High energy bills are here to stay

The boss of Norwegian energy giant Equinor has said he does not expect gas and electricity bills to return to the levels they were before Covid.

Anders Opedal told the BBC this was down to the costs of moving from fossil fuels to less damaging energy sources. He said also that windfall taxes on energy firms were affecting investment in projects in the UK. Equinor, like many other energy companies, has reported record profits because of higher gas prices.

The firm, which makes most of its money producing oil and gas, is one of Europe’s biggest energy companies, with operations in 36 countries around the world including the UK. In its most recent financial results, it reported pre-tax profits of $24.3bn (£19.8bn) between July and September compared to $9.7bn in the same period the year before.

Wholesale prices rose as Covid restrictions began to ease but soared higher after Russia invaded Ukraine and countries targeted the Kremlin with sanctions. In recent weeks, in part due to warmer than usual weather across Europe, gas prices have returned to where they were before the Russian invasion of Ukraine.

However, gas and electricity bills for households and businesses remain elevated and are squeezing living costs for many.

Mr Opedal said it was doubtful that gas and electricity bills would return to a time when the typical UK household was paying around £1,300 a year. The typical annual bill for homes is currently around £2,500 which includes help from the UK government.

There is “a kind of re-wiring of the whole energy system in Europe particularly after the gas from Russia was taken away”, Mr Opedal said, adding that huge investment in renewables was needed, including using more hydrogen for example.

“This will require a lot of investment and these investments need to be paid for, so I would assume that the energy bills may slightly be higher than in the past but not as volatile and high as we have today.”

Looking ahead, Mr Opedal said “we need to treat energy as something that is not abundant”.

“I think we have had a lot of cheaper energy in the past and we probably wasted some of it, so we need to make sure we’re making the right investments now [and] everyone [should] use as little energy as possible.”

Mr Opedal spoke to the BBC before attending the World Economic Forum in Davos, Switzerland which is an annual gathering of political and business leaders. The theme of this year’s meeting, which takes place from 16-20 January, is “Cooperation in a fragmented world”.

Mr Opedal took over as chief executive and president of Equinor in November 2020 with a pledge to be “a force” in the shift to green energy. He started his career as a petroleum engineer.

Last year, the UK introduced a windfall tax on energy companies that have benefitted from the spike in prices.

Initially 25%, the so-called Energy Profits Levy will rise to 35% in January and remain in place until March 2028.

The tax applies to profits made from extracting UK oil and gas, but not from other activities such as refining oil and selling petrol and diesel on forecourts.

The scheme also lets firms claim tax savings worth 91p of every £1 invested in fossil fuel extraction in the UK.

Mr Opedal said that while the tax had not impacted Equinor’s investment strategy in the UK: “It is affecting how we judge each project because we have to take into account what is the tax level compared to what are all the other risks.”

He cited the Rosebank oilfield off the coast of Shetland which Equinor is seeking to develop, pending government approval.

Equinor says the field could produce almost 70,000 barrels of oil a day at its peak, accounting for 8% of the UK’s total oil production between 2026 and 2030.

However, environmental campaigners have described the plans as a “total betrayal” of the UK’s climate goals.

Mr Opedal said: “There have been two changes in the tax regime already and we’re thinking about will it even be more going forward? Rosebank is a project that we think is needed in the UK in terms of energy security.”

He added: “Uncertainty about what will the tax level be will be an important part of the decision [to go ahead] because, for instance, now on some of the fields we have invested in we are still not profitable but pay tax already based on the windfall taxes. So this is how we kind of evaluate every project.”

Equinor’s Norwegian operations account for around two thirds of its oil and gas business. The rest of its oil and gas business is spread across 30 countries, with two of its largest operations the Peregrino field in Brazil and the Mariner field off Shetland, which started production in 2019.

The firm also has investments in off-shore wind power. It recently announced plans with Germany’s RWE to develop hydrogen-ready power plants.

The plants will run on gas initially but will eventually be able to transfer to using hydrogen generated by renewable energy.

Right now is a great time to make choices that will save you money on your energy usage, electricity and heating.

