eli5 – Why does renewable-generated electricity go up with the cost of non-renewable?

Question

My UK energy provider says my electricity is produced with 100% renewables, so I presume water, wind, solar. So why am I affected by such big increases in electricity charges (price per kWh)?

In: 314

Answer 1

Because electricity is a commodity. It is bought and sold like anything else with a global market. How it is produced is irrelevant.