The Government has extended a further £100m lifeline to the struggling energy industry as it attempts to stave off a wave of bankruptcies. The cost of the loan will trickle down to household bills in spring 2021, after the money is paid back by the suppliers. The Department for Business told suppliers on Thursday that it would extend a £100m loan to cover some of the costs of lower energy demand, according to a document seen by The Telegraph. As power consumption drops due to lockdown measures, generators such as power plants and wind farms must be paid for the excess electricity they have produced. These costs were set to rise, but the Government has intervened, saying it will cover some of those payments for the second quarter of 2020, providing cash-strapped electricity suppliers with breathing space.
Telegraph 6th June 2020 read more »