Jan 2 2006
Energy economists are predicting the price of energy to soar in the UK during 2006 with anything from 10% to 25% price rises likely over the next 12 months.
Individual consumer bills could rise by as much as £200.00 with at least £100.00 for the average consumer. The rising energy bills are a double whammy; bills have already risen over the past 2 years up to 40%.
Despite the deregulation of the UK energy market, which saw at first fierce competition and price falls to the consumer, consolidation and lack of competition in the wholesale market has led to large price rises in recent years. During 2006 energy suppliers are expected to act in unison and raise prices all together; they are unlikely to let their margins be squeezed by wholesalers. Ironically, some of the major energy utilities have announced record profits at the same time as announcing record price hikes. It seems the relative lack of competition in the wholesale market is good for all energy supplies but bad news for consumers. And all this at a time when there is no actual shortage of energy, gas and oil.
Weather forecasters are also predicting a big freeze winter in Britain for 2006, perhaps the severest winter for more than 10 years is in store. The weather can only add to the price shock. Demand will increase at a time when prices are already rapidly inflating. It seems the only choice the consumer has is to either use less energy or pay up. Paying less is only viable if the home is made more energy efficient, there is no point freezing to death to save money.
Rooftherm (www.rooftherm.co.uk) are recommending that every householder conducts an insulation audit to help save on heating bills. A well insulated, energy efficient home will use less energy to heat, saving money now and for the longer term. Investing in energy efficiency will produce a quicker pay back than ever before. Most householders know that insulating the ceiling from the loft makes good sense. But in most homes up to 70% of the heat lost is through the roof. Often overlooked but by the far the best way to save heat escaping from the home is by insulating the roof with polyurethane spray foam. This will archive far better savings than insulating with conventional products like mineral wool.
Foam insulation is superior to any other insulation product with the best thermal transfer resistance. It can be easily retro fitted into tight rafter spaces of just 100 mm or less. The pay back will be quicker than ever as energy bills continue to escalate.