Tag: Energy Security and Net Zero Department

The press release issued by the Department for Energy Security and Net Zero on 16 April 2023.

Agreement reached at the Nuclear Energy Forum at the G7 in Sapporo, Japan.

An alliance between the UK, US, Canada, Japan and France, aimed at displacing Putin from the international nuclear energy market, has been announced in Sapporo, Japan today.

The five nations will leverage the respective resources and capabilities of each country’s civil nuclear power sectors to undermine Russia’s grip on supply chains. This agreement will support the stable supply of fuels for the needs of today, as well as guarantee the safe and secure development and deployment of fuels for the advanced reactors of tomorrow.

This agreement will be used as the basis for pushing Putin out of the nuclear fuel market entirely, and doing so as quickly as possible, to cut off another means for him to fund his barbaric attack on Ukraine and fundamentally leave Russia out in the cold.

The agreement will also strengthen our respective nuclear energy sectors, which is key to boosting our domestic energy security and bringing down electricity bills for British families. Nuclear fuel is needed to operate nuclear power stations, that provide around 15% of the UK’s electricity supply with an aim for it to make up 25% of our electricity supply by 2050.

Speaking at the G7 Energy Ministers’ Meeting in Sapporo, Mr Shapps said how this, alongside investment in cleaner, cheaper and more secure renewable energy sources, will be a key part of making the UK energy independent.

Within days of the illegal invasion of Russia, the UK acted immediately to place sanctions on the country’s oil, devastating a lucrative revenue stream for the regime.

Today’s agreement at the Nuclear Energy Forum at the G7 in Sapporo will build on this, acting as a springboard for these five countries to make swift progress, ensuring the secure supply of uranium fuel through the development of shared supply chains that isolate Russia. The Energy Security Secretary wants these countries to come together to address dependencies on Russian fuel as the world turns increasingly to nuclear as a source of low-carbon and secure energy.

Energy Security Secretary Grant Shapps said:

The UK has been at the very heart of global efforts to support Ukraine, defeat Putin and ensure neither him nor anyone like him can ever think they can hold the world to ransom over their energy again.

This is the next vital step, uniting with other countries to show Putin that Russia isn’t welcome anymore, and in shoring up our global energy security by using a reliable international supply of nuclear fuel from safe, secure sources.

But this is one side of the equation – the other is the need to invest in clean, cheap and secure energy sources, and our Powering Up Britain plan will do just that.

We must stop being reliant on expensive and imported fossil fuels and focus on smarter energy solutions. The UK is already a world-leader when it comes to renewables, a fact recognised by the investors I have met in the Republic of Korea and Japan this week.

In flying the flag for UK PLC, I want to be crystal clear that the expertise we have from having the four biggest wind farms off our shores is available to support countries looking to invest in their supplies – something that will benefit them, create green jobs and opportunities at home and boost energy security around the world.

And I want us to work ever-closer together with countries like Republic of Korea and Japan as we invest more in nuclear technologies like Sizewell and Small Modular Reactors, opening up opportunities to invest in the UK and with it, the job opportunities in our local communities.

The UK is already taking proactive steps in this space, including through the Nuclear Fuel Fund which launched in January. It will provide up to £75 million to ensure the UK has the fuel production capabilities needed to support a nuclear renaissance, backing the government’s ambition to secure up to 24GW of nuclear power by 2050.

The UK has many decades of expertise in nuclear fuel production, which plays a vital role in supporting the energy security of the UK fleet and those of international partners.

At the summit, all nations also agreed to accelerating the phase-out of unabated fossil fuels – with a particular focus on coal, by agreeing to work together to stop new unabated coal plants being constructed – a G7 first.

This is backed by new collective targets for the use of offshore wind and solar energy – for the G7 to increase offshore wind capacity by 150GW and solar PV to 1,000 GW by 2030.  The UK will account for a quarter of the offshore wind target, which we are already on track to meet.  In addition, the UK has driven forward progress in the phasing out of petrol and diesel cars in the G7, with the group committing to 50 per cent zero emission vehicle sales in cars and vans by 2050.  The UK is already far ahead of this, having committed to phase out the sales of diesel and petrol cars by 2030, and all major manufacturers have committed to selling 100% ZEVs by 2035.

Together, today’s G7 commitments deal a blow to Russia, demonstrating the international resolve to isolate Putin further internationally.  As more countries move away from fossil fuels and towards renewables, this will cut off a vital income stream for his regime once and for all.  It also means the greater use of cheaper, cleaner and more secure energy sources will boost energy independence, shield the UK and others from volatile international fossil fuel markets and – ultimately – cut the cost of supplying power to homes, and therefore people’s bills.

The G7 comes at the end of a week in which Grant Shapps has been in Republic of Korea and Japan, meeting ministers and potential investors to fly the flag for UK PLC – becoming the first Cabinet Minister to visit those countries since negotiations closed on the UK’s accession to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, of which Japan is a member.

