As the cost of energy increases, experts said today that Britain could follow German cities in turning off the hot water and central heating in public buildings and not lighting monuments at night.
About 200 historic landmarks and government structures, including the cathedral, the Old Palace, and Charlottenburg Palace, have been completely darkened in Berlin for the night as the city turns off spotlights to conserve electricity.
Hanover has turned off the lights in museums, turned off the hot water to public buildings, swimming pools, and gyms, and allowed fountains to run dry. In municipal buildings, mobile air conditioners and fan heaters are no longer permitted. From October to March, heating is permitted, but only to a maximum room temperature of 20C (68F).
Street lighting is now being dimmed in other cities, including Weimar, where it will start an hour later, Mainz, where it will be cut in half, and Augsburg, where some traffic lights may be turned off.
The mayor of Hannover stated that a 15% reduction in energy use was necessary due to a “imminent gas shortage.” As part of Vladimir Putin’s effort to end European support for Ukraine, Gazprom, the state-run gas supplier for Russia, has stopped supplying gas through the Nord Stream 1 pipeline. It reduced flow by two-fifths in June, and this week it was reduced to 20% of capacity.
Germans have been warned of significant increases in their energy costs as Russia’s effort to “weaponize” gas bites. Experts also noted that UK businesses are under tremendous pressure as British families also experience crippling price increases.
If Britain followed Germany’s example on public buildings, Robert Buckley of energy analysts Cornwall Insight said that “at the margin it might make a difference” in terms of winter energy prices.
“We will enter a period where energy prices for businesses could be five, six, or seven times higher than they have ever been. At that point, businesses won’t be able to afford to operate and may even decide not to heat swimming pools or other amenities.”
“So I believe that the Germans benefit from having this discussion, and it is one that we should actually be having more of here,” the speaker continues.
This news comes as the government today unveiled the specifics of its cost-of-living assistance programme, which will save British households more than £60 a month on their energy bills for the duration of the winter.
The funds, which are a part of a package announced in May of this year, will be distributed to about 29 million households over the course of six instalments.
According to the government, households will save £66 in October and November and £67 from December to March on their energy bills.
The news provides the first information about how the £400 assistance announced by the former chancellor Rishi Sunak in May to aid people through the cost of living crisis will be distributed.
The assistance followed predictions that the typical household’s energy costs would increase to £2,800 in October, along with more focused initiatives for the worst-off households.
However, since then, the predictions have become even more dire. According to consultancy BFY, costs could reach £3,420 annually starting in October before increasing further in January.
The national fuel poverty charity National Energy Action (NEA), according to Maureen Fildes, is receiving numerous complaints from the public about prepayment and credit metres.
She said this morning on BBC Radio 4’s Today programme, “There is a lot of fear about how people are going to survive the winter.”
Prepayment customers will receive monthly vouchers as part of the £400 discount, according to Ms. Fildes, but she warned that this could cause issues.
She urged people to check that their supplier’s contact information is current and to pay attention to any correspondence they receive from their supplier.
She responded, “I don’t think that is going to be sufficient to help people cope with the cost of living this winter,” when asked if she thought the government’s measures would be sufficient to assist people given the kind of rises that were anticipated.
People across the nation are understandably concerned about the global rise in energy costs and the pressure this is placing on regular bills, according to Business and Energy Secretary Kwasi Kwarteng.
“While no government can control the price of gas on a global scale, we have a responsibility to act where we can, and this substantial £400 discount on energy bills we’re providing will go some way to helping millions of families over the colder months,” the statement reads.
Domestic electricity customers who pay with a standard credit card, debit card, or direct debit will have their energy costs automatically deducted from their bills.
Customers with traditional prepayment metres will receive Energy Bill discount vouchers in the first week of every month via email, post, or SMS text.
The discount, according to Chancellor Nadhim Zahawi, is “part of our £37 billion of help for households,” which includes providing $1,200 in direct assistance to 8 million of the most vulnerable households to help with living expenses.
