines how companies behind the latest technologies could contribute to the costs they impose as their use is expanded – helping to shield homes and businesses from bill increases.

Responding to the review, Lord Adonis said:

“As we look to meet our carbon reduction targets, we must look to new and emerging technologies for our energy supply – but it’s vital these are deployed at the lowest possible cost to consumers.

“The halving of offshore wind energy costs over the past two years demonstrate what can be achieved, and Professor Helm’s review is a welcome contribution to this debate.

“We will be considering his ideas carefully, particularly as we continue to develop this country’s first-ever National Infrastructure Assessment.”

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