The Energy Security Secretary has also been highlighting how other countries can reap the benefits of the UK’s world-leading action in renewable technologies, hiring UK firms to support their efforts to achieve greater energy security and independence.

This would also create even more green jobs and economic opportunities at home and put the country in prime position to make the most of CPTPP membership.

The UK has cut emissions faster than any other G7 country – and last year were ranked alongside the US as one of the top four most attractive markets for renewable energy investment. Nearly 40 per cent of the UK’s power was generated from renewable sources last year.

The press release issued by the Department for Energy Security and Net Zero on 12 April 2023.

Government expands scheme offering households using alternative fuels £200 in energy bills support.

The press release issued by the Department for Energy Security and Net Zero on 12 April 2023.

Government funding awarded to innovative projects that will capture and store renewable energy for later use.

Cutting edge businesses, in locations including Scotland and Nottingham, are set to benefit from a share of £30 million to be at the forefront of designing and testing innovative technology of the future that will modernise our energy system and store renewable energy for later use.

Capturing and storing energy for use when and where it is needed will play an essential role in powering more of Britain from Britain and increasing the country’s energy security. The funding announced today will support these businesses testing and preparing their technologies to be ready for the energy market, encouraging private investment and creating new jobs across the UK.

The nature of renewables means that on windy, sunny days sometimes more renewable electricity is generated than is needed, such as during extended periods of the sun shining or high winds. Energy storage technology will soak up this excess energy for later use, maximising the use of renewable energy, all while boosting energy security and supplying energy to consumers at a lower cost.

Flexibility from technologies such as electricity storage and smart charging of electric vehicles could save up to £10 billion per year by 2050 by reducing the amount of energy and network needed to create a secure, home-grown energy system. Accelerating the uptake of energy storage technology will also mean National Grid can balance the grid by activating storage systems instead of asking certain power generation technologies to switch off, further reducing costs to the taxpayer.

Minister for Energy Security and Net Zero Graham Stuart said:

Storing energy for longer periods is vital to build a robust and secure energy system and ensure that renewable energy is used efficiently. Fortunately the UK has a wealth of pioneering businesses that are making their mark on this industry.

Today we’re backing three UK businesses to make their projects a reality, which will go on to play a role in our country’s energy security.

The winning projects will now go on to fully deploy and demonstrate their technology; they are:

• Synchrostor, Edinburgh, Scotland, which will receive £9.4 million to build a Pumped Thermal Energy Storage (PTES) grid-connected demonstration plant operating at 1MW, with the ability to charge and discharge for a period of 10 hours, longer than current battery technology
• Invinity Energy (UK) Limited, Scotland, which will receive £11 million to develop and manufacture their 7MW, 30MWh 4-hour Vanadium Flow Battery (VFB), the largest in the UK. Invinity will manufacture the 30 MWh VFB at the Company’s factory in West Lothian, Scotland. The location of the plant will be confirmed in due course; and
• Cheesecake Energy Ltd, Nottingham, which will receive £9.4 million to test their FlexiTanker technology which stores electricity using a combination of thermal and compressed air energy storage and uses a reversible air compression / expansion train to charge and discharge. They will then install pilot units at 2 sites within a microgrid development in Colchester.

This announcement follows the £32.8 million funding awarded to 5 UK energy storage projects across the country in November 2022 to create first-of-a-kind prototypes of their technology. A total of £69 million of funding has been awarded so far through this programme, helping to drive innovative technologies such as energy storage.

Today’s announcement follows the launch of the government’s Powering Up Britain plan, showing how the UK will boost the country’s energy security and independence, create green British jobs and stay at the forefront of the transition to net zero.

The press release issued by the Department for Energy Security and Net Zero on 10 April 2023.

UK and Republic of Korea to collaborate more closely on the development of renewable energy sources and move towards energy independence.

Energy Security Secretary Grant Shapps today joined forces with the Republic of Korea to collaborate ever closer on accelerating the move towards a cleaner, more energy secure future, including renewables and nuclear, while also underlining the vital importance of our international efforts against Putin’s weaponization of global energy markets.

Flying the flag for UK PLC in Seoul, Mr Shapps highlighted the close collaboration already taking place between the two countries – UK companies represent 60 per cent of Korean offshore wind engineering contracts, and Korea is already investing in projects supporting the offshore wind industry in the UK.

He also emphasised the UK’s joint solidarity with the Republic of Korea against Putin’s illegal invasion of Ukraine and urged them to continue work towards energy independence from Russia’s gas supply.

It comes on the first day of a trip taking in the Republic of Korea and Japan in the run-up to the G7 at Sapporo – making Grant Shapps the first Cabinet Minister to visit since the closure of negotiations on the UK’s accession to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) – of which Japan is a member.

He will also encourage the Republic of Korea to join the 168-strong “Powering Past Coal Alliance” and commit to bringing forward its own 2050 coal power phase-out date towards 2030, with support from Britain’s own expertise in offshore wind.

