NW firms hit amid gas supply crunch

NEARLY 100 factories in the North West and Midlands have had their gas supplies cut off to protect domestic supplies amid unprecedented demand, it has emerged.

National Grid confirmed that 94 industrial customers yesterday had their supplies interrupted as first signs emerged that the UK’s power infrastructure is creaking under soaring demand during the cold snap.

The businesses affected are those which have signed up to interruptible contracts, which allow National Grid to make such a move in return for cheaper regular supplies of gas. 

The number will drop to 27 today, with 15 North West businesses affected, and 12 in the East Midlands, National Grid said. 

Demand in recent days has been 28% above seasonal norms and is likely to increase further still as temperatures continue to plunge. 

On Monday, National Grid, which operates the transmission networks for both electricity and gas networks, issued its second-ever gas balancing alert, warning increased demand could force large users to cut their consumption.

A spokeswoman for National Grid denied businesses were being rationed, saying: “Demand is at a record level, but the only companies affected are those with interruptible contracts, which are entirely voluntary commercial agreements.

“If a business wishes to maintain its supplies it can, but may have to pay a contractual penalty.”

The spokeswoman said demand for gas yesterday was a record 456 million cubic metres.

Roger Salmone, energy adviser to the industrial group EEF said action needed to be taken to address the issue of energy supply: “The longstanding vulnerability in our energy system has been exposed and as a nation we now need to take security of our energy supply more seriously.” 

 

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