A new report by EnAppSys has found that the UK has hit a record low share of fossil fuel generation in the months from July to September.
EnAppSys is a company that translates complex market data into easily understood results and information. It also produces market-leading market monitoring products that are used by power stations and suppliers to track on-going changes in the market.
Their GB Electricity Market Summary demonstrated that the share from fossil fuel generation has dropped to 41 per cent in the last three months, the lowest it has ever been on record.
This is a major shift for Great Britain, in the third quarter of 2010 total fossil fuel power was 74 per cent and in the third quarter of 2014 it was 57 per cent.
Not only has fossil fuel generation decreased over the years, the use of renewable energy, although declined from the second quarter of 2018, has increased since 2010.
In the third quarter of 2010, renewables were only generating 5.5TWh of electricity. This number has more than tripled in the last eight years and now accounts for 18.2TWh of electricity generation.
Paul Verrill, director of EnAppSys, said: “With coal out of favour within the GB power market, carbon price rises do not have much impact upon fossil fuel projects except to push the cost of generation up. This makes these schemes less favourable than other projects with low (fixed) fuel costs, such as renewables and nuclear, which will be earning income above levels that would otherwise have been expected. These projects should see a significant boost in the short and medium term.”
The report also highlights that gas remains the highest contributor to electricity generation with 38.1 per cent coming from gas-fired plants in the third quarter of 2018.