A critique of the of the Electricity Industry

Energy Research Group (1976). A critique of the of the Electricity Industry. ERG Report 13; Energy Research Group, The Open University, Milton Keynes.

Abstract

The studies described in this report were begun in October 1975 and had the aim of examining the future role of the electricity industry in the light of the changes in fuel prices and the government’s ‘Save It’ campaign. As the study proceeded it became obvious that the electricity industry was facing a crisis which threatened a number of government policies. The essence of this crisis is a declining demand for electricity coupled with an installed capacity 55% greater than required to meet peak demand. The most obvious solution to the electricity industry’s problems is to promote vigorously electricity sales so as to improve its revenue and maintain the growth in number of power stations. This is clearly in conflict with the ‘Save It’ campaign and likely to increase the UK’s consumption of oil. The alternative solution, namely to raise the prices of electricity and drastically reduce orders for new power stations, is in conflict with the government’s policies aimed at curbing inflation and unemployment. Thus the study was enlarged to encompass not only the role of electricity in a national fuel policy but also to examine policies which would alleviate the worst effects of the immediate crisis without prejudicing either short-term economic objectives or longer-term fuel policies.

Viewing alternatives

Item Actions

Export

You can export this page using these formats