Today has seen the confirmation of increased energy industry charges which are set to hit business invoices this Spring. Stephen Evans, Industry Costing Manager at npower Business Solutions, comments:
“The final Transmission Network Use of System (TNUoS) rates for the next charging year, starting this April, have been published by the National Energy System Operator (NESO). While these are very much in line with what we expected, the reality for businesses is that they will see their TNUoS rates increasing by over 60% year-on-year.
“In addition, gas network rates for the first year of the new RIIO-3 regulatory period were published, and these follow a similar trend – broadly unchanged from draft rates but still a significant increase from right now.
“While this concludes a tumultuous 14 months of uncertainty for network rates, the UK government was clear that its Clean Power 2030 ambition would require enormous electricity transmission network investment.
“However, there is no getting away from the fact that the transition will have a major financial impact on businesses.
“Our latest Business Energy Tracker revealed that increasing non-commodity costs are a major concern. While many businesses understand that they will need to bear some of the costs for the low-carbon transition, many disagree, believing that the number of charges and levies that they are expected to pay are unfair. As a result, they are calling for more government support to help them offset or reduce the impact of these costs.
“We would urge anyone who is concerned to join our webinar on Wednesday 4 February at 10:00amwhere we will outline what these increased costs mean for businesses as well as as steps they can take to mitigate some of the risk.”