As well as encouraging ever-greater collaboration on offshore wind, the Energy Security Secretary  also agreed a joint statement of cooperation with Dr Lee Chang-Yang – Minister of Trade Industry and Energy in the Republic of Korea on advancing civil nuclear power generation, cementing a partnership spanning over three decades, covering issues including safety standards and regulation, all agreeing the crucial role of nuclear in creating secure, affordable and clean energy.

The visit is aimed at demonstrating the investment opportunities in the UK in the renewable energy sector, and how the UK’s world-leading expertise can help other countries to make the switch from fossil fuels – all at a time when both the Republic of Korea and Japan are looking to expand their use of renewable technologies including offshore wind.

Energy Security Secretary Grant Shapps said:

Putin’s illegal war in Ukraine has held up a mirror to the world, reflecting back just how vulnerable our energy security can be.

Russia’s gas – just like the president himself – belongs in the past.  As we edge closer towards the tipping point when holding onto coal and gas power no longer makes economic sense, let alone environmental sense, there is ever-greater opportunity for British and Korean companies to work together, for the benefit of both countries and our communities.

I want the Republic of Korea to work ever closer with us in the UK, making the most of world-leading British expertise to move further and faster towards greater use of renewables, of opportunities in the UK to invest, and to redouble our efforts against Putin’s weaponizing of our global energy sources.

Grant Shapps’s visit follows the UK Government’s publication of its plan to Power Up Britain, with a multi-billion pound investment in green technologies, unlocking lucrative new international energy deals that will boost the economy, create new green jobs and further boost the UK’s energy security and independence.

The Energy Security Secretary today argued that this move towards renewables, and away from fossil fuels, will further isolate Putin’s Russia, boosting both the energy security of the UK and that of the Republic of Korea.

Already, Korea has a target for 12 GW of offshore wind by 2030 – with over 25 projects in development and UK companies representing 60 per cent of Korean offshore wind engineering projects. The UK has 14 GW of offshore and is targeting 50 GW by 2030 – over a threefold increase.

But Mr Shapps also highlighted the opportunities for the Republic of Korea to invest in the UK.  In particular, he pointed to SeAH Wind’s £512million investment in a new factory on Teesside, manufacturing the foundations for wind turbines to be used offshore – all helped in part by the Government’s Offshore Wind Manufacturing Investment Scheme.

This further investment and closer collaboration would follow over three decades of the UK and the Republic of Korea working together on advancing nuclear power generation, underpinned by the Nuclear Cooperation Agreement made in 1991.

The joint statement of cooperation on energy transition, including civil nuclear energy, focuses on:

• Accelerating plans for civil nuclear – with the UK and the Republic of Korea in united agreement that nuclear energy has an essential role to play in creating secure and affordable energy;
• Agreement on collaborating to promote the highest standards of nuclear safety, regulation, security, safeguards and non-proliferation – setting a global standard; and
• Confirmation of plans to build robust and resilient nuclear supply chains and to share experiences in developing the latest advanced civil nuclear technologies – including small modular reactors
• Reaffirming a shared commitment to accelerate the just transition away from unabated coal power and actively collaborate on expanding renewable energy technologies

This also complements the Powering Up Britain Plan, which includes the creation of Great British Nuclear, which will expand the UK’s nuclear power industry with the aim of serving a quarter of the country’s power through nuclear by 2050.

The press release issued by the Department for Energy Security and Net Zero on 1 April 2023.

New campaign launched today to help organisations save money on their energy bills by improving energy efficiency.

A new campaign to help businesses, charities and public sector bodies increase their energy efficiency and drive down bills by making simple changes at low-to-no cost has been launched by the UK government today.

The campaign, targeted at small and medium sized businesses, will offer guidance on how organisations can make significant savings while cutting emissions, from installing light and heating timers, to turning down boiler flow temperature and changing light bulbs.

Many organisations are already aware of ways to boost their energy efficiency and have put these measures into practice. However, a substantial number of businesses are missing out on huge potential savings, due to a lack of information on how to cut down on their energy costs.

For many companies, a 20% cut in energy costs represents the same bottom-line benefit as a 5% increase in sales. A new website will help organisations access simple, low-to-no cost advice, outlining a range of possible actions, from having better sight of current energy use to upgrading and modifying equipment.

Examples of businesses already benefiting from energy efficiency measures:

• LED lighting allowed a carpark in Bedford to cut their average annual lighting costs by 50%. Lurke Street Multistorey Carpark installed lighting throughout their premises in 2017, replacing older, less energy efficient lighting. By installing a smart meter they were able to actively track and compare year-on-year savings – on average £50,000 per year – allowing them to build business cases for further investments.
• Marlec Engineering, a wind turbine manufacturer in Corby, switched to energy saving lighting as part of a range of measures to make their business premises more energy efficient. The company replaced T8 Fluorescent lamps with new, energy saving LED tubes. The lighting did not reduce light levels in the office and achieved a 60% saving on lighting costs.

