Wednesday, June 3, 2009

Financing the low carbon economy

I found out recently that the price of electricity has dropped somewhat - I presume that this is because demand (with the recession and all) has tailed away.

I'm told that coal generators aren't running their opted out plants (those that aren't part of the large combustion plant directive and as such have to shut either by 2015 or after 200000 operating hours, as measured from 1st Jan 2008).
Why run the plant now to generate for minimal return if you can run it later for a better return - espectially as RWE think we're going to run out of electricity in the summer of 2012 (and that means an increased electricity price).

So it makes sense that EurActive is talking about problems financing the low carbon economy - afterall if a construction firm can't get credit (or only at a high rate of return for the banks) they're going to more which can only be passed on to the consumer.

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