National Grid will share some of the excess cash it has made from electricity cables to Europe ahead of schedule as regulator Ofgem and others try to help keep bills pushed down
5.9k Share this


National Grid will share some of the excess cash it has made from electricity cables to Europe ahead of schedule as regulator Ofgem and others try to help keep bills pushed down.

The company said it will pay £200 million to consumers over the next two years – ahead of the schedules originally set.

The grid operator would have to pay the money anyway as it is part of the deal it signed with Ofgem, but this way the money comes to customers earlier, it said.

‘While National Grid’s impact on customer bills is relatively small, we strive every day to keep our costs as low as possible,’ said its boss John Pettigrew.

‘Given how challenging the current rise in overall energy costs is for people across the country, we want to play our part in helping reduce consumer bills.’

If spread equally that would mean an average of £9 off bills for Britain’s 22million electricity bill payers. 

National Grid will share some of the excess cash it has made from electricity cables to Europe ahead of schedule as regulator Ofgem and others try to help keep bills pushed down

National Grid will share some of the excess cash it has made from electricity cables to Europe ahead of schedule as regulator Ofgem and others try to help keep bills pushed down

National Grid will share some of the excess cash it has made from electricity cables to Europe ahead of schedule as regulator Ofgem and others try to help keep bills pushed down 

The company said it will pay £200 million to consumers over the next two years - ahead of the schedules originally set

The company said it will pay £200 million to consumers over the next two years - ahead of the schedules originally set

The company said it will pay £200 million to consumers over the next two years – ahead of the schedules originally set 

The cash comes from cables that connect France, Belgium and Norway with the British power grid.

It means that when French electricity generators produce more than their customers can use, they can sell their excess to households in Britain.

Meanwhile, when British wind turbines spin more than British households have use for, that gets sold back to the French.

National Grid is not allowed to make more than a certain amount of money from its cables, so excess has to be paid back to consumers.

The balance is normally settled every five years, but an unprecedented crisis in the energy markets meant the company and Ofgem thought it wise to make the payments earlier.

‘This early payment of £200 million ensures consumers get value for money sooner from our regulatory framework,’ said Jonathan Brearley, the chief executive of Ofgem.

‘Our regulatory approach for interconnectors not only protects the interests of consumers, but it also promotes new investment in affordable, modern energy infrastructure.’

He added: ‘We’re now working at pace to ensure this money is returned to the consumer in the fastest and most impactful way.’

The agreement comes just days after Prime Minister Boris Johnson said it is ‘insane’ that Britain is ‘mainlining energy from France’, without mentioning the energy that Britain sends in the other direction.

5.9k Share this
You May Also Like

Doja Cat to quit vaping after tonsil surgery

21 May 2022 Doja Cat is to quit vaping after undergoing tonsil…

Does Dr Brady McKee Accident Cause Death – How Did It Happen? Obituary Details To Know

Does Dr Brady McKee Accident Cause Death  – How Did It Happen?…

Nude protester storms red carpet at Cannes Film Festival

21 May 2022 A nude protester stormed the red carpet at Cannes…

‘The Kardashians’ Fans Think Scott Disick is Kris Jenner’s ‘3rd Favorite Child’

What would the Kardashians be today without Scott Disick? Although he’s not…

Kerry Katona taken to hospital with stomach problems

18 May 2022 Kerry Katona was in hospital due to stomach problems.…

Sam Ryder confirms A1’s Ben Adams was part of Norway’s Eurovision entry

18 May 2022 Sam Ryder has confirmed Ben Adams was representing Norway…

Tevin Campbell Shines At 7th Annual Black Music Honors

We love to see it! Source: Paras Griffin/Getty Images for Black Music…

Are Sasha Banks and Naomi Suspended, Why Did They Walk Out? Here’s What Happened To Them At WWE

Are Sasha Banks and Naomi Suspended? In professional wrestling, Sasha Banks and…