The UK's principal business to business(B2B)power suppliers-bar British Energy(the nuclear generator)-have little to no wholesale volumes of generated power to sell to B2B buyers.EOF Energy,E.ON Energy and RWE npower chiefly use power generation assets to provide a structural hedge to the more stable customer base of residential and small and medium enterprise(SME)customers.Scottish and Southern Energy(SSE)and ScottishPower do have an excess of power generation,but British Energy is the only supplier that can be classified as asset-heavy in supplying major energy user(MEU)buyers.As a result,the vast majority of contracts are provided on the basis of a price that is determined by the wholesale forward price quoted on that day,plus supplier costs and margin.
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