Hi All. I fail to understand how Bulb can increase their price for electricity. They say it comes from 100% renewable energy. I understand gas price increase but not the electricity since the suppliers have guaranteed prices from the government and the cost of producing renewable energy has nothing to do with oil and gas price fluctuations?
Unfortunately, there’s only one price for energy, what generators can sell it for when they generate it. Higher demand for energy means all prices go up as generators can sell it for more. All generators do this regardless of how renewable they are.
Because so much of the UKs electricity is generated from gas, the electricity price has risen by nearly as much as the gas price.