Home Business News Centrica chief warns ‘the market suggests’ high gas prices will continue ‘for the next 18 months to two years’

Centrica chief warns ‘the market suggests’ high gas prices will continue ‘for the next 18 months to two years’

by LLB Finance Reporter
12th Jan 22 9:03 am

Centrica has warned their consumers that the “market suggests” that high gas prices will continue “for the next 18 months to two years.”

Centrica chief executive Chris O’Shea told the BBC, “As we move towards net zero, gas is a big transition fuel.

“And so as you turn off coal-fired power stations in other countries, there isn’t an abundance of gas that you can just turn on quickly.”

He added, “I’m not sure an increase in UK supply would have brought the price down from £3 a therm, as it was in December, from 50p as it was a year ago.

“We bring gas in from the United States, from Norway, from Europe, from Qatar, from other places.

“So we’re not in a position to simply have the UK as an isolated energy market. We are part of a global market.”

Industry leaders warned that a taxpayer backed support package for businesses who use intensive amounts of energy and that are hit with high gas prices will be nothing more than a “flimsy sticking plaster.”

The Prime Minister is backing Kwasi Kwarteng’s plan for state loans to firms who are threatened with closure this winter.

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