An investment in Solar solutions will not only help reduce energy bills, but will allow you to become less reliable on energy suppliers, but at the current energy increase of 54%, you will be guaranteeing a quicker return on your initial solar outlay.

We provide a range of complementary renewable energy technologies like; panels, inverters and storage batteries that can help to secure your energy future and allow you to be at the forefront of home energy technology.

Why not give us a call on 0114 248 4228 to discuss the best options for you, or use our free virtual consultation form to get an intal quote - no pushy sales.

Full article:  https://www.bbc.co.uk/news/business-64270157

Posted on 1st Feb 2023 12:29:30 by surrect.media

Tags: News.

Save trillions? Switching to renewable energy could achive this

A new report from Oxford University says switching from fossil fuels to renewable energy sources could save the world as much as $12tn by 2050. The report said that it was too pessimistic to claim that moving quickly towards cleaner energy sources was expensive.

Rising gas prices have been a concern for some time now. But the researchers say that going green now makes economic sense because of the falling cost of renewables.

“Even if you’re a climate denier, you should be on board with what we’re advocating,” Prof Doyne Farmer from the Institute for New Economic Thinking at the Oxford Martin School told BBC News.

“Our central conclusion is that we should go full speed ahead with the green energy transition because it’s going to save us money,” he said.

- Will new government stick to climate targets?
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The report’s findings are based on an analysis of historic price data for renewables and fossil fuels, which then led researchers to model how these two sources of energy are likely to change in the future.

The data for fossil fuels goes back more than 100 years, and after accounting for inflation, and market volatility, the price hasn’t changed much.

Renewable energy has been around for just a few decades, so there’s less data. However, technological improvements have resulted in rapid cost reductions for solar and wind power—a rate of about 10% per year.

The report’s expectation that the price of renewables will continue to fall is based on data showing that massive investment and economies of scale have made other similar technologies cheaper.

“Our latest research shows scaling-up key green technologies will continue to drive their costs down, and the faster we go, the more we will save,” says Dr Rupert Way, from the Smith School of Enterprise and the Environment.

Wind and solar power are already the cheapest forms of new electricity generation, but the challenge is figuring out how to store that power and balance the grid when there are sudden changes in weather conditions.

Cost of net zero

Back in 2019 Philip Hammond, then Chancellor of the Exchequer wrote to the prime minister to saythat reaching net zero greenhouse gas emissions by 2050 would cost more than £1tn, but a new report contends that this estimate is too high and has discouraged investment in low-carbon technologies.

It also says predictions by the Intergovernmental Panel on Climate Change (IPCC) that the cost of keeping global temperatures rises under 2 degrees would correspond to a loss of GDP by 2050 were too pessimistic. The transition to renewables was, it says, likely to turn out to be a “net economic benefit”.

The research has been published in the journal Joule and is a collaboration between the Institute for New Economic Thinking at the Oxford Martin School, the Oxford Martin Programme on the Post-Carbon Transition, the Smith School of Enterprise & Environment at the University of Oxford, and SoDa Labs at Monash University.

Full article: https://www.bbc.co.uk/news/science-environment-62892013

Posted on 27th Sep 2022 11:59:33 by surrect.media

Tags: News.

Support the Air Ambulance Service

We are delighted to support the Air Ambulance service with a corporate monthly contribution - Social responsibility is a big part of the principles at Navitas and we feel that the work of the Air Ambulance - Derbyshire, Leicestershire, Rutland, Warwickshire and Northamptonshire - deserves our help as well as some promotion for all their extraordinary and unparalleled work.

The Air Ambulance Service flies across the counties of Warwickshire & Northamptonshire, and Derbyshire, Leicestershire & Rutland, covering 3,850 square miles. Reaching a medical emergency in rapid time can be the difference between life and death. That’s where your local Air Ambulance comes in.

Find out more about the work the amazing work the Air Ambulance service does here: https://theairambulanceservice.org.uk/your-local-air-ambulance/ and if you can, please make a donation to this worthy cause use the link below:

https://theairambulanceservice.org.uk/donate/

Posted on 15th Jun 2022 12:36:10 by surrect.media

Tags: News.

