Soaring UK energy bills to hit in 2006

Ironic that deregulation of the energy market is now leading to record prices increases. Not only are prices for things like gas up by 40% in the last 2 years but blow me, the big utilities are planning major price hikes in 2006 by up to 25%! And get this; the retail energy supply industry has announced record profits at the same time as hiking prices to unheard of levels! Deregulation works to lower or hike prices and line the pockets of whom?!

Everyone is blaming the energy wholesalers who apparently do not feel any competitive pressure to lower prices even though there is no actual shortage of energy. Gas and oil are relatively plentiful on the wholesale market. The retailers of energy feel they have had enough and are not going to let their margins be squeezed any further by the wholesalers. They are without exception plan to pass on any wholesale energy price increases back onto the consumer.

Weather forecasters might also get it right this year; this could be Britain’s coldest winter for 10 years. So everyone will want their heating on full blast to keep up with the cold but be paying through the nose for the privilege. So what can we all do? The choices are 1) use less energy to keep to the household’s present energy budget or 2) pay up and go without something else. Option 1 might mean we go cold but we might not have to if we convert our houses to be much more energy efficient.

Well, the foolish thing would be to use less energy and freeze to death rather than spend the money, that’s what the big utilities are banking on to main their record profit run. But assuming you don’t want to pay up you could always try making your home more energy efficient. For big and immediate gains, do an insulation audit as part of your using less energy strategy. A well insulated property will need less energy to heat to a comfortable temperature. We all know that heat rises and that that we should have insulation above the top ceilings, usually mineral wool rolled out in the loft. But did you know that up to 70% of the heat can escape through the roof? Mineral wool cannot be used here due to condensation problems nor would it stay put easily. The best insulator is in fact polyurethane spray foam which can be sprayed in. It is the best commercially available thermal insulator, you don’t need much to get a major benefit in heat insulation.

So, I advise, don’t freeze and don’t pay more than you do now for energy, simply use less energy by having a better insulated home. Polyurethane spray foam applied to the roof either against the felt or tiles will pay back relatively quickly given the large rises in energy prices coming our way. You’ll practically be able to heat your home with just a match after you’ve had foam insulation!

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