Thu, 24 Apr 2025

Thu, 24 Apr 2025 Ed Miliband 'considering' regional energy pricing

Ed Miliband says "zonal pricing" or reformed national pricing are the only available options to overhaul the energy market.
Energy Secretary Ed Miliband is considering plans to introduce regional pricing for electricity, which could lead to lower bills in areas with abundant renewable energy production. He denied claims that this would result in higher bills for households in southern England. Some energy companies support the idea, but others have expressed concerns that it will scare off investment and increase costs. If implemented, it would be the biggest reform of the power market since privatization in the 1990s. The plan would involve matching electricity prices to local supply and demand, which could lead to lower bills in areas like Scotland with high wind generation. However, some critics argue that this would unfairly penalize households in other regions. Miliband stated that no decision has been made yet, and that the government is exploring options for reforming energy pricing. He emphasized that his goal is to reduce energy bills across the country, not just in certain areas. The Liberal Democrats have rejected the proposals, warning that they could lead to higher bills and an unfair system. Reform UK leader Nigel Farage also criticized the plans, calling them "a form of bribery" and arguing that cheaper bills would be a payoff for massive infrastructure projects. The Green Party has also called on the government to reject regional pricing, saying it would unfairly penalize households in poverty-stricken areas.
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