Tag: Energy Security and Net Zero Department

The press release issued by the Department for Energy Security and Net Zero on 17 December 2024.

Government relaunches the Net Zero Council, expanding its membership to include civil society and local government.

The government has relaunched the Net Zero Council, bringing together a broader range of voices to deepen the partnership between government, the private sector, civil society and local authorities, to support plans to accelerate to net zero across the economy.

The Council will act as the primary stakeholder forum supporting the delivery of the accelerating to net zero pillar of the mission to make Britain a clean energy superpower. Its insights will inform government strategies, help to address cross-economy challenges and maximise the many economic and societal opportunities the transition presents.

For the first time, the Council will have representation from civil society and local government, who both have essential roles to play in accelerating to net zero and can offer more diverse perspectives on challenges, opportunities and solutions.

Objectives

The Net Zero Council will have 3 broad functions, to:

• provide expert insight: advising government in the development of its net zero strategy
• drive action towards decarbonisation across the economy: convening senior leaders across the highest emitting sectors of the economy to tackle cross-cutting barriers to decarbonisation, supporting businesses to take action and enabling them to realise the benefits of the transition
• outreach and communications to the wider business community: members will engage across their networks, advocate for action and promote climate leadership

Members

The Council will be co-chaired by the Right Honourable Ed Miliband, Secretary of State for the Department of Energy Security and Net Zero, and Shirine Khoury-Haq, CEO of the Co-operative Group.

Full Council membership will be announced soon.

The press release issued by the Department of Energy Security and Net Zero on 13 December 2024.

Working people will benefit from a new era of clean electricity, as the government today unveils the most ambitious reforms to the country’s energy system in a generation, to make Britain energy secure, protect households from energy price spikes, reindustrialise the country with thousands of skilled jobs, and tackle the climate crisis.

In a major milestone to deliver on the Prime Minister’s Plan for Change which aims to drive economic growth and rebuild Britain with mission-driven government, Energy Secretary Ed Miliband will today (Friday 13 December) set out a detailed plan for achieving the target of clean power by 2030.

The plan will provide the foundation for the UK to build an energy system that can bring down bills for households and businesses for good. The independent National Energy System Operator (NESO) set out pathways to a clean power system in 2030, and confirmed it was deliverable, more secure, and could see a lower cost of electricity, and lower bills.

For too long, there has been no plan for building new energy infrastructure based on an assessment of what the country actually needs for the long term. As a result, billions of pounds of clean energy projects have been held up by a clogged-up planning system, and a dysfunctional power grid queue that means renewables projects cannot get online.

The government will now plan an energy system based on what the country needs. The plan sets out bold measures to get more homegrown clean power to people. These include: cleaning up a dysfunctional grid system by prioritising the most important projects and ending the ‘first-come-first served’ system; speeding up decisions on planning permission by empowering planners to prioritise critical energy infrastructure; and expanding the renewable auction process to stop delays and get more projects connected.

Delivering these reforms will unleash £40 billion a year of mainly private investment in homegrown clean power projects and infrastructure across the country, creating good jobs across the country including engineers, welders and mechanics.

Every family and business in the country has paid the price of Britain’s dependence on foreign fossil fuel markets, which was starkly exposed when Putin invaded Ukraine and British energy customers were among the hardest hit in Western Europe, with bills reaching record heights.

The government’s clean power mission is the solution to this crisis; by sprinting to clean, homegrown energy, including renewables and nuclear, the UK can take back control of its energy and protect both family and national finances from fossil fuel price spikes with cleaner, affordable power.

This action plan sets out how the government will build the generation and infrastructure needed to deliver that system. Over this Parliament the government will be working relentlessly to translate the much cheaper wholesale costs of clean power into lower bills for consumers.

It follows the signing on Tuesday this week of the Final Investment Decision for the UK’s first Carbon Capture project in Teesside – delivering thousands of new, skilled jobs in the North East of England. The East Coast Cluster – which will capture and store carbon emissions from industries in the region – is set to start construction in mid-2025. On Thursday, Orsted announced up to £100 million worth of contracts for its Hornsea 3 offshore wind farm, supporting jobs across three supply chain companies in the North of England.

Energy Secretary Ed Miliband said:

A new era of clean electricity for our country offers a positive vision of Britain’s future with energy security, lower bills, good jobs and climate action. This can only happen with big, bold change and that is why the government is embarking on the most ambitious reforms to our energy system in generations.

The era of clean electricity is about harnessing the power of Britain’s natural resources so we can protect working people from the ravages of global energy markets.

