Energy’s change in direction heightens risk of underinsurance

By Phoebe Winter, March 23rd 2023

From taking steps to move away from fossil fuels or just trying to keep up with energy demands hindered by the war, the energy market is changing. The need for change has never been more crucial and companies are working faster than ever to adapt.

Looking to the future

Centrica recently announced both the reopening of the Rough gas storage facility and the transformation of a former coal fire power station at Roosecote into one of Europe’s largest battery storages facilities.

Having completed significant upgrades to Rough, providing a gas storage safety cushion over the winter. The long-term aim of the facility is to be capable of storing both natural gas and hydrogen. A step towards greener energy. Similarly with the new battery storage facility at Roosecote.

Czech energy group EPH are also investing in a battery storage project at the site of former Eggborough coal station in the UK. With more than one billion pounds invested into the site, EPH are expected to construct one of the most modern power plants in Europe.

Short term measures

However, fossil fuels are still necessary, resulting in many older fossil fuel plants reopening. The UK government announced it will open the first new coal mine in 30 years and the last remaining coal power plant is to be kept open for another two years. With Germany and France also reopening plants and Poland increasing production. Energan has also just launched Israel’s first crude oil exports.

Whatever the approach taken, with change happening faster than ever, it’s never been more important to ensure that any facilities reopened or redeveloped are insured for the correct sums.

Address underinsurance now

The valuation of oil, gas and power assets is a highly technical and complex skill. Here at Rushton International we have an established and experienced team who have worked with some of the biggest names in the sector.

Our expert knowledge gives clients visibility on their entire business assets, no matter the global location or currency. We have valued a variety of fields in the energy market. Including mines across the Americas, South Africa and Australia, Oil refinery sites in the Middle East and offshore wind farms in the UK, to name just a few.


About Rushton International

Rushton International is an independent and impartial asset valuation and advisory firm. We specialise in the valuation of plant, equipment and buildings for insurance purposes. With our team of qualified and accredited valuers, we have the experience, qualifications and expertise to value any asset, anywhere in the world.

Read more

Contact Us

    Insurance Valuations

    Insurance Valuations

    Rushton International is a tried and trusted name in insurance valuations. Our valuation advice assists clients, risk managers and their brokers to accurately and confidentially set sums insured for the fixed assets in their insurance programme.

    Financial Valuation

    Financial Valuations

    We work with our clients to deliver comprehensive valuation advice for financial reporting purposes. By using our sector experience and market knowledge we are able to assist with the valuation of plant, equipment and other specialised assets in order to estimate fair value for GAAP and IFRS financial reporting purposes.

    Asset Management

    Asset Management

    Rushton International provides asset management solutions that are tailored to our clients’ needs. Our work ranges from asset verification, preparation of computerised asset registers and updating asset registers.

    Rushton News
    ENERGY May 11th 2023

    Rushton at Airmic Conference 2023

    19-21 June, Manchester Central Join us for a drink and a chat at stand 38-39 or for brunch at the Women in business lunch at this year's Airmic conference. Women in business lunch Speaker: Kate Muir, Menopause expert, writer, and producer Date: Monday 19...

    ENERGY October 21st 2022

    Food and drink automation underinsured

    The largest manufacturing sector in the UK, employing over 400,000 people, is suffering from labour shortages. The effect of Brexit and the pandemic, coupled with the drive to increase output, has resulted in food and drink manufacturers turning to robot automation. Robot automation is growing...

    INSURANCE VALUATIONS, NEWS October 12th 2022

    Risk of underinsurance grows with inflation

    Earlier this summer, inflation in the UK reached a 40-year high of 9.4% and as a result many economists predict the UK to have the highest rate of inflation of the G7 nations for the next two years. Many factors have caused the rapid rise, from the ongoing energy crisis and war in Ukraine,...

    INSURANCE VALUATIONS March 23rd 2022

    Why regular revaluations are important

    There are several reasons as to why regular revaluations are essential for any property owner or insurance manager and we have listed the key factors below: Ensuring the Correct Sums Insured remain up to date Ensuring the Correct Sums Insured remain up to date is both a cost consideration...

    ENERGY, NEWS January 27th 2022

    Energy prices and the Construction industry

    Following an unprecedented year of uncertainty due to COVID-19, the construction industry experienced another setback in material shortages during Q4 of 2021 due to a surge in energy prices. The Energy Crisis There have been several factors recorded over the past few months that have...