U.K. Set for 2.5 Billion-Pound Power Bill to Keep Lights On

U.K. utilities will today for the first time bid for government payments to keep their power plants open and avoid blackouts.

Companies from EON SE to Electricite de France SA will compete to secure contracts to deliver power from the winter of 2018, with 25 percent more capacity on offer than is being sought. While payments may be as high as 3.65 billion pounds ($5.7 billion) under the terms of the auction, Timera Energy, a London-based consultant, expects the bill to be 1.5 billion to 2.5 billion pounds.