No VAT on Solar

The Chancellor Rishi Sunak has just (23/03/2022) announced that the Government will abolish VAT on energy-saving household measures such as solar panels, insulation, and heat pumps over the next five years.

Announcing the measure in his Spring Statement, Chancellor Rishi Sunak said it was “thanks to Brexit” that the changes could be introduced.

Previously, households had to pay five per cent VAT on energy saving materials as long as certain eligibility requirements — set by the EU — were met. In some cases, VAT was charged at a 20 per cent rate.

The VAT slash will mean that a family installing solar panels on their home “will see tax savings worth £1,000 pounds and savings on their energy bill of over £300 per year”, the Chancellor said.

So, we have said it before but there really is ‘no better time to buy solar’ than right now… Invest in Solar -  take control of your energy bills and save money.

We only use the industry’s leading tier one panels ensuring you get the best product for your investment. Smart inverters and battery storage units can provide constant monitoring, giving you fingertip control of your energy.

We can fit Solar solutions anywhere in the country, drop the team a call on 0114 248 4228 or use our completely free, no obligation initial quote by filling in our very quick form! We use your postcode to give you an initial idea of cost and solutions - https://navitas-solar.com/domestic/

Let us make sense of solar for you.

Posted on 24th Mar 2022 08:22:34 by surrect.media

Tags: News.

Higher fuel bills with energy prices rising significantly

In news that will undoubtedly affect the pockets of millions of UK households, it has been announced that the energy price cap has risen as expected (a whopping 54%), and with it will come significant hikes on heating bills.

With the cost of living rising, it’s no surprise that many people will be worried about their heating bills this winter.

Energy prices have risen as expected. The government said it will offer a £350 support package to the majority of households that would otherwise struggle to pay their bills, but the news of rising energy costs will still be difficult for millions of households to swallow.

The regulator Ofgem announced that the ‘average’ bill is set to rise by £350, though individual firms will be able to hike prices by as much as £700

Here’s what energy regulator Ofgem had to say: it’s pretty grim;

“We know this rise will be extremely worrying for many people, especially those who are struggling to make ends meet, and Ofgem will ensure energy companies support their customers in any way they can.

“The energy market has faced a huge challenge due to the unprecedented increase in global gas prices, a once in a 30-year event, and Ofgem’s role as energy regulator is to ensure that, under the price cap, energy companies can only charge a fair price based on the true cost of supplying electricity and gas.”

Right now is a great time to make choices that will save you money on your energy usage, electricity and heating. 

An investment in Solar solutions will not only help reduce energy bills, allow you to become less reliable on energy suppliers, but at the current energy increase of 54%, you will be guaranteeing a quicker return on your initial solar outlay.

We provide a range of complementary renewable energy technologies like; panels, inverters and storage batteries that can help to secure your energy future and allow you to be at the forefront of home energy technology.

Why not give us a call on 0114 248 4228 to discuss the best options for you, or use our free virtual consultation form to get an intal quote - no pushy sales.

Posted on 4th Feb 2022 09:40:30 by surrect.media

Tags: News.

Huge Website Update

Welcome to the long awaited Navitas Solar website update - we have been working really hard over the last few months to bring you the new and improved home for all things solar. 

The new website is packed with information, features and even free downloadable tips.

Whether you need solar panels, batteries or a complete solution, we have all the information you need and if it’s not on here we are always on the end of a phone to help you #MakeSenseOfSolar.

For domestic customers please fill in the simple address form and we can send you over a completely free initial quote—no pushy sales just free friendly advice and quote.

If you have a commercial business or project, have a look at our commercial solar section, send us some of your project’s details via the simple form and will call you back to discuss the project further.

And last but not least the news/resource section, we will be using this section to update customers about new products, latest solar developments and even some new projects. So please make sure you check out this feed and our social media channels for all updates.

Posted on 19th Nov 2021 12:25:45 by surrect.media

Tags: News.