Too Great Expectations

Hughes, Mark
April 2003
Utility Week;4/18/2003, Vol. 19 Issue 16, p18
Trade Publication
The article focuses on the disappointment over the Energy White Paper due to unrealistic expectations in Great Britain. The Energy White Paper has had a difficult time since its publication. Perhaps insufficient regard was given to managing the expectations of the energy industry in terms of what could be legitimately expected and this has led to some disappointment. The paper does spell out a policy direction and that policy direction will inform both the players in the industry and also the various parts of government so that there is some consistency in future actions. There is a place for government intervention in the market, as exemplified by the non-fossil fuel obligation in the 1990's when the renewables industry was in its infancy, but the renewable generation industry has now evolved to allow the government to take a light-handed role in the creation of an appropriate market environment using tools such as the renewables obligation. The government does recognize the constructive role of the market in delivering its strategy in terms of fuel mix, efficient energy production and cost reductions and also in terms of the European Union-wide market for emissions trading.


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