Following my slightly bizarre habit of reproducing newspaper articles relating to energy, here's an edited version of one in today's Times…
Under the headline
Green energy tariffs: how Brexit puts yours at risk
Green energy tariffs from leading suppliers such as British Gas could be at risk because of Brexit.
Many companies that sell “green energy” in the UK do not actually produce all of it themselves but instead buy certificates from renewable energy sources, which allow them to market their tariffs as green.
British Gas is by far the biggest UK buyer of certificates from the EU, paying for more than 20 million in the 2019-20 financial year with sources including a wood-burning power station in Sweden, a solar farm in Spain and biomass plants in Finland.
But the trade in certificates is not covered by the Brexit agreement and European energy suppliers have been banned from buying Regos from British companies since January 1. The government is now considering a reciprocal ban on UK suppliers buying certificates from the EU.
This could force British Gas to either spend millions investing in green energy at home or to stop marketing some of its domestic tariffs as environmentally friendly.
Juliet Davenport, the chief executive of Good Energy, said the government was right to review the market in certificates. “The practice of bulk-buying cheap certificates allows many energy suppliers to avoid paying environmental levies at home, leaving the rest of the market to pick up the tab,” she said.
“This needs to be the start of a wider crackdown on greenwashing and greater transparency around green tariffs.”