More than half of the world’s population lives under an energy system that its advocates say can tackle fuel poverty, improve crumbling housing stock and reduce energy demand. And to cap it off – when properly designed – it would not cost the taxpayer anything.
The so-called rising block tariff or national energy guarantee system (NEG) are almost unknown in Europe but operate successfully in many other countries and regions – from Japan, South Korea and China to Bangladesh, India and California.
I would worry that such a scheme would discourage technologies like heat pumps and EVs. We want people to use electricity more because it’s cleaner than the alternatives and only getting cleaner.
The fuel crisis triggered by the Ukraine invasion is over. Prices have stabilised (Look at the 5y chart). The swift pivot away from cheap Russian gas still leaves prices raised, but we’re back at the higher end of the normal fluctuation range pre-invasion. The “energy crisis” isnt a good reason to do something like this now.