Winter coal contracts expected to cost up to £420m

Coal generators are expected to be paid up to £420 million to remain available over the coming winter in case fuel supplies to gas generators are disrupted, National Grid Electricity System Operator (ESO) has revealed. In response to Russia’s invasion of Ukraine and the resulting gas crisis, the ESO has so far agreed contingency contracts with four coal units stay open beyond their previously scheduled closure this autumn, and is still in discussions to secure a fifth unit.

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