Ripple wind and proposed revenue cap

[nowty]

Prompted by someone on a facebook group, I watched on iPlayer the BBC Parliament Channel tonight, Alan Whitehead (Shadow Climate Change Minister) at 7:47pm to 7:49pm ask a question regarding distinguishing between types of generating companies so that Co-op / Community type companies are not caught up in requests for payments.

For what its worth, the government minister said it was their intention to do this.

[Oldgreybeard]

That sounds like common sense, not something I'd expect from the chaotic state of our government at the moment.

There really needs to be a root and branch reform of the way generators earn revenue, though. Right now we seem to have a multitude of schemes, none of which seem able to cope fairly with the challenges thrown up by the current energy crisis.

[Joeboy]

Prompted by someone on a facebook group, I watched on iPlayer the BBC Parliament Channel tonight, Alan Whitehead (Shadow Climate Change Minister) at 7:47pm to 7:49pm ask a question regarding distinguishing between types of generating companies so that Co-op / Community type companies are not caught up in requests for payments.

For what its worth, the government minister said it was their intention to do this.

That is good to know.

[Tinbum]

Note the word intention.

It doesn't say they are going to do it.

To quote;

'He also asked about the definition of electricity generators, including community groups, and the appropriateness of that. The affirmative procedure will be used for the first regulations precisely to allow us to define that, understand that and ensure that we are targeting the organisations we wish to target and excluding those we do not.'

Doesn't say which.

[Mr Gus]

needs ratcheting down as a definitive bullseye on seeing it through to the "enshrining in law" rather than as it stands with about as much straight aim as the bargain basement stock in the hands of the russian artillery.

[Tinbum]

Politicians are great at saying stuff that doesn't actually mean anything at all

Oh and also leaves a get out clause!!

[nowty]

Politicians are great at saying stuff that doesn't actually mean anything at all

Oh and also leaves a get out clause!!

I agree its not 100% watertight, and I'm a little uneasy of Sarah's (Ripple CEO) tweets inferring that they will be exempt but even she was careful with her wording. It will be interesting to see if Project 3 comes out with an additional paragraph in the Share Offer Risk section akin to "Government / Regulator Interference".

For WT1, you could argue a distinction between the Welsh Government's shareholding which funds fuel poverty and the shareholding of private investors.

For WT2, its even less clear cut as the whole thing is being put into a special Purpose Vehicle (SPV) with a mixture of commercial interests, private shareholders and investment debt. But the government just sees the SPV.

if its too difficult to distinguish, .............................................

[Mr Gus]

Keep plugging away at MP's ...we are not climate wrecking fossil fuel burners, instead a small pounds & pence investment collective, ..money is needed to invest in these schemes, dont treat us as flies to be swatted who actually contribute towards keeping the lights on, reducing our personal carbon footprint etc...

All small businesses, families & individuals ought have encoragement via protected co-operative schemes to get on board, not treated as the enemy, lest we all adopt a Fcukit mentality & give up (giving up could mean fighting future govt measures too due to sheer exasperation at govt ineptitude, ..not jsimply giving up in a docile manner)

Letters just to say, "if i could, I would" are valuable even not ae a current scheme investor, ..that govt is being pissed away as a one off, they could have done better, & they need to) ..we ought be able to buy watts in windfarms as easily as we can lottery tickets!

..Revenue & energy security, what sort of govt wing-nut quashes that without it blowing up in their faces?

[nowty]

One of my renewable investment trusts "GCP Infrastructure", has today announced a provision for the energy cap. This is the first one I have seen but I'm sure others will follow.

https://www.ii.co.uk/news/net-asset-val ... 05_4550148
"The Company believes it is prudent to provision for future government intervention on renewable energy generation profits, and price volatility, by assuming a price cap of £150 / MWh for a two-year period from 2023 to 2024 and thereafter a 25% downward adjustment to the power price futures curve in the period until September 2025."

If worse case it did affect Ripple WT1 for example, 15p / kWh minus say 3p / kWh for operating expenses gives 12p / kWh of bill saving which equals the latest cheapslot price on Octopus Go.

Whether the cheapslot price of Octopus Go could remain that low after the government price cap ends in April, I don't know.