The introduction of competition means that electricity suppliers can supply any consumers, anywhere in the country.

Under the terms of the New Electricity Trading Arrangements (NETA), suppliers now have to announce the demand levels they require for every hour of every day

If demand forecasts are inaccurate, suppliers are penalised. The penalty for over- or under-estimation results in having to buy additional power at inflated rates, or sell surpluses at deflated prices. In either case the penalties can be significant.

Temperature is a primary driver for estimating consumer demand for electricity from heating or air-conditioning. Additionally, rainfall and cloud cover predictions help estimate illumination, while wind speed and direction is useful in determining wind-chill and psychological effects.

The Met Office provides specific services to help predict these drivers.

To discuss the range of services and prices in detail please contact our Customer Centre and ask for Energy sales or e-mail us at energy@metoffice.gov.uk.