Commentaries

Political opportunism and energy policy: windfall taxes, arm-twisting and their effects on investmen

3rd March 2008 commentary

The British government prides itself on creating a stable, competitive energy market, and advocates the same for Europe. Indeed, so convinced is it of the superiority of this model that it argues that even nuclear power developers can rely on its transparency, predictability and stability so that they can invest on a commercial basis. In particular, they can be secure in the knowledge that there will be independent regulation and a long-term price of carbon.