A large number of factories in the UK might be forced to close down due to likely surge in power prices in late autumn and winter.

The country is likely to face acute power shortage since many power stations would be undergoing repairs and coal-fired plants being closed for installation of pollution control equipments during winter. This has caused big surge in power prices much ahead of winter.

The price warning came from the Energy Intensive Users’ Group, a representative body of the factories which consume more gas and electricity. The Group’s director Jeremy Nicholson informed that increase in base-load prices was huge and prices almost doubled compared to what they were last year. This pushed up costs at a time when sales in many sectors were falling sharply.

Jeremy did not rule out possibility of suspension pf operations by the factories to save money. In addition, he added, factories were more apprehensive about power supply conditions on account of scheduled maintenance of power plants in the country during winter.

Jeremy stated that despite of current downward trend in energy prices on world commodity markets, it would take few months for the benefits to reach customers.

British Energy, the major supplier of power in the UK, declared that 2 of its nuclear reactors at Heysham and Hartlepool were likely to restart only in 2009 while four others would start functioning in 2008.