Gas standing charges are still going up (now around £100 per year), but if we want to save energy, we should abolish them. People are switching away from gas and as a result, we're using MORE gas, and SLOWING heat pump installations.
1/
@itvMLshow @RichardJMurphy #energybills
@itvMLshow @RichardJMurphy How so?
I'll answer:
When someone replaces a boiler with a heat pump, what's left, is often a gas hob. At current prices (and despite high gas unit prices), the standing charge works out at 80-90% of the bill.
So what people do is fit an induction and hob remove the meter.
2/
This means they actually spend MORE on the electricity used than on the gas used (Good. Electricity is higher carbon emissions for heating), and produce more in carbon emissions because each incremental unit of electricity is 100% generated by either gas or goal.
3/
That's right. We're always using the maximum amount of solar, wind and nuclear that we can. Everything extra comes from gas or coal.
It takes 2.5 times as much gas to produce the same heat for an induction hob as it does to just burn the gas.
But, that standing charge...
4/
If the gas standing charge dwarfs the actual consumption, then it is financially better to switch to the LESS efficient option with 2.5 times as much carbon emissions.
That's bonkers, but it gets worse.
5/
Removing the hob and meter, and fitting an electric hob requires both a plumber, and an electrician.
These are exactly the skills we NEED to install heat pumps. Not only does this process result in burning more gas, but it also ties up skills that we need to install heat pumps
6/
The only answer is to reduce or eliminate the gas standing charge.
But what about new build?
Okay, we don't want new gas boilers do we.
How about zero standing charge when consumption is below a low threshold?
Would that work?
7/
If a new build puts in a gas boiler, then they've got a high standing charge, and a heat pump would make more sense. If they still have gas just for cooking, they'll have no standing charge. That'd work.
What if someone has a highly efficient house and a gas boiler?
8/
They too would be an example where swapping gas for electric would be a bad idea. It wouldn't pay off.
So long as their gas usage is low, then it would be fair for them to have no standing charge to avoid encouraging them to switch.
9/
Crazy isn't it. Yet this is what happens time and time again in political party policy groups and government departments. A lack of basic science and economic literacy has people impose systems like this that actively harm our future!

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