To make sure as many businesses as possible know about the campaign, it will be promoted through paid advertorial across TV, radio, social media and more, and we are seeking to promote this through partnerships with the British Chambers of Commerce and Federation of Small Businesses.

It follows the launch of the government’s £18 million ‘It All Adds Up’ campaign last year. This provides similar advice for households, saving them hundreds on their energy bills, and saw UK sales of ‘draught protection products’ on eBay double shortly after the launch.

Minister for Energy Efficiency and Green Finance Lord Callanan said:

Falling wholesale energy prices are welcome news, but this in no way changes our firm, long-term commitments to vastly boost UK energy efficiency across industry and households.

From today businesses, charities and public sector bodies can access helpful and practical advice on simple actions they can take to substantially reduce their energy use – and potentially increase profits.

Not only will this help lower operational costs by up to hundreds of thousands of pounds, but smarter energy use will help us deliver on our critical pledges to cut demand by 15% and reach net zero by 2050.

The new site also offers guidance on taking full advantage of the government’s range of energy support schemes available, such as the new Energy Bills Discount Scheme, which offers a unit discount on bills, and the Boiler Upgrade Scheme, which offers grants to help make installing heat pumps and biomass boilers as cheap as a gas boiler.

Adrian Dennis, Managing Director of Marlec Engineering, said:

Our business works with an absolute focus on sustainable energy solutions. We’ve invested in electric company cars and eco-friendly packaging. But upgrading to LED lighting is low-cost, and one of the simplest ways to promote sustainability in-house and save money on utility bills. We’d encourage other businesses to upgrade as well.

Energy Bills Discount Scheme

From today organisations across the country will start receiving money off their energy bills through the new Energy Bills Discount Scheme. It comes as wholesale gas prices are at levels not seen since before Russia’s illegal invasion of Ukraine, with eligible UK businesses, charities, public sector bodies and others to receive the discount until 31 March 2024.

Customers do not need to apply for the universal discount, with suppliers automatically factoring it into the bills of all eligible non-domestic customers.

The new scheme replaces the Energy Bill Relief Scheme, which by late March had paid out £5.6 billion – around £35 million a day to cut energy costs for businesses.

Minister for Energy Consumers and Affordability Amanda Solloway said:

This government will always be unapologetically pro-business. We’ve spent over £5 billion to protect against disruption to UK industry at the hands of Putin, saving many businesses around half on their wholesale energy costs this winter.

The new level of support offered today reflects a substantial drop in global energy prices – now at their lowest level since before Russia’s illegal invasion of Ukraine.

We will continue to firmly back UK industry and are making sure those unable to cut back on their energy use continue to be shielded.

Dhara Vyas, Deputy CEO at Energy UK, said:

Despite recent falls, wholesale gas prices are still high by historical standards, making this is a difficult time for businesses up and down the country. Energy suppliers are working with businesses to come up with innovative solutions that will help customers afford their bills while providing improved customer service and information. But high prices cannot be solved by industry alone, so we’re pleased government and industry have worked together to ensure delivery of this critical, extended support is on time. We particularly welcome the launch of a business energy campaign will help reduce bills now and protect against future crises.

Meanwhile, eligible energy and trade intensive industries will be able to apply for a higher level of support through a GOV.UK portal later this month. This is expected to save some businesses 20% of predicted wholesale energy costs.

Domestic heat networks will also receive a new, sector-specific support rate. This will make sure these customers do not face disproportionately higher energy bills under the Energy Bills Discount Scheme than those supported by the Energy Price Guarantee.

The discount is expected to be reflected in bills from May onwards, with support backdated to 1 April.

Minister Solloway met with Ofgem, energy suppliers and others earlier this week to discuss what more suppliers can do to help business customers fixed into long-term contracts at high prices – especially those in sectors currently facing challenges.

Non-Standard Cases

The government is today announcing further that non-domestic energy support will be extended and eligibility expanded to include customers receiving energy from non-licensed suppliers through the public electricity or gas grid.

These customers will be able to apply for Non-Standard Cases support under the Energy Bills Discount Scheme covering similar levels of energy costs from 1 April 2023 to 31 March 2024.

Non-Standard Cases support will also be expanded to include non-domestic customers who receive electricity or gas from license-exempt suppliers via private wire or pipe and where prices paid are pegged to wholesale energy prices. This wider group can apply for backdated support under the Energy Bill Relief Scheme as well as under the new Energy Bills Discount Scheme.

Further information about how eligible customers can apply will be provided on GOV.UK in due course.

The press release issued by the Department for Energy Security and Net Zero on 31 March 2023.

UK Government invites bids for next Carbon Capture and Storage clusters and commits to projects that will boost UK energy independence.

The press release issued by the Department for Energy Security and Net Zero on 30 March 2023,

Stakeholders response to the government’s Energy Security Plan, announced by the Energy Security Secretary on Thursday 30 March.

