Electricity Generation: Costs

Department for Business, Energy and Industrial Strategy written question – answered on 22nd February 2017.

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Photo of Callum McCaig Callum McCaig Shadow SNP Westminster Group Leader (Energy and Climate Change)

To ask the Secretary of State for Business, Energy and Industrial Strategy, pursuant to the Answer of 11 January 2017 to Question 58726, on wind power, whether the costs associated with electricity generation that make up each Strike Price comparator in the BEIS Electricity Generation Cost report are based on Frontier Economics' research into whole system impacts; and what plans he has to publish that research.

Photo of Jesse Norman Jesse Norman Parliamentary Under-Secretary (Department for Business, Energy and Industrial Strategy)

The Electricity Generation Costs report focuses on estimates of the levelised costs of electricity generation. These levelised costs cover the total capital and operating costs accruing to the owner/operator of a generation asset.

To improve the Department’s understanding of the impacts of individual electricity generation technologies, Frontier Economics were commissioned to develop a comprehensive framework to define whole system impacts and their components and drivers, which can be applied to a range of electricity generation technologies. The resulting methodology report and its peer reviews will be published in due course.

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