1 December 2006
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Energy gap threatening businesses
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THE energy gap in the UK is widening faster than expected and will have a significant impact on businesses and industry in the future, a new report states.
Claiming that a future energy deficit would be inevitable, the report from computer consultancy LogicaCMG said that the energy gap was 'much larger, much closer and more expensive' than had previously been thought.
Demand for energy is set to exceed supply by 23% at peak times by 2015, according to the LogicaCMG, with costs forecast to soar to £108bn a year. By 2025, demand for energy could outstrip supply by 30%, the findings revealed.
Power cuts are just one likely result of the burgeoning energy gulf, and are now equally likely to occur during the summer as in the winter, the report stated.
'Action needs to be taken now to reduce the energy gap,' warned Kieron Brennan, LogicCMG's managing and utilities director.
Nuclear energy has long been mooted as one solution to the problem of non-renewable fossil fuels, but would not be ready in time to plug the energy gap on the scale that is needed, Mr Brennan said.
While it may become available on the necessary scale for the period beginning in 2020, it would not be ready in time to stem the energy shortfall by 2015.