Chemical Industry Threatens To Exit Britain Over Green Energy Costs

High energy costs have emerged as the top concern of British chemical and pharmaceutical companies, according to the sector’s main trade association. Green policies such as the introduction of a carbon price floor – designed to encourage low-carbon forms of electricity generation, including nuclear power – have also hit the industry. Last November, the government offered compensation to heavy energy users to mitigate the effects of the carbon price floor and the EU emissions trading system on electricity costs. But the Chemical Industries Association said it was not enough.“They’ve got to shield the industry, or it will just go elsewhere,” said Alan Eastwood, the association’s economics adviser. --Guy Chazan, Financial Times, 1 May 2012[Registration Required]