£1.7bn Bulb Bailout - Privatise Profits and Socialise the costs

[Brigade77]

When all this shoit'e kicked off after Dear Maggie sold our essential energy utitility Co's down the river . . . I actually found it amusing that I found myself buying my gas off of an electricity generating Co' & my electricity off of a gas producer . . . . !

I have been in an almost constant state of bewilderment ever since that period of our recent political history.

Today, I enjoy the false sense of smugness that comes from the prospect of my winter heating bill being subsidised by my yearly tax contributions . . . .

Thank God that non of this nonsense has yet to hit our water bills . . . .


P.S. "Don't tell Sid".

 

[SirGalahad]

You are correct, I will admit I didn't look at it that way.

Before this collapse the owners of Bulb were looking for a buyer - so why does it have to go into special administration. It's the only way to preserve some value - watch bulb be picked up at a song.

To quote.

"So if the government is standing behind Bulb (by funding its special administration) then it will bear the mismatch between wholesale prices and the energy price cap on Bulb customers. Other suppliers of last resort (SOLRs) should cry foul if the government is willing to bear the mismatch on Bulb's customers but not the mismatch on other SOLR rescues.

SOLRs are not compensated for the mismatch between wholesale prices and the energy price cap on customers they are obliged to take over as SOLR. The price cap is fixed until April. They have to bear this, in addition to any mismatch regarding their existing customers. (So how long before SOLRs also collapse?).

These mismatches cannot be hedged since there is no market equivalent of the energy price cap.

As I say, SOLRs should cry foul if the government is not willing to fund the mismatch on their SOLR rescues."

Someone is getting the Government to stand the costs so they can pick up a bargain.

 

[sxturbo]

We'll just have to wait and see what pans out.

I know octopus wanted to take over bulb UK, but I think they were hoping something like this would happen so they can swoop in and buy it out once things have settled

 

[Notch7]

Having privatised energy companies seems crackers to me - they don’t own infrastructure, so it’s just an admin office.

they are just commodity players - playing a guessing game of “what do you reckon the wholesale price of energy will be in 6 months time” and the other side is: “what sneaky game can we play to entice customers in and the fleece them”

 

[Notch7]

I remember the days when you got yer gas from British Gas and yer leccy from South East Electricity, prices were what they were.

and life was simple.

 

[blup]

Show me a 10ft paywall, I’ll show you a 12ft ladder.

https://12ft.io/

If you have a problem with denying the FT their dues, then you have other problems which are well beyond the realms of known psychiatry.

LOL. A company I worked with copied an image to it's website, said image was copyrighted by a well known image provider. With 24 hours they had a solicitors letter and had to pay damages for its use. Be careful what you wish for.

Blup