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Wind Power Saves UK Consumers £104 Billion Since 2010
28 Oct
Summary
- Wind power has cut £104 billion from UK energy costs since 2010
- Consumers saved £133.3 billion due to lower gas prices from wind generation
- UK paid £43.2 billion in green subsidies over the same period
According to a recent study, wind power has delivered substantial financial benefits to UK consumers, cutting energy costs by £104 billion since 2010. The research, conducted by University College London, found that the surge in renewable energy generation across Europe has lowered demand for gas and, consequently, gas prices. This has resulted in electricity companies needing to build fewer costly new gas-fired power stations.
The study reveals that from 2010 to 2023, energy from wind farms has led to electricity bills being £14.2 billion lower than they would have been if gas had been used to generate the same amount of power. However, the reduction in the cost of gas that can be attributed to wind generation, due to the cut in demand and not needing to build new infrastructure, was much greater at £133.3 billion.
Over the same period, consumers paid about £43.2 billion in green subsidies, levied on electricity bills rather than gas bills. The net result was a reduction of £104.3 billion in UK energy bills over the 13-year period, according to the researchers.
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The study's lead author, Colm O'Shea, a former hedge fund manager and now a master's student at UCL, said: "Far from being a financial burden, this study demonstrates how wind generation has consistently delivered substantial financial benefits to the UK."
