Powerisk reported last week about the acquisition of Saltend by International Power. Power Generetaion is on the increase with a 1.4% increase last year, but this is behind world growth in generation. Investors and traders have to be careful though as UK demand is growing at a lower rate that its world counterparts. So as power is difficult to export it is fair that the growth has for the first time in many years started to rise in line with demand. The main worry for producers are the environmental pressures and the lack of clear government policy. The large combustion plant directive is currently under pressure from RWE who have sited that due to a lack of decision making they have been forced to put FGD on Aberthaw, now before they get fined in 2008. With a new power plant being developed at pembroke and Milford Haven this would have been a marinal decision and they would have not ruled out converting it to gas like Powergen are rumoured to be looking at Drakelow.