RE: Windfall tax24 May 2022 11:20
Hi. My first post here. I came looking to find out why my UKW and TRIG shares fell off a cliff today. Talk about a WIND FALL tax!
Personally, I doubt it will happen. It's not long since Bozo was talking about encouraging wind farms (as long as they're nowhere near nimby Tory voters in the shires who don't want their views spoiled). Then again, this government is making up energy policy on the hoof, when what we really need is a carefully-considered, joined-up, long-term energy policy. (Rant over. Sorry.)
Also, I don't think we've benefitted from higher energy prices nearly as much as the oil/gas companies, as the renewables subsidy regime limits the upside as well as the downside effect of price changes (or so l believe).
And I don't know why solar shares haven't fallen as far as wind, as they've benefitted just as much from higher electricity prices.
Actually, I'm patting myself on the back a little bit as I sold half my UKW shares yesterday near the peak. I was heavily overweight UKW and thought I might diversify into other renewable companies if prices come down a bit. Now I'm wondering whether to jump straight back into UKW at the lower price. Or maybe put some more into TRIG, as I think that was already underpriced relative to other renewables, because its NAV hasn't been updated as recently.
BTW I think this is the FT article Monkshood was referring to:
https://www.ft.com/content/ddbde592-a4e0-465a-9dd2-d6566790403f