UK-Based Good Energy Secures Exemption from Energy Price Cap

Between July 1 and September 30, 2024, the energy price cap is set at £1,568 per year for a typical household using electricity and gas and paying by direct debit.

Good Energy’s tariffs continue to be exempted from the energy price cap. The regulator has granted Chippenham-based Good Energy an exemption from this price cap due to its commitment to 100% power purchase agreement-backed energy.

Good Energy’s approach, involving long-term contracts with over 2,500 renewable generators across the UK, provides stability against the volatile wholesale market. The company’s model, which relies entirely on renewable sources, has demonstrated that such procurement methods can effectively manage the ups and downs of global energy prices.

The exemption is also attributed to the “imbalance costs” of maintaining a fully renewable portfolio. This flexibility allows Good Energy to incorporate these costs into its tariffs without being constrained by the price cap. Nigel Pocklington, Good Energy’s chief executive, emphasized that this exemption enables the company to better handle operational costs and risks while continuing to support the expansion of renewable energy.

It helps reduce reliance on volatile global gas markets and ensures that tariffs reflect advancements in renewable energy. In addition to the price cap exemption, Good Energy has recently announced a significant partnership with the clean energy cooperative Ripple.

This new deal will allow Good Energy customers to invest in major wind and solar projects, including the Whitelaw Brae Wind Farm in Scotland. Through this partnership, customers will have the opportunity to own a share of these large-scale renewable projects, further supporting the growth of sustainable energy and providing them with additional benefits.

Overall, Good Energy’s exemption from the price cap and its new investment opportunities underscore its ongoing commitment to promoting renewable energy and offering valuable benefits to its customers.

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