The press release issued by the Department for Energy Security Net Zero on 30 March 2023.

Energy Security Secretary outlines steps to strengthen Britain’s long-term energy security and independence to help deliver clean, prosperous future for the country.

Ambitious plans to scale up affordable, clean, homegrown power and build thriving green industries in Britain have been unveiled by the government today (Thursday 30 March) – boosting the country’s energy security and independence and reducing household bills for the long term and maintaining a world-leading position in achieving net zero.

Putin’s illegal invasion of Ukraine had a devastating effect on global energy markets, forcing up wholesale prices and with it the energy bills of households and businesses in the UK and around the world.  In response, the government has taken steps to shield consumers and companies from the worst effects, paying around half a typical household’s bill over the winter and half the wholesale energy costs paid by some businesses.

After decades of reliance on importing expensive, foreign fossil fuels, the government is delivering a radical shift in our energy system towards cleaner, more affordable energy sources to power more of Britain from Britain.

In doing so, plans will help deliver on the Prime Minister’s promise to grow the economy across the country, supporting almost half a million new green jobs by 2030, creating a strategic advantage in new clean industries, and generating opportunities for UK businesses to export their expertise around the world.

Building on decisive government action taken since 2021, measures announced today include:

• World leading commitment to Carbon Capture Usage and Storage – The first projects will be announced to progress to the next stage of the negotiations to rollout the first Carbon Capture clusters in our industrial heartlands. The round for areas to apply for two additional future clusters has also been launched and there will be an opportunity for further projects to be added to the first two clusters. These announcements build on the £20 billion CCUS funding
• Kickstarting investment into the UK’s emerging floating offshore wind industry by launching the £160 million fund to support port infrastructure projects, securing the UK’s leadership in this new technology.
• Backing the first tranche of new green hydrogen production projects under the £240 million Net Zero Hydrogen Fund as part of development of this new power source.
• Opening the fifth round of the UK’s world-leading scheme to incentivise investment in renewable electricity, backed by a budget of £205 million. Now being held annually, Contracts for Difference will build on the UK levy-funded support for renewable power since 2010 of around £80 billion.
• Announcing Great British Nuclear, will initially be led by Simon Bowen as interim Chair and Gwen Parry-Jones OBE as interim Chief Executive Officer: with GBN’s first job to launch a new competition to select the best Small Modular Reactor technologies – one of the most advanced nuclear power technologies in the world – for development by Autumn.
• Speeding up the planning process to attract investment – reforming the planning process to enable the building of more energy infrastructure including solar power and offshore wind projects more quickly.
• Cutting household bills by expanding Government energy efficiency support to even more households – The Great British Insulation Scheme, a rebranded ECO+, will upgrade 300,000 of the country’s least energy efficient homes.
• Investing more than £380 million into boosting EV charging points and infrastructure across the country to support the rollout of electric vehicles
• Reducing our reliance on fossil fuels to heat our buildings – a new £30 million Heat Pump Investment Accelerator is designed to leverage £270 million private investment to boost manufacturing and supply of heat pumps in the UK. The Boiler Upgrade Scheme, which offers a £5,000 grant to anyone buying a heat pump, will be extended to 2028.
• Providing UK Export Finance with an extra £10 billion capacity to boost exports, including from the UK’s world leading clean growth sectors.
• Building a stable environment for businesses to invest and grow in the transition to electric vehicles and sustainable aviation fuel.

Prime Minister Rishi Sunak said:

When global energy supplies are disrupted and weaponised by the likes of Putin, we have seen household bills soar and economic growth slow around the world.

We have stepped in to shield people from its worst impacts by helping to pay around half the typical energy bill. But we are also stepping up to power Britain and ensure our energy security in the long term with more affordable, clean energy from Britain, so we can drive down energy prices and grow our economy.

That’s why we’re driving forward plans to boost renewables, revive nuclear and build new thriving industries like carbon capture, which will in turn create good jobs across the country, provide new opportunities for British businesses at home and abroad, and maintain our world-leading action to reach net zero.

Energy Security Secretary Grant Shapps said:

We have seen over the past year what can happen when global energy supplies are disrupted, and a tyrant like Putin uses energy as a weapon.

Access to cheap, abundant and reliable energy provide the foundation stone of a thriving economy with our homes and businesses relying on it to deliver our future prosperity.

Following our unprecedented cost of living support this Winter, which continues, this plan now sets out how we fix this problem in the long term to deliver wholesale UK electricity prices that rank amongst the cheapest in Europe, as we export our green growth expertise to the world.

Chancellor of the Exchequer Jeremy Hunt said:

Transforming our energy system is no longer just about tackling climate change, it is also a matter of national security. To protect ourselves from future price spikes, we need to accelerate the move to cleaner, cheaper, home-grown energy.

By unlocking billions of pounds of private capital through our Green Finance Strategy, we generate more of the energy we need in Britain and create new industries and jobs that are built to last.

