Closure of Ironbridge power station sparks electricity cuts fears
The decision to switch-off Shropshire's Ironbridge power station is contributing to fears that there could soon be power cuts.
The country's ability to meet its energy needs is being affected by the move to a low carbon economy, which is seeing the closure of older power stations, such as the one at Ironbridge.
The site, which is run by power giant E.ON, will close before the end of the year, although the company is still unable to give an exact date.
Other sites set for closure are Eggborough in North Yorkshire, Longannet in Fife, and Ferrybridge in West Yorkshire.
The four, which are due to close by next April, produce nearly 7 per cent of the UK's power generating capacity.
This week National Grid is due to publish figures showing that spare capacity will be perilously close to zero this winter.
Four years ago spare capacity was 17 per cent.
And when power stations such as Ironbridge do close, the country will have even less spare capacity and could struggle to generate enough power for the winter of 2016/17.
Work on two new nuclear power stations at Hinkley Point C in Somerset has yet to begin. National Grid said it was prepared to buy in reserves from Holland and France, but even then the margin of capacity over demand would be very small.
Peter Atherton, energy analyst and managing director of investment bank Jefferies, said the closure of coal-fired power stations would take 5.5 gigawatts out of the grid.
"There is very little capacity under construction so, though the grid can buy in reserves, the prima facie evidence suggests that the following winter the capacity margin will be negative – which means demand will outstrip supply." This could lead to widespread blackouts for the first time since the early 1970s.
Energy Secretary Amber Rudd is expected to outline her long-awaited plans for the industry next month.
A spokesman for the Department of Energy and Climate Change said: 'While fossil fuels have a role to play in meeting our energy demands, evidence shows that coal as a percentage of total generation has fallen from 40 per cent in 2012 to 29 per cent in 2014.
"This reflects the fact that a number of coal-fired power stations have closed in recent years ."