MCS Charitable Foundation – Hydrogen Costs

MCS Charitable Foundation (“MCS”) in its charity goal of decarbonising homes, heat and energy has commissioned us to calculate the costs of blue and green hydrogen, based on current and projected gas prices.

This report sets out our methodology for this forecast, and our findings in terms of delivered prices for green and blue hydrogen.

Related thinking

Business supply and services

Improvements for microbusinesses in the market begin to take effect

Before energy prices began to really soar, in March this year we saw the final package of reforms following the Microbusiness Strategic Review from Ofgem. The outcome of the review was to introduce changes to supplier licence conditions that would improve how microbusinesses are treated in the market. The new...

Regulation and policy

Energy Price Guarantee to end in April

I was not surprised by the announcement from the Chancellor today (17/10) regarding the shortened time period in which the domestic Energy Price Guarantee (EPG) will apply, for all the reasons discussed in our report -  Energy Price Guarantee - Counting the Cost - and my accompanying blog. Our report...

Regulation and policy

Government to consult on the introduction of Cost-Plus-Revenue Limit

The government issued its Energy Prices Bill on 12 October. The bill will put in law a number of the already-announced mechanisms that will be used to support households and businesses this winter including the Energy Price Guarantee and the Energy Bill Relief Scheme. Also announced alongside this is the...

Energy storage and flexibility

From zero to hero: Can CfDs split markets and reduce costs this winter?

Given media comment on the imposition of a revenue cap for low carbon generators instead of migration of existing projects onto a CfD, please find below a blog published by Cornwall Insight three weeks ago. Not only did this note the possibility of the revenue cap being a fall back...

Regulation and policy

New customer support schemes will need very careful management

1 October 2022, marked a momentous day for the British retail energy markets, indeed for the nation as a whole. On that Saturday the Energy Price Guarantee (EPG) commenced for household customers and the Energy Bill Reduction Scheme (EBRS) for businesses. Not since March 1990 have ministers had so much...

Regulation and policy

One-hit wonder? Assessing the government’s business support scheme

Subsidising the unprecedented cost of energy for both households and businesses came in at the forefront of the Chancellor of the Exchequer, Kwasi Kwarteng’s “mini-budget” last Friday. Described as “one of the biggest interventions ever made”, Kwarteng confirmed a three-step plan. Firstly, as announced on 8 September, the introduction of...

Energy storage and flexibility

Electricity network reform: where are we now?

In its Energy Security Strategy (ESS), the UK government set out ambitions for 95% of electricity to be sourced from low carbon generation by 2030 and for the UK to have a fully decarbonised electricity system by 2035. In order to accommodate this ambition, the electricity network will need to...

Energy Market Design

How does REMA impact energy generation, flexibility and consumers?

The Review of Electricity Market Arrangements (REMA) is the largest review programme of GB electricity market arrangements for a generation. It comes at a time when European energy markets are suffering extreme turmoil. Depending on the outcome there could be significant implications for generators, flexibility providers, and, indirectly, consumers. REMA...