People may be encouraged to compare electricity prices following an expert's observation that a connection between the UK and Dutch grids will "increase competition among suppliers".
Nick Winser, executive director of the National Grid, made the statement after the BritNed cable - which is 260 km long and runs under the sea from Kent to Rotterdam - went live.
"Overall, this should be of benefit to business and consumers," he said, adding that generators will be given more opportunities from European markets.
The move comes after a proposed shake-up of Britain's power industry by Ofgem, which described it as "failing" customers.
Secretary of state for energy and climate change Chris Huhne observed that the 1,000 MW connection would allow the UK to obtain cheap imports when demand is high, rather than the expensive practice of storing supplies in readiness.
He added that there are plans to have enough cables for ten GW of extra power by 2020.
Posted by Richard Eden
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