The gap between demand for energy and the supply of power is widening far quicker than anticipated and will have a "significant impact" on industry and consumers, a new report has warned.
Energy intensive industries could be forced to shut down their operations at peak times, costing industry billions of pounds, it has been claimed.
LogicaCMG, which provides business services to energy firms, said demand for energy could exceed supply by as much as 23% at peak times by 2015.
The report also warned that power cuts would be just as likely in the summer as the winter because more homes and offices will have air conditioning to cope with the hotter weather.
It added that building nuclear power stations would not solve the problem because they cannot be built in time to close the gap between supply and demand.
Kieron Brennan, managing director of LogicaCMG's energy and utilities business, said: "Action needs to be taken now to reduce the energy gap. We are not trying to scaremonger but our job is to provide guidance to the businesses we work with and help them understand and manage their future energy requirements.
"We all need to use energy more efficiently and the Government will have to take steps to resolve this issue. If this doesn't happen, it is almost certain that the power will go off and businesses will lose money."
The report warned that power cuts could cost big firms millions of pounds a year, which would be "clearly unsustainable."
The report called for an urgent review of planning laws on energy storage and construction of new facilities.
