United Kingdom: Oil, Gas & Electricity

As AI-driven demand pushes data center power needs beyond the limits of aging grids, behind-the-meter generation is emerging as a route to faster and more reliable supply. However, BTM solutions bring their own financing, regulatory, and technology risks, from stranded asset exposure and lender concerns over power supply interruption to licensing uncertainty and storage challenges.

The UK government has proposed sweeping reforms to decouple electricity prices from volatile gas markets, introducing a voluntary Wholesale Contract for Difference scheme and increasing the Electricity Generator Levy from 45% to 55%. These measures aim to provide revenue certainty for renewable generators whilst protecting consumers from gas-driven price spikes that currently influence wholesale electricity costs approximately 60% of the time.

The UK government has released its Reformed National Pricing delivery plan, marking one of the most significant structural reforms to the GB electricity market in recent years. This comprehensive reform package introduces new mechanisms for strategic spatial planning, constraints management, and balancing arrangements that will fundamentally reshape how energy projects are sited, connected, and remunerated across Great Britain.

Cambridge-based battery technology firm Nyobolt has achieved unicorn status following their Series C funding round, developing ultra-fast charging batteries that can recharge electric...

The Court of Appeal has refused an extension of time to appeal the Luton Airport DCO judicial review, marking the first enforcement of the Government's new shorter appeal deadlines for NSIP challenges.

The Upper Tribunal's decision in Putney Power Limited clarifies a critical question in UK tax law: when does a company actually begin trading versus merely preparing to trade? This distinction carries significant consequences for Enterprise Investment Scheme relief and other tax benefits, as the court rejected rigid legal tests in favor of a nuanced, fact-specific analysis of each company's activities and circumstances.

After an 18-month period of consultation and review, Ofgem intends to publish its initial decision on the award of a cap and floor (C&F) for long-duration electricity storage (LDES) in Spring 2026.

The UK government has announced a significant policy shift aimed at reducing the influence of volatile gas prices on electricity costs. Through a combination of an increased Electricity Generator Levy and a new voluntary Wholesale Contract for Difference scheme, the government seeks to provide consumers with more stable energy prices while maintaining the existing wholesale market structure.

The opening months of 2026 have brought unprecedented disruption to global markets, from Middle East conflict closing the Strait of Hormuz to Supreme Court challenges on US tariffs and an explosive acceleration in AI investment.