The announcement follows comments made by MoneySavingExpert founder Martin Lewis, a champion of consumers, that the Prime Minister and potential Tory leadership candidates Liz Truss and Rishi Sunak needed to come up with a package to assist consumers.
He warned that decisions on support cannot be postponed until Boris Johnson’s successor takes office because the ‘zombie government’, as he called it, is failing to address the crisis brought on by rising energy prices.
Prior to the energy price cap increasing to £3,500 or more in October, according to Mr. Lewis, homeowners will begin receiving notices of higher bills.
According to official figures, 3.16 million homes live in fuel poverty, according to Caroline Flint, head of the Committee on Fuel Poverty.
The former Labour MP said this morning on BBC Radio 4’s Today programme: “But those data were before these price increases came, and there are a number of organisations – National Energy Action and others – who are projecting it might treble that or perhaps more.”
According to Ms. Flint, the government should establish a winter fuel poverty plan that actively monitors the situation on the ground and determines whether more financial assistance is required.
I believe every effort must be made to stop individuals from turning off their heaters, she continued. These days, electricity providers hardly ever, if ever, cut off customers.
One of our committee’s concerns is that those who are worried about their bills and who won’t be able to afford it despite the assistance they are receiving would purposefully choose not to turn on their heating.
It happens after the organisation in charge of maintaining grid stability warned that Britain’s electrical supply would become intermittent this winter.
The Electricity System Operator (ESO) anticipated that margins might get much tighter near the end of the year, but it is confident that it will be able to keep the lights on.
In a report released ahead of winter, it stated, “Our operational modelling shows that there could be some tight periods this winter, which are most likely to occur in the first part of December.”
When electricity demand peaks, the grid must ensure that it has enough generators ready to operate. In order to handle any brief surges in demand, it is necessary to keep a margin over the anticipated level.
An “Electricity Margin Notice” will be sent out by the ESO if the margin drops below a specified threshold (EMN). This signals to generators that additional power is required.
The ESO warned that in order to maintain a steady supply this winter, it might be necessary to use the EMNs.
If these times do arise, “we may need to employ our usual operational tools to manage them,” the statement noted, “which, for example, may involve issuing EMNs.”
“We anticipate that there will be adequate capacity available to respond to these market signals and satisfy consumer demand.”
The paper states that compared to other European nations, Britain is less dependent on Russian gas.
However, the paper stated that “it is evident that the suspension of shipments of gas into Europe might have knock-on implications, including very high prices.”
In collaboration with the Government, the ESO made sure that four coal power plants remained operational and that a fifth is currently under construction.
Additionally, it is “exploring ideas” to provide incentives for energy users to use less during peak hours.
According to the ESO’s model, Britain ought to be able to keep the lights on throughout the winter.
But this winter is probably going to be difficult. The Nord Stream 1 pipeline, which transports Russian gas to Europe, is currently barely operating at 20% of its potential capacity.
Since February, when Russia began a full-scale invasion of Ukraine, fewer Russians are travelling to Europe.
Some people are now concerned about whether there will be enough gas this winter. Gas supplies are a major source of electricity in the UK, therefore any significant disruption to gas supplies could affect the availability of electricity.
However, the ESO’s model makes the assumption that “normal market circumstances” exist, that fuel supplies to power plants are not interrupted, and that the UK may purchase electricity from Europe as needed.
“As this research demonstrates, the UK’s safe and diverse energy sources will guarantee that homes, businesses, and industry can be assured they can have the power and gas they need,” the Department for Business, Energy, and Industrial Strategy stated.
The second-largest LNG (liquid natural gas) port infrastructure in Europe, access to our own North Sea gas deposits, imports from trustworthy partners like Norway, and a gas supply supported by strong legal commitments all put Britain in a fortunate position.
We have one of the most dependable and diverse energy systems in the world, and unlike Europe, we are not dependent on Russian energy imports, thanks to a tremendous £90 billion investment in clean energy over the past ten years.