You will, no doubt, have seen many media reports around fracking and wondered what the fuss is all about. Fracking (or hydraulic fracturing) is the mechanism by which sand, water and chemicals are pumped into the ground in order to fracture rocks and thereby release the shale gas contained within.
So far so good… but why go to all that trouble? Well, we live in an economic climate of rising fuel prices, and some people feel that this resulting shale gas could be the answer to the UK’s energy needs. A recent report indicated over half of the UK could be viable for fracking – 1,300 trillion cubic feet of shale gas in the north of England alone. Put simply, shale gas could be the new North Sea Gas, for the 21st Century. (more…)
The decorations are long down, the once shimmering Christmas tree now consigned, rather ignominiously, to the Christmas tree graveyard in the local dump.
And rather like clearing out the decorations, these often quieter, early months of the year also provide the perfect opportunity to clear the desk, de-populate the in-tray, and start to think a little more strategically about the year ahead. Yes, your business will have targets – you will need customers, and will need to make money. However, you might also be able to make savings (and essentially, thereby, make money) from the other end of your business – the running of the operation itself. So here’s one very simple idea that may have a great impact in terms of the logistics and economies of running your business: Contact Business Gas.com, make a business gas comparison, and start saving money as soon as possible. (more…)
In a plot reminiscent of a James Bond film, in late December 2013 the British government announced the construction of a massive new oil pipeline across Europe.
The geopolitical narrative that underlies this development is, of course, the diminishing resources of gas in Europe, and the reliance many countries now have on Russia. Russia holds the supplies, controls the pipelines, and to continue our Ian Fleming analogy, has the power therefore, to turn the taps on or off, controlling supply…. And therefore pricing.
The response, announced by William Hague (Britain’s Foreign Secretary) is, however, rather less shadowy and convoluted. Essentially it’s this: if you won’t let us play with your pipeline, we’ll build our own… and bypass you. The continent, it is felt, has been too reliant on Russia, and this new pipeline will create an alternative route and thereby stabilise energy supply. However, it’s a rather more expensive version of playground realpolitik, as this pipeline is set to cost approaching £30 billion, and runs not through the infants’ sandpit, but from the Caspian Sea via Greece, Turkey, Bulgaria and Italy.
Just when you thought it was safe to come out from under the duvet, news reaches us of yet more potential rises in gas prices. This, of course, is not welcome festive news for the thousands of companies who need to factor business energy usage into their bottom line. Well, here at Business Gas.com, we might not be able to get you an Xmas card in time; however, we will always do what we can to reduce the impact of such rises by scouring the market for the best energy deal for you and your business.
Here’s the latest problem: think back to the tail end of last winter, to March 2013, when we thought the worst of the weather was over. Well, rather like Australia’s confident batting display, it turned out the tail end could pack a mighty punch. I personally found myself in what was called a ‘once in a thousand year’ storm on the Western Isles of Scotland, witnessing collapsed power lines and stranded cattle. That extreme weather led to the shutdown of two main UK pipelines. And in an unfortunate game of economy dominos, that had the consequent effect of doubling gas prices.
Things have, of course, settled back down since then, but now we find the winter of 2013-2014 fast approaches. And the issue now is a lack of storage, leaving the UK vulnerable, especially if supply is disrupted by now macro-economically crucial countries such as Russia. Here in Britain we store our gas in huge tanks, but Germany has five times our capacity. Put simply, Germany has 70 days of gas reserves, should supply dry up. The UK has 13. If we experience another savage winter or sudden cold snap, and supplies again diminish and run low, the economic pressures of supply and demand would entail that the cost of gas would soar. (more…)
Fracking’ has been in the news a great deal recently. Developed in the US, fracking is the process of hydraulically extracting shale gas – a natural energy source. In a culture of diminishing natural energy resources that might, at first, be seen to be a good thing. However, it is the process itself that is controversial. A mix of chemicals and water are plunged at high speed into the shale rock, in order to break it up or ‘frac’ture it, and thereby release the gas contained within.
Resulting environmental impact issues have been varied – from minor earth tremors attributed to fracking in the area, to contamination to the water supply (one infamous American documentary appeared to show “flammable” water, which could be ignited like gas). Such events have naturally set the interests of the environmental lobby against those of big business, concerned more with the fracking rights to areas of the US, and now the UK. Environmentalists have pitched camps in affected areas, whilst fracking companies have been at pains to assure local people and businesses that the process will have no adverse effects.