The clean power sprint is the national security, economic security, and social justice fight of our time – and this plan gives us the tools we need to win this fight for the British people.

Greg Jackson, CEO, Octopus:

We welcome the prospect of slashing red tape for grid connections, overturning the onshore wind ban in England and allowing more special offers to slash energy bills. Britain’s high energy prices stem from years of bad rules that don’t allow us to build renewable energy in the places it’s needed, or make use of cheap wind when it’s abundant, so these are positive steps.

Fintan Slye, Chief Executive, NESO:

We welcome the publication of the government’s Clean Power Action Plan. We are pleased that our independent advice on how Britain can achieve clean power by 2030 has formed such an integral part of the Plan set out by the government today.

We look forward to continuing to work with the government, the energy regulator and wider industry to overcome the delivery challenges that we have identified, and unlock the benefits of clean, secure power to consumers, the economy and society as a whole.

Jon Butterworth, CEO of National Gas, said:

National Gas welcomes the government’s Clean Power Action Plan, which firmly recognises the critical role of the gas transmission system – ensuring a secure transition for households and businesses across the country.

Gas will continue to play an essential role as the nation’s strategic power reserve when the wind doesn’t blow and the sun doesn’t shine, as demonstrated this week when we saw the need for gas hit a record high – with more gas supplied to power stations than at any point in the last 5 years.

We are proud to play our role in securing Britain’s energy and unlocking clean power, as the backbone keeping our country’s large gas power stations and heavy industry running.

Energy UK CEO Dhara Vyas said:

The energy industry welcomes the ambition behind the Clean Power Action Plan because it can accelerate the benefits that will be felt by people across the country through increased energy security, investment, growth and job creation.

Meeting the goal however is a formidable challenge and can only happen by tackling barriers and delays that will otherwise jeopardise this ambition and which have been constraining the country’s economic growth for some time.

So we support the need for fundamental changes that speed up the planning process, enable the swift construction of critical infrastructure, cutting the time for grid connections and enabling more homes and more businesses to benefit from the expansion of clean energy far more quickly. A clean power system must also include the necessary expansion of other established and emerging clean technologies, including storage and flexibility.

An undertaking of this scale obviously needs a comprehensive plan so we look forward to reading the detail.  We also again underline the need for the clean energy drive to be accompanied by a focus on improving things for customers – not only by increasing our own sources of power to protect them from volatile energy costs, but by putting in place long term, targeted support for households struggling to afford bills, improving the energy efficiency of homes and buildings, and supporting the switch to cleaner and ultimately cheaper ways of heating and travelling.

Darren Davidson, head of Siemens Energy and Siemens Gamesa in the UK, said:

We are proud to be part of this clean energy mission and to contribute to the growth of renewable technologies in the UK, with this launch at our offshore wind blade factory in Hull today.

Siemens Gamesa has installed over 10 GW of offshore wind in the UK, which is nearly 70% of the UK’s installed wind operational capacity. To date, we have manufactured over 2,300 offshore wind turbine blades at our factory in Hull.  We have over 1,300 employees in Hull, after recruiting more than 600 people in the last 12 months. Each worker is playing a vital role in the energy transition.

Shaun Spiers, executive director at Green Alliance, said:

Achieving clean power by 2030 will be genuinely transformational for the UK energy system, good for households and good for the economy. The government’s new plan sets them up to succeed in 2025, a make-or-break year. They rightly focus on getting unprecedented amounts of offshore wind built, and reforming a queuing system for connections to the power grid that had tied up projects until the middle of the 2030s. It will also be vital to engage seriously with communities to win maximum support for this national endeavour.

RenewableUK’s Director of Future Electricity Systems, Barnaby Wharton, said,

The Clean Power Action Plan will be considered a landmark moment for the clean energy sector. Not only do investors have a clear government target of establishing a lowest cost electricity system dominated by wind and solar, but they now have a roadmap to achieving it.

It’s great to see the plan set out targets for delivering the batteries, network infrastructure, and flexible technologies that will enable the roll out of renewable energy, as well as specific targets for wind and solar farms.

We would encourage the government to maintain this focus on renewables, collaborating with the sector on industrial strategy to ensure the UK grasps the potential jobs and industrial investment which could come alongside these new clean energy developments.

Ofgem CEO Jonathan Brearley said:

The energy crisis underlined exactly why we must end Britain’s reliance on volatile gas markets for electricity generation – only then will we have true energy security for every community, town and city across the UK. We hold cards that others don’t when decoupling from fossil fuels; the world’s geopolitics is uncertain but, thanks to our natural resources, we can protect ourselves by becoming a renewables superpower as part of our wider clean power mix.

