Media

PowerUK interview 2006

18th December 2006 media

Dominic Maclaire interviews Dieter Helm for PowerUK magazine.

At the heart of the so-called Austrian school of economic theory, that has underpinned energy liberalization, is the concept that the market and alert
entrepreneurs will be more effective at adapting to changing conditions than any central planner. And the market can often surprise and have unintended
consequences. For instance, an unanticipated outcome of the 'dash for gas' in the 1990s was the large fall in carbon dioxide emissions from the power sector. This has now enabled the current UK government to take the moral high ground on global climate change talks despite the fact that under Labour carbon emissions have been steadily rising. Although rising gas prices have played a part, Labour's own actions have also contributed viz the gas plant moratorium and new power trading arrangements. Add on top of that the stagnation of the energy retail market, the sloth-like growth in renewable generation and the rise in fuel poverty and it looks like Labour has got it badly wrong on energy. Although the will seems to be there its latest energy review is promising much but setting out very little detail on how to achieve it. Dr Dominic Maclaine asked Dr Dieter Helm what he thinks Labour can do to balance its newfound love of markets with its need for control.

FULL ARTICLE BELOW

• PowerUK_181206.pdf (102.4 KB)