Green circular gradient

Understanding energy

From boiling a kettle to heating our homes, energy is a crucial part of our daily lives.

Energy is the driving force behind everything we do

POWER

KILOWATT (KW)

A kilowatt (KW) is a unit of power that equals 1000 watts. It measures the rate of energy conversion. If a device is rated at 1KW, it means that the device can convert 1 kilowatt of electrical energy into another form of energy (like heat or motion) in one hour.
Illustration of a lightbulb using 0.1kw and a kettle using 1.5kw of power

ENERGY

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KILOWATT HOUR (KWH)

One of the key units of energy is the kilowatt-hour (kWh), which is the amount of energy consumed when a 1-kilowatt device runs for an hour. For instance, if a 1500-watt kettle runs for 15 minutes, it uses 0.375 kWh of energy.

Clock icon. = 2hrs of use

Average household energy usage

The average UK household uses about 3,100 kWh of electricity and 12,000 kWh of gas per year for heating.

Energy produced at home or in commercial settings can be sold back to the grid, helping to balance supply and demand, and potentially earning the producer some income.

Solar panels in a field with a blue sky above

The switch to
renewable energy

Renewable energy comes from sources that are naturally replenished, such as sunlight, wind, and water. Unlike fossil fuels, which are finite and contribute to climate change, renewable energy sources are clean and unlimited.

For example – we will eventually run out of gas, coal, or oil, as there is only a limited amount of it on earth. On the other hand, sunlight is renewed each day, and the tides come and go regularly. This means that energy sources like this are constantly replenished.

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Why should we care?

Renewable energy questions

How is energy measured?
One of the key units of energy is the kilowatt-hour (kWh), which is the amount of energy consumed when a 1-kilowatt device runs for an hour. For instance, if a 1500-watt kettle runs for 15 minutes, it uses 0.375 kWh of energy.
A kilowatt (KW) is a unit of power that equals 1000 watts. It measures the rate of energy conversion. If a device is rated at 1 KW, it means that the device can convert 1 kilowatt of electrical energy into another form of energy (like heat or motion) in one hour.
In terms of home energy consumption, the average UK household uses about 3,100 kWh of electricity and 12,000 kWh of gas per year for heating. Energy produced at home or in commercial settings can be sold back to the grid, helping to balance supply and demand, and potentially earning the producer some income.
Fossil fuels, including coal, oil, and natural gas, currently make up a significant portion of the world’s energy mix. However, they are finite resources and their extraction and use result in significant carbon emissions, contributing to climate change. On the other hand, renewable energy sources like wind, solar, and hydro power, don’t run out, and produce little to no emissions. They are a sustainable and environmentally friendly alternative to fossil fuels.
Fossil fuels usually place a large stress on the environment, requiring the large-scale extraction of minerals and significant water consumption. Renewable energy typically has a much smaller land footprint and doesn’t require the destruction of habitats seen in mining and drilling extraction operations.

Understanding energy and the role of renewable resources is crucial in today’s world. The Welsh Government is aiming for all our energy needs to be met by renewable energy by 2035. Find out more about renewable energy technologies.

While the upfront cost of some renewable energy systems is significant, over time, renewables become much cheaper due to the lack of fuel costs over time, and lower maintenance demands. As manufacturing processes have developed and we have scaled up production, costs of producing renewable energy have dropped significantly. According to the renewables research organisation IRENA, solar energy has dropped in price globally by 89% between 2010 and 2022, with offshore and onshore wind dropping by 69% and 59% respectively.

The UN now states that renewable energy is the cheapest form of energy globally, with investment in renewable saving $55,000,000 globally in energy costs. It was reported in 2024 that investment in solar energy in Spain has reduced their energy costs to €2/MWh, around 1/30th of what we currently pay in Wales (March 2024).

In the United Kingdom, the way that the wholesale energy market works is based around marginal pricing – meaning that the cost of all electricity is determined by the cost of the most expensive generation needed to meet demand at any given time. This is usually set by gas or oil, even on days with ample renewable energy generation, meaning that the consumer pays more.