<ul data-eligibleForWebStory="false"><li>The UK government has decided to abandon the 'zonal pricing' plan for electricity, opting for a single national price instead.</li><li>The zonal pricing system would have meant different areas paying different rates based on local supply and demand, with the aim of incentivizing relocation of heavy electricity users.</li><li>After a lengthy consultation since 2022, the energy department confirmed the abandonment of zonal pricing, stating that a national pricing system would be fairer, more affordable, and efficient.</li><li>The decision has ended a dispute within the industry, with supporters and opponents of zonal pricing presenting their arguments based on market efficiency, costs, and the UK's carbon-free power sector goals.</li></ul>

UK government abandons energy ‘zonal pricing’ plan

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