The UK’s dependence on energy imports and “lack of control” in supply are the reasons behind the rising energy prices in the nation.
That’s the view of Matt Smith (pictured), author of The Daily Distillation at Schneider Electric and one of the panel members at the Energy Live 2013 conference.
He told ELN: “Energy security is so important and that’s just something the UK doesn’t have – depleting reserves in the North Sea, more reliance on Norway and more reliance on LNG imports. There’s just a lack of control there in terms of supply and that’s why prices are at the mercy of others and not at the mercy of what we can price them at.”
Mr Smith added shale gas could be something the UK has to pursue to increase its energy security.
When asked about what is right or wrong for the UK energy market, Mr Smith said: “I think when you talk about market madness and the market being broken, I think from a trading perspective and from a wholesale price it is working because there’s the supply and demand, there’s the buyers and sellers involved.
“However, from a retail perspective it seems completely nuts to me from an outsider’s perspective coming across from the US just in terms of the lack of transparency that is involved in the marketplace.”