The energy minnow that threw the UK’s back-up power subsidy scheme into disarray is also challenging the government’s proposed changes to the rules, threatening a judicial review. Tempus Energy unleashed chaos on UK power markets in November by winning a ruling from the European Court of Justice that the UK’s £1bn capacity market — which pays power stations to provide back-up power — was illegal state aid and payments must be suspended. Late last month the government opened a consultation on changes to the scheme while it seeks state aid approval, but Tempus, a relatively small, independent company, said the government should adopt the European court’s findings more fully or risk having to redesign the system. In an open letter Sara Bell, its chief executive, urged the government to “start being honest with investors and parliament”. Tempus’s challenge to the scheme argues that it unfairly favours fossil fuel companies and creates perverse, environmentally damaging outcomes.
Times 6th Jan 2019 read more »