Getting to clean power by 2030 is tough but achievable; it will require unprecedented pace by government, industry and regulators. We’re already helping to speed things up and unlock the investment needed by cutting red tape, fast-tracking grid expansion and getting more clean power projects connected. We’re taking a tough line and will hold the industry to account when it comes to the sector delivering on time and on budget.

Ofgem’s job is to protect consumers at every stage so that the transition is achieved at the fastest rate and lowest price possible. The clean power plan makes clear there are tough trade-offs, which is why it’s vital that the government brings the public, businesses and industry with it on every step of the journey. We will review this action plan in detail and set out our next steps early in 2025.

Jess Ralston, Head of Energy at the Energy and Climate Intelligence Unit (ECIU) said:

The UK has paid the price for over-reliance on expensive gas over the past few years and the crisis is not over yet. Accelerating the rollout of renewables will stabilise prices and clean technology like electric heat pumps will increasingly run off British wind and solar in contrast to gas boilers which will increasingly be run off foreign gas imports. Continuing to accelerate this rollout is the way we will avoid being on the hook for expensive gas in future.

The Energy Crisis Commission concluded that the UK is “dangerously unprepared” for another crisis but reaching clean power will be a significant step towards achieving energy independence. It will also be crucial that government focusses on fixing up our leaky homes and switching away from gas boilers.

Responding to the government’s Clean Power Action Plan Tania Kumar, Net Zero Director, CBI, said:

Delivering a clean power system is not only fundamental to achieving the UK’s net zero ambitions but crucial to ensuring the competitiveness of our industries and driving economic growth across the economy.

Today’s action plan clearly addresses a number of blockers businesses have long cited from grid connections to planning processes. 2030 is a challenging target for industry – but it is achievable with this type of relentless focus. Ultimately this is a milestone to net zero by 2050.

Achieving a decarbonised economy requires government creating the conditions for investment across decarbonisation technologies and working with business to ensure a plan for whole-economy transition.

John Pettigrew, CEO, National Grid, said:

This is an important next step in the clean energy transition, and a focus on agility and speed of reforms will be key. At National Grid, we remain committed to playing our part in delivering the government’s plan and working in partnership to ensure a reliable and affordable transition to cleaner energy sources.

Lisa Christie, UK Director of Public and Regulatory Affairs at Vattenfall, said:

It’s very encouraging for energy developers that the government is doubling down on its net zero commitments. Rebuilding the UK’s energy infrastructure will bring jobs and investment, boost our energy security, and help keep bills lower for consumers.

At Vattenfall we believe the UK’s 2030 clean power target is achievable, but now government and industry need to move at pace to get the job done.

Sue Ferns, Senior Deputy General Secretary of Prospect, said:

Prospect has long been an advocate of a secure, affordable and decarbonised energy system and we strongly welcome the government’s plan to accelerate progress towards this.

To be successful that same spirit of ambition and urgency must be applied to ensuring an adequate supply of skilled workers and a just transition for workers in carbon-intensive industries.

Once this plan is in place we quickly need to also commit to a programme which will sustain progress beyond 2030.

Gus Jaspert, Managing Director Marine, The Crown Estate:

For more than 20 years the UK has led the world in creating the right environment for the growth of offshore renewables, which have become the cornerstone of our energy transition. This Action Plan is an important step towards accelerating the move away from fossil fuels and the deployment of new offshore technologies such as floating offshore wind or carbon capture and storage.

To achieve these ambitious targets, it is more important than ever that we work together to maximise the potential of our marine space, which also means prioritising nature recovery and supporting the many other industries that rely on this vital resource.  We welcome this report’s recognition of the role our Marine Delivery Routemap can play in bringing parties together to enable a long-term view of how the seabed can play its part in the delivery of the government’s clean power and growth ambitions.

Lucy Yu, CEO and Founder at Centre for Net Zero, said:

While NESO’s advice to the government sets out 2 broad potential pathways to the 2030 target, the Clean Power Plan aims to deliver on a comprehensive basis, keeping all options in play to mitigate uncertainties around cost, speed, and technology risk, while allowing for new opportunities to be leveraged as they arise.

However, we must not forget the central role of consumers and communities in the energy transition. The British public’s support will be key, and the government must ensure clean power delivery has their interests at heart to keep us on track for 2030 and the critical decades beyond. Here, the promised Low Carbon Flexibility Roadmap and the decision on wholesale market reform can have a pivotal role in lowering bills and attracting private investment for clean energy projects. Many in the industry will feel that both are several years overdue, and strong decision-making and accountability in those areas will spell the difference between success and failure for this critical mission.

