UK's high energy prices are caused by fossil gas pricing, not renewables - more North Sea drilling won't help
Source: https://www.theguardian.com/profile/georgemonbiot. "UK energy prices are soaring – and propagandists want to sell you a false reason why | George Monbiot | The Guardian." March 13, 2026. www.theguardian.com
The Gist
The author argues that UK's high electricity bills are caused by expensive gas setting the price for all electricity, not by renewable energy which is actually cheap. Drilling more gas in the North Sea won't help because gas prices are set globally and the UK can't produce enough to influence them.
Conclusion
UK's soaring energy prices are caused by fossil gas pricing mechanisms, not renewable energy, and extracting more North Sea gas will not reduce electricity bills
Premises
- Renewable energy (wind and solar) is the cheapest component of UK's energy supply
- UK electricity prices are set by 'marginal cost pricing' where the most expensive source (fossil gas) determines the wholesale price 98% of the time
- Gas prices are set on international markets and dominated by major suppliers like the US, Iran, and Russia - UK production cannot influence these prices
- UK has already extracted most of its North Sea gas reserves, with remaining reserves being expensive and difficult to extract
- Countries like Norway that rely primarily on hydropower (89%) and wind (9%) have much lower electricity costs than the UK
- Green levies account for only 6% of bill increases since the energy crisis, while gas-driven wholesale prices account for 53%
- Gas companies sell UK-extracted gas on international markets at international prices, not at special domestic rates
Assumptions
- The marginal cost pricing system will continue to operate in its current form
- International gas markets will remain volatile and dominated by geopolitical factors
- Media and political claims about renewables causing high prices are made in bad faith rather than from genuine misunderstanding
- Fossil fuel companies and media proprietors are deliberately misleading the public to protect their financial interests