The Price We All Pay For The Emissions Trading Scheme
MARCH 17, 2023
tags: carbon tax
By Paul Homewood
More on the Emissions Trading Scheme, or ETS:
A typical CCGT plant would emit about 374 kg of carbon dioxide per MWh, assuming 53% efficiency. With ETS allowances currently priced at £84/tonne of CO2, that adds a cost of £31.42/MWh.
Wholesale power prices, which are effectively based on CCGT generation, are about £140/MWh at the moment, so that ETS element accounts for nearly a quarter of the market price.
As this cost surcharge is reflected in the price of all electricity sold on the market regardless of source, except for CfD generators which account for about 20 TWh a year, it means that energy users are paying about £10 billion a year extra as a direct result of government policy.
https://notalotofpeopleknowthat.wordpress.com/2023/03/17/the-price-we-all-pay-for-the-emissions-trading-scheme/
