market stabilisation charge

  • Business supply and services

    The first month of the EGL against a backdrop of falling wholesale prices

    The end of January means the end of the first month of the Electricity Generator Levy (EGL). First announced as part of the Autumn 2022 budget, the EGL places a 45% tax on generation receipts above £75/MWh for non-Contracts for Difference (CfD) renewable and nuclear generators until March 2028. In...

  • Home supply and services

    With wholesale prices falling, how many domestic customers are looking for better prices?

    In anticipation of supply contracts being offered below the Energy Price Guarantee (EPG), what might happen to customer switching rates? In this week’s 'Chart of the week', we look at how many domestic consumers might be ready to switch when suppliers increasingly offer contracts below the price cap supported level,...

  • Power and gas networks

    How much impact does the MSC have now?

    As prices in the market remain volatile, a recent drop in the price of wholesale gas has caused the Market Stabilisation Charge (MSC) to be triggered. The MSC was introduced in April 2022 as a short-term intervention in an unstable market, designed to protect suppliers that have hedged in advance...

  • Home supply and services

    The default tariff cap: More questions than answers?

    Throughout the recent period of wholesale and supply market volatility, the government and Ofgem have remained committed to the default tariff cap and continued to highlight its benefits to customers in protecting them from rising energy prices this winter. However, Cornwall Insight’s forecast of the default tariff cap for Summer...