Industry

UK Industry

The energy industry fuels the UK economy like a living heart, delivering energy to every corner of the country, supporting industry, business and homes with a constant and reliable source of power.

the UK has invested heavily in technology and expertise which have been major influences in cutting emissions from the energy sector by 57% (on 1990 levels)2 . However, this is only the beginning of the energy sector’s transformation as the UK forges ahead towards its goal of reducing carbon emissions by 80% on 1990 levels by 2050.

UK government energy policy aims to play a key role in limiting greenhouse gas emissions, whilst meeting energy demand. Shifting availabilities of resources and development of technologies also change the country’s energy mix through changes in costs. In 2018, the United Kingdom was ranked 6th in the World on the Environmental Performance Index,[13] which measures how well a country carries through environmental policy.

Performance in the sector is largely driven by the supply and demand for worldwide energy. Oil and gas producers will do very well during times of high oil and gas prices, but will earn less when the value of the commodity drops. Oil refiners, on the other hand, benefit from the falling cost of feedstock to produce petroleum products like gasoline when crude oil prices drop. Furthermore, this sector is sensitive to political events, which historically have driven changes in the price of oil. The price of oil is directly corelated to the price of electricity and gas.
The energy market is rapidly changing and traditional sources of energy supply are becoming decentralised thanks to advancements in technology and new competitive environments. Renewable and localised energy sources are now enabling businesses to take control of their energy, manage risks more effectively and maximise the opportunities from their energy assets.
Have you ever wondered how the electricity you use gets to where it needs to be ?
Electricity is made at a generating station by huge generators. Generating stations can use wind, coal, natural gas, or water.

The current is sent through transformers to increase the voltage to push the power long distances. The electrical charge goes through high-voltage transmission lines that stretch across the country via the National Grid at 275,000 or 400,000 volts It reaches a regional distribution at a substation, known as a grid supply point where the voltage is lowered to 132,000 volts where it can be sent on smaller power lines. The voltage is reduced again to 33,000 volts and then to 11,000 volts as it is disseminated to further sub stations via overhead lines. The distribution network then carries electricity to individual cities, towns and villages through out the UK powering business from Falkirk to Falmouth.

Gas Production & Delivery

North Sea gas has provided Britain with a regular and plentiful supply since the mid–late 1960s when the first discoveries were made up to 50 km offshore in the southern North Sea. However, UK supplies from the North and Irish seas peaked in 1999, since when production has fallen by around half.

Declining production rates resulted in the UK becoming a net importer of gas in 2004 and peak production during the winter months is no longer sufficient. By 2015 production will have dropped by two-thirds and the UK will be importing around 70 per cent of its requirements, rising to an estimated 80–90 per cent by 2020 (National Grid, 2007; DTI, 2006a).

Gas Storage

The UK is in need of increased gas storage volumes to smooth out sudden demands in supply during, for example, cold spells or if daily supplies are lost due to technical difficulties or other reasons.

Storage also has economic importance in that gas does not have to be bought during the main winter periods or at times of high demand when it is more

Mains gas is the natural gas that is distributed to buildings through a pipeline infrastructure. In the UK, While the gas itself is owned by individual gas suppliers, all gas passes through the National Grid’s transmission system on its route to end users. As the owner and operator of the UK’s gas transmission infrastructure, the National Grid work with the gas suppliers to ensure delivery.

The main elements involved in mains gas

Production and Importation

Gas is extracted from offshore fields in the North and Irish seas. It is also imported from other countries as liquefied natural gas (LNG).

Transmission

Reception terminals receive gasfrom producers, which is then supplied to the national transmission system after quality

Distribution

Gas is transported in the distribution networks.

Supply

Gas is delivered to the end user through a pipe owned by the local distribution network.