Since 2010, the UK has seen £198 billion of investment into low carbon energy, through a mixture of government funding, private investment and levies on consumer bills. Going forward we anticipate around £100 billion of private investment will be forthcoming into the UK’s energy revolution. The UK has also broken numerous records in generating renewable electricity, leading the world in offshore wind – the UK is now in prime position to export its world-leading expertise.

This will drive green growth at home and abroad and see British businesses set the standard for a clean, secure and prosperous future.

Building on our COP26 Presidency and our role in agreeing the Global Biodiversity Framework, the UK will continue to lead international action in tackling climate change and biodiversity loss, working with our partners and delivering on our £11.6 billion International Climate Finance commitment. The 2030 Strategic Framework for International Climate and Nature Action and the International Climate Finance Strategy set out today what this will look like in practice.

The press release issued by the Department for Energy Security and Net Zero on 27 March 2023.

Over 94,000 prepayment meters were forcibly installed under warrant last year – with Scottish Power and British Gas leading the pack.

Over 94,000 prepayment meters were forcibly installed in homes under warrant last year without customer consent – on average over 7,500 meters a month.

After calling on suppliers to stop forcibly installing prepayment meters, the Energy Security Secretary Grant Shapps has now revealed the most overzealous suppliers, as part of a crackdown on mistreatment of vulnerable customers in the use of these meters.

Leading the charge with the highest number of prepayment meters force-fitted last year are British Gas, Scottish Power and OVO Energy, making up 70% of all forced installations with a total of 66,187 devices fitted under warrant. Of these, Scottish Power tops the list as the worst offender when taking into account their customer base – force fitting over 24,300 in their customer’s homes in 2022.

Mr Shapps has today doubled down on his call for any mistreatment of customers to be rectified, while again urging suppliers to help the households on traditional prepayment metres access the 2.1m vouchers yet to be claimed under the government’s Energy Bills Support Scheme.

Energy Security Secretary Grant Shapps said:

Today’s figures give a clear and horrifying picture of just how widespread the forced installation of prepayment meters had become, with last year seeing an average of over 7,500 force-fitted a month.

Prepayment meters are right for some people, so I do not want to ban them outright, but I do have concerns that companies have not been treating their customers fairly, over an already difficult winter during which the government has tried to help families by paying around half the energy bill of the average household.

After my calls for change, I’m pleased that suppliers have made their actions public and agreed to put a stop to forcing prepayment onto vulnerable customers for good – but this cannot happen again.

I will be watching Ofgem’s ongoing review closely so customers get the support they need – and those vulnerable consumers who have wrongly suffered forced installations get the justice they deserve in the form of redress.

Minister for Energy Consumers and Affordability Amanda Solloway said:

Another increase in the number of energy bill support vouchers redeemed by customers is great news, but I urge those that haven’t done so to use them as soon as possible – and suppliers must continue to do everything they can to make sure this happens.

We will not stand for the mistreatment of vulnerable customers who have been forced onto prepayment meters. I welcome the move from Ofgem to make it easier for customers to report cases but this can’t be a one off, and suppliers must now offer redress to those they have wronged.

Prepayment meters allow customers to pay for gas and electricity on a pay-as-you-go basis and serve an important function by helping the avoidance of debt and court action.

However, an intervention from the Energy Security Secretary last month brought the practise to a firm halt, after evidence came to light of suppliers in forcing these meters on vulnerable households.

Mr Shapps demanded transparency from the sector over the number of forced installation warrants they had used, following a huge spike in applications as households grappled with high energy costs. Lord Justice Edis issued directions for magistrates’ courts to stop all warrants that allow companies to force-fit these meters, alongside the government’s crackdown unacceptable behaviour from suppliers.

This move follows the government’s unprecedented support to help families with their bills this winter, including households on prepayment meters.

Latest figures published today show 7.6 million Energy Bills Support Scheme vouchers have now been redeemed by households that use prepayment meters across Great Britain, as of February – saving them up to £400 on their energy costs.

Since the scheme launched the number of households redeeming their vouchers has steadily climbed with 78% used so far – up from 76% in January. Suppliers with the highest redemption levels include Shell Energy, E and Octopus Energy. However, those with the most vouchers still outstanding, with nearly 400,000 yet to be redeemed include Scottish Power, OVO Electricity and British Gas.

Customers will also benefit from new protections, announced in last week’s Budget, that will see households on prepayment meters pay no more than other customers for their energy.

The recent action from the government led the regulator, Ofgem, to launch a review into the use of prepayment meters in the sector. Companies have been instructed to revisit their past cases and offer redress, such as compensation, to customers where these meters were wrongly installed and regulations have not been followed.

Just last week, Ofgem also extended the ban on forced installations of prepayment meters until a new code of practice is agreed by energy companies, after British Gas was found to have broken into homes to fit the devices.

