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The big chill PDF Print E-mail
Written by Telegraph   
Friday, 29 July 2005
Manufacturers are warning the DTI that Britain may run out of gas this winter. Sylvia Pfeifer examines why they are so concerned

It may have been glorious summer in Whitehall last Wednesday, but when a bunch of manufacturers met Malcolm Wicks, the energy minister, they were all bellyaching about what the coming winter will do to their companies.

The businessmen, led by Kevin Farrell, the chairman of the Energy Intensive Users Group, that represents industries such as glass and steel, had come to warn Wicks that soaring wholesale gas prices could force members to shut down their operations this winter. And that Britain could run out of gas if there was a particularly acute cold snap.

"It was an urgent meeting", says Jeremy Nicholson, the director of the lobby group. "The pricing environment has deteriorated rapidly in recent months and we need to act before the next round of energy supply contracts are agreed in October."

Industry's main concerns are twofold, Nicholson says. Soaring gas prices are undermining the competitiveness of British manufacturers compared with European rivals and ensuring that Britain has enough gas to maintain supply during a cold winter.

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Complete article Telegraph
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