REMA is a major review into Britain’s electricity market design, set to ensure cost benefits of cheaper energy trickle down to consumers in the long term.
- Major review into Britain’s electricity market design launched by UK government to radically enhance energy security and cut costs of electricity for consumers in the long term
- proposals out for initial consultation include exploring changes to the wholesale electricity market that would stop volatile gas prices setting the price of electricity produced by much cheaper renewables
- coupled with immediate action to help people with higher energy bills this year, the government continues to be on the side of British energy consumers short and long term
The Review of Electricity Market Arrangements (REMA) will seek views on a wide range of options to address the combined challenges of responding to higher global energy costs, the need to further boost energy security and move the UK to a cleaner energy system.
Some of the changes being consulted on include:
- introducing incentives for consumers to draw energy from the grid at cheaper rates when demand is low or it’s particularly sunny and windy, saving households money with cheaper rates
- reforming the capacity market so that it increases the participation of low carbon flexibility technologies, such as electricity storage, that enable a cleaner, lower cost system
- de-coupling costly global fossil fuel prices from electricity produced by cheaper renewables, a step to help ensure consumers are seeing cheaper prices as a result of lower-cost clean energy sources