The government continues to work with the sector, as well as consumer groups, charities and local leaders to reach eligible customers with unused vouchers that have not yet benefitted from the Energy Bill Support Scheme. This includes ongoing information campaigns across community radio, social media, national magazine titles and roaming advert vans that have been popping up in towns and cities across the country.

The press release issued by the Department for Energy Security and Net Zero on 22 March 2023.

Government awards £1.8 billion through Social Housing Decarbonisation Fund and Public Sector Decarbonisation Scheme to upgrade social homes and public buildings.

More than 115,000 homes across England are to get upgrades to improve their energy efficiency and save residents money on their bills as the government announces the allocation of nearly £2 billion in funding.

The Social Housing Decarbonisation Fund and Home Upgrade Grant are collectively worth £1.4 billion, which will be used to fund energy-saving measures ranging from loft insulation to new windows. An additional £1.1 billion in match funding for social housing provided by local authorities, providers of social housing and charities will bring the total investment to £2.5 billion to upgrade social and private homes in England.

The money will go towards improvements to vulnerable households and off-gas grid homes with an EPC rating of D or below and could save tenants between £220 and £400 a year on energy bills.

These schemes could also support around 20,000 jobs in the construction and home retrofit sectors, helping to deliver on our promise to grow the economy and create better paid jobs, whilst supporting families across the country.

On top of this, a further £409 million has been granted through the Public Sector Decarbonisation Scheme to help public sector buildings such as schools and hospitals drive down their carbon emissions. Upgraded heating systems, powered by cleaner, cheaper, renewable energy, will reduce the use of fossil fuels exposed to volatile global energy prices – supporting thousands of jobs and saving taxpayers hundreds of millions of pounds.

Secretary of State Grant Shapps said:

We know this is a difficult time for families, which is why the government is covered around half a typical household’s energy bill this winter.

This is a huge investment that will help households save hundreds on energy bills and see them heat their homes for less, and stay warm for longer.

Not only this but the funding is also a huge boost for job creation and economic growth, opening up new and exciting opportunities across the UK’s ever-expanding green sector.

Lord Callanan, Minister for Energy Efficiency and Green Finance, said:

The UK is truly a world-leader when it comes to reducing carbon emissions and the progress we’ve made over the last decade has been remarkable. But we can’t rest on our laurels and must continue to drive forward progress, setting a standard for other countries to follow.

Reaching net zero means considerable action from the public sector as well as private sector. Through the Public Sector Decarbonisation Scheme funding allocation announced today, we are empowering public bodies to save the taxpayer hundreds of millions while packing a punch on our ambitious and necessary climate goals.

Local authorities, providers of social housing and charities have been awarded a huge injection of £630 million, to come from Phase 2 of the latest stage of the Home Upgrade Grant, while £778 million will be provided through the most recent wave of the Social Housing Decarbonisation Fund. An additional £1.1 billion in match funding will be added to this through the Social Housing Decarbonisation Fund, bringing the total to £2.5 billion to upgrade social and private homes in England.

The funding will be rolled out from April 2023 to upgrade homes over the next 2 years.

Energy cutting and cost saving measures provided through the schemes include exterior wall insulation, cavity wall insulation, loft insulation, new windows and doors and draft proofing measures, as well as heat pumps and solar panel installation.

The schemes form part of the government’s commitment to reduce overall UK energy demand by 15% by 2030, as well as supporting the ambition for the UK to move towards greater energy independence.

The Home Upgrade Grant is supporting over 25,000 low-income homes across England by installing energy efficiency measures and low carbon heating. Those being aided are typically the worst quality, off-grid homes most in need of upgrading, with an EPC rating of D to G. Improving these homes comes with the added benefit of supporting 7,000 jobs.

Aliye Galloway lives in social housing in Northamptonshire with her partner and 5 children. Through the Social Housing Decarbonisation Fund her home was fitted with an air source heat pump, solar panels and more efficient doors and windows.

She said that even with the recent energy price rises, the family’s energy bills are significantly lower since the work has been completed.

Aliye explained:

Already we are seeing a massive change with our energy consumption and energy costs and already that’s having a positive impact on us a family.

We are very happy with how it all works. We would recommend it to any tenant who is approached by the scheme. It will have a huge positive outcome.

It’s supposed to be more eco-friendly too so I’m very happy we managed to get rid of the gas to be honest. We are literally just electric now.

We are going to massively save. Even though the prices have gone up, we are still putting in less than we were before.

Emma Pinchbeck, Chief Executive of Energy UK said:

Improving the energy efficiency of Britain’s draughty homes and buildings is the best way to cut energy bills permanently, while also boosting the UK’s energy security and reducing carbon emissions.

Today’s announcement will rightly prioritise those who need support the most like low- income households, social housing and public buildings.

Industry will work with government to build on these vital schemes and to remove any barriers that prevent households and businesses from saving money on their bills by reducing heat loss and conserving energy.

The government has also announced today that over £400 million has been allocated to public sector bodies across England to help reduce their carbon emissions. 144 public sector organisations responsible for hospitals, schools, leisure centres, museums and universities will benefit from this support.

This funding is being delivered through the Public Sector Decarbonisation Scheme, which provides grants to public sector bodies to fund low carbon heating, renewable energy and energy efficiency measures such as heat pumps, solar panels and insulation. The scheme is being delivered on behalf of the government by Salix Finance.

Announced today, organisations set to receive funding include Adur and Worthing Councils, Salisbury NHS Foundation Trust, Northumbria University, Greater Manchester Academies Trust and many other worthy recipients across England looking to improve the sustainability of their buildings.

The Scheme aims to support the government’s commitment to reduce emissions from public sector buildings by 75% by 2037, compared to 2017 levels, as first set out in the 2021 Heat and Buildings Strategy. The commitment follows significant progress the UK has already made towards reaching net zero – cutting all emissions by 48% between 1990 and 2021, which is faster than any other G7 country. Decarbonising the public sector with low carbon heating and energy efficiency measures is also expected to save the public sector an estimated £650 million per year on average to 2037.

Salix Finance Chief Executive Annie Shepperd OBE, said:

There is a huge amount of passion and expertise in the green energy sector, and Salix is proud to be supporting the hundreds of decarbonisation projects that have been made possible through the Public Sector Decarbonisation Scheme. Each one represents the best evidence of government and public bodies working together to achieve great things.

In the meantime, the government has partnered with Energy Systems Catapult today to launch a freely accessible suite of tools, templates and guidance to support the public sector in further decarbonising their sites. This support will help public sector bodies from the first stages of developing a strategy, through funding, installation and completion, to help make achieving net zero sites and energy savings simpler.

This is a continuation of the government’s award-winning Modern Energy Partners programme which has worked with 42 sites to explore different avenues for decarbonisation.

Stakeholder reactions

Social Housing Decarbonisation Fund and Home Upgrade Grant

Adam Scorer, Chief Executive of National Energy Action (NEA) said:

This vital investment is desperately needed. Low-income households, in the least efficient homes, are being hardest hit by the energy crisis and are having to pay hundreds of pounds more than the typical household just to heat and power their home to a minimum reasonable standard.

As well as helping to abate the impact of high energy bills for thousands more households, we hope the investment can lessen some of the physical and mental health impacts for people unable to keep warm at home.

Both the Social Housing Decarbonisation Fund and Home Upgrade Grant can also help us make progress with our legal fuel poverty targets, helping millions more of the poorest households, who are massively exposed to high energy prices and pay an ‘energy inefficiency premium’ just to stay warm and safe at home.

Tracy Harrison, Chief Executive, Northern Housing Consortium said:

This latest wave of funding adds to the momentum already built around green home upgrades in the North.

Retrofitting homes towards net zero is a key priority for councils and housing associations across the North. Our members want to continue to scale their activity to support the development of the supply chain, and to deliver good, green jobs.

We were delighted to see even more ambitious partnership bids submitted to this Wave – an approach which we hope to see followed through in delivery. But most importantly, these successful projects will help create warmer homes and improve the physical and mental health of people in our communities.

Carol Matthews CBE, Chief Executive of The Riverside Group said:

We are delighted that we have secured just short of £12.7 million from the Social Housing Decarbonisation Fund from the Department for Energy Security and Net Zero. This funding will enable us to improve the energy efficiency of our homes and protect our residents from rising fuel bills and cost of living crisis.  Riverside will be match funding and investing £15 million as part of our retrofitting and net zero commitments. We are looking forward to working with the government to improve over 1,100 homes and the lives of our residents living in them.

Public Sector Decarbonisation Scheme

Cllr Helen Silman, Worthing Council’s Cabinet Member for Climate Emergency, said:

Worthing Borough Council is delighted to receive this latest round of Public Sector Decarbonisation Scheme funding, which will help us to secure Worthing’s sustainable future through infrastructure and innovation.

The decarbonisation of heating is key to our goal of being a carbon neutral council by 2030, and a challenge we’ll continue to rise to as we look ahead to meeting our 2045 target of a carbon-neutral Worthing.

Cristina Calleja, Sustainability Manager at South Warwickshire University Foundation Trust, said:

Our estates, capital and sustainability teams worked very hard to put together an innovative and detailed grant application, which will reduce our organisation’s carbon emissions and benefit our staff, patients and visitors. Therefore, we are extremely delighted to have received this grant that demonstrates our commitment to climate change at the Trust.

Canterbury City Council’s Director of Strategy and Improvement, Peter Davies, said:

We are really pleased to have secured a grant from the Public Sector Decarbonisation Scheme, which will allow us to significantly reduce emissions at Kingsmead Leisure Centre. By their very nature, leisure centres are energy intensive buildings and we have been conscious of the need to put in place measures to lessen the impact of Kingsmead on the environment. This grant will enable us to do a huge amount using some of the latest technology.