An overhaul of the UK's cheap energy industry is likely to mean an increase in prices for households and businesses.
This is according to Rowena Mason, who in an article for the Telegraph said a package of subsidies announced by the government this week could raise utility bills by up to 30 per cent.
The measures include fixing the price of cheap electricity for nuclear and wind energy generators so that energy suppliers are guaranteed to sell their power for a certain amount.
Payment for back-up power plants to be made available could also be introduced, as this might prevent problems with intermittent supply from wind farms.
Steve Radley, director of policy at manufacturers' organisation the EEF, told the newspaper: "These reforms come at a significant price for UK manufacturers, including those who want to invest in low-carbon technologies.
"The government's own impact assessment shows the carbon price reforms will damage competitiveness for more than a decade but it offers no solutions that will mitigate it," he added.
Meanwhile, David Cameron has described Britain's cheap electricity generating capacity as being "clapped-out".
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