Britain Grid Operator Secures Extra Power for Evening Peak After Paying Record Prices

Great Britain’s grid operator is expected to pay about £10 million on Wednesday to secure enough electricity to meet demand, The Guardian reported. The National Energy System Operator cancelled a margin notice issued late Tuesday after agreeing to pay £1,400 per megawatt-hour for 1.7 gigawatts of imported power from the continent.

Neso had warned Tuesday evening that an extra 1,900 megawatts would be needed to stay within normal safety margins on Wednesday evening.

A handful of gas power plants received nearly £4 million on Tuesday to generate for a few hours. The £1,400 price is nearly 20 times the average electricity market price in June last year. Neso is paying more than four times the usual daily average to balance the system.

A Neso spokesperson said the situation stems from extremely high temperatures affecting Great Britain and the continent, and low wind. The spokesperson added that electricity supply is not at risk and the margin notice does not mean a blackout is imminent. Demand is expected to climb between 7pm and 10pm as households use fans and air conditioning.

The UK broke its all-time June temperature record with 35.7°C recorded in Surrey. An area of high pressure has trapped heat across the region, slowed wind speeds and cut renewable output. Lower output at some French nuclear plants has also occurred because high river water temperatures hinder reactor cooling.

Electricity prices have risen sharply across European markets in recent days. Neso manages the energy systems in England, Scotland and Wales.