UK stuck with a complete lack of energy policy, says INEOS Director

Chemical Industries Association President, Tom Crotty has highlighted that UK companies are paying five times more for energy than their US counterparts

Tom Crotty, President of the Chemical Industries Association (CIA) has voiced strong criticism regarding the absence of a clear energy policy in the UK.

Speaking at the Chemical Industries Association annual dinner at the Grosvenor House Hotel, Tom Crotty of INEOS said: “Why are we in the UK stuck with a complete lack of energy policy?

“How irresponsible is that? The rest of the world is encouraging local oil and gas production, while we destroy ours through high North Sea taxes and disincentives, making us totally reliant on overseas supplies and losing billions in potential revenue.”

Highlighting the impact on the UK’s energy independence, Mr Crotty used INEOS’ management of the Forties Pipeline System in the North Sea as an example.

Mr Crotty noted a 40% decline in oil flows through the system, emphasising the growing dependence on imported oil and gas.

The Director of INEOS added: “It puts UK consumers at the mercy of foreign producers and causes massive volatility in prices, pushing yet more people into fuel poverty.

“To give you a feel for the impact of this, if you look at yesterday’s energy prices, UK gas was priced at $14.6 (£11.6)/mmBtu while the US was at $3.1 (£2.4)/mmBtu that’s a five times multiple.

“Electricity was €111 (£97.1)/MWh in the UK but only €20 (£17.5) in the US, a 5.5 times multiple. On top of that, we have a carbon price at €79 (£69.1)/t.”

Energy Live News has contacted the Department for Energy Security and Net Zero for comment.

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