UK power market licence changes ‘no silver bullet’

Ofgem hopes moves will boost liquidity for small suppliers

Power plant
Smaller traders are letting off steam about poor liquidity

New licence conditions introduced by the UK Office of Gas and Electricity Markets (Ofgem) should help smaller suppliers access the power market, but are “no silver bullet” for improving liquidity, say market participants.

“It's a bit early to say how things will end up and Ofgem is doing all it can, but if there are still the same players trading in the market, it's not going to change,” says one power trader at a UK-based utility.

On March 31, new 'secure and promote' licence conditions were in

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