The press release issued by the Department for Energy Security and Net Zero on 18 November 2024.

New agreement for civil nuclear collaboration signed by UK and US at COP29 in Baku, helping strengthen energy security.

The United Kingdom and United States have joined forces at COP29 to speed up the deployment of cutting-edge nuclear technology to help decarbonise industry and boost energy security.

The UK Energy Secretary Ed Miliband and US Deputy Secretary of Energy David Turk have today (Monday 18 November) signed a new agreement while in Baku for climate talks that will help pool together billions of pounds worth of nuclear research and development – including the world’s leading academic institutions and nuclear innovators.

The UK will take a leading role in the forum, which aims to support information-sharing on advanced nuclear technologies and make them available for use in industry by 2030.

New technologies such as advanced modular reactors can help decarbonise heavy industry such as aviation fuel, hydrogen or advanced steel production, by providing low-carbon heat and power. They are also smaller and can be made in factories, making them quicker and cheaper to build.

This will support the commitment made last year at COP28 to triple nuclear energy capacity globally by 2050, with 31 countries signed up including the US and UK.

The UK is reversing a legacy of no nuclear being delivered and moving forward with its advanced nuclear reactor programme and Great British Nuclear’s small modular reactor competition, as well as continuing development of the Sizewell C project. New nuclear will help to secure thousands of good, skilled jobs and support energy independence beyond 2030.

Energy Secretary Ed Miliband said:

Nuclear will play a vital role in our clean energy future.

That is why we are working closely with our allies to unleash the potential of cutting-edge nuclear technology.

Advanced nuclear technology will help decarbonise industry by providing low-carbon heat and power, supporting new jobs and investment here in the UK.

As part of this new agreement, the Generation IV International Forum will no longer include Russia – ensuring future collaborations remain among mutually willing parties who respect nuclear safety norms.

The new agreement will come into force from 1 March 2025.

The press release issued by the Department for Energy Security and Net Zero on 15 November 2024.

UK spearheads global efforts to combat climate change with a funding package to help developing countries transition to clean energy.

The UK will be leading support for countries on the front line of the climate crisis to make their transition to clean energy, in a new package of support unveiled by Energy Secretary Ed Miliband at COP29.

To tackle climate change at home and abroad, countries that are already suffering from its worst impacts need support to accelerate their transition to clean power, cut emissions and increase economic growth.

The funding will help climate vulnerable countries, including African nations and small island states, to develop new low-carbon technologies, with innovations in energy storage, zero emission generators and clean transport. It will also support innovations such as material and system efficiencies, which will be instrumental in decarbonising steel, chemicals, cement and concrete industries.

Delivering global action on climate change will help protect families and businesses in the UK and abroad, while accelerating global clean power to unlock the rewards of green economic growth.

The funding comes after the UK announced an ambitious target to reduce its emissions by 81 per cent by 2035 – showing leadership in tackling climate change while harnessing a range of benefits for the UK, including better jobs, cheaper bills and higher growth.

Energy Secretary Ed Miliband said:

Climate change does not respect borders, and the UK has seen a year of record-breaking warmth. That’s why we are determined to lead from the front and drive global change, to protect future generations at home and abroad.

This funding commitment from the UK is what we mean when we say we are back in the business of climate leadership, supporting the world’s most vulnerable and unlocking the global growth benefits of decarbonising economies.

Climate Minister Kerry McCarthy said:

Developing countries are often on the front line of the climate crisis, at higher risk of floods, heatwaves, and food insecurity, despite doing very little to cause it.

This funding is part of a key priority for us at COP29. It will support the flow of finance to these countries so they can adapt to a changing climate, building resilience and accessing clean energy for their own transition.

When the UK acts other countries follow, so we are leading by example to tackle the biggest challenge we face.

Funding pledges announced at COP29 include:

• £45 million of funding for the World Bank’s Energy Sector Management Assistance Programme (ESMAP) to support developing and emerging countries addressing energy challenges – making the UK the largest donor to a well-established World Bank Trust Fund.
• £15 million of funding for Innovate UK to support clean energy innovation in developing countries.
• £14 million of funding for United Nations Industrial Development Organisation (UNIDO) to support the development of innovation projects in industrial decarbonisation and clean hydrogen.
• £5 million to help developing countries tackle methane emissions in their fossil fuel, supporting delivery of the Global Methane Pledge launched at COP26.

The funding is part of the UK’s existing £11.6 billion International Climate Finance commitment between 2021/22 and 2025/26 which is allocated from the Official Development Assistance (ODA) budget – delivering on a global commitment of 0.5 per cent of Gross National Income for developing countries.

At COP29 the UK has also set the direction of voluntary carbon markets, so they can channel more finance to developing countries. A new set of UK Integrity Principles will raise integrity in the generation, trade and use of carbon and nature credits, so that voluntary markets work better for people, nature and the planet.

Notes to editors

The funding announcement comes as the government has started the most significant investment programme in homegrown British energy through its clean power by 2030 mission – unlocking thousands of jobs and driving investment into UK communities. So far, the government has:

• lifted the ban on onshore wind in England
• delivered a record number of clean energy projects through its renewables auction, securing enough clean power to supply the equivalent of 11 million homes
• approved unprecedented amounts of nationally significant solar – 2GW – more than the last 14 years combined
• launched Great British Energy
• fired the starting gun on the UK’s Carbon Capture and Storage industry, with funding agreed for two clusters in Teesside and Merseyside

A total of £29 million of funding for Innovate UK and the United Nations Industrial Development Organisation (UNIDO) is an allocation from the UK’s £1bn Ayrton Fund which supports clean energy innovation and industrial decarbonisation.

The press release issued by the Department for Energy Security and Net Zero on 14 November 2024.

Legislation will be introduced to restrict licences for new coal mines as UK embraces clean energy future.

Licensing of new coal mines is set to be restricted as the government commits to bringing in legislation which will prohibit new coal mining projects.

The government today (14 November) confirmed it will introduce new legislation as soon as possible to restrict the future licensing of new coal mines.

Coal power remains the largest source of energy-related CO2 emissions globally. Phasing it out is a crucial step to tackling climate change and limiting global temperature rises to 1.5C, while providing important health benefits through improved air quality.

Britain became the first major economy to stop burning coal for power in October, with the closure of the country’s last coal-fired power station at Ratcliffe on Soar, following 50 years of service. It means coal has gone from generating around 40% of the UK’s electricity supply in 2012 to 0%.

The Energy Minister has paid tribute to the coal miners who “powered our country”- saying that they leave a legacy that this country can be proud of.

As the coal age ends, the clean energy age is ramping up, with the government committing to unprecedented investment in homegrown clean energy in the UK including carbon capture and hydrogen.

As part of the government’s clean energy superpower mission, this continued transition away from fossil fuels will create hundreds of thousands of good new jobs across the UK and revitalise the country’s industrial heartlands.

It comes after the independent National Energy System Operator (NESO) confirmed last week that achieving clean power by 2030 is achievable and can unlock cheaper, more secure electricity.

Energy Minister Michael Shanks said:

Coal mining powered this country for over 140 years and we owe a huge debt to workers who kept the lights on for homes and businesses across the country.

Now the UK is in prime position to lead the way in phasing out coal power around the world, which remains the single largest contributor to global emissions.

By consigning coal power to the past, we can pave the way for a clean, secure energy system that will protect billpayers and create a new generation of skilled workers.

The UK has led the way in meeting global climate change targets to phase out coal-fired power. The government’s plan to prevent future coal mining is another step in its mission to make Britain a clean energy superpower, by transitioning away from fossil fuels to cleaner, homegrown energy sources.

Since July, the government has accelerated Britain’s transition, by reversing the onshore wind ban in England, approving 2GW of new solar projects to power hundreds of thousands of homes, announcing the biggest ever investment in offshore wind, and launching Great British Energy that will own and invest in clean power projects across the UK.

To support workers, the government has also set up the Office for Clean Energy Jobs to help the next generation of skilled workers to access UK-wide job opportunities that the government’s clean energy superpower mission will help create.

Unions worked closely with Ratcliffe on Soar’s owner, Uniper, on a strong redundancy package including identifying opportunities for the plant’s staff such as internal transfers, roles with external companies and training courses.

On top of this, the government recently confirmed £21.7 billion funding for carbon capture projects in the North West and North East of England, which is set to support up to 50,000 jobs, as well as £2.3 billion for the first round of electrolytic hydrogen production contracts.

At the COP29 Summit this week in Baku, Azerbaijan, the Prime Minister announced the Clean Industry Bonus that will offer £27 million per Gigawatt to offshore wind developers who invest in the UK’s historic industrial heartlands, coastal areas and oil and gas communities.

It follows confirmation that 120,000 former mineworkers will receive a 32% boost to their pensions, as £1.5 billion of money that was kept from their pensions is handed over to their schemes, ensuring those who powered the country for decades finally get the just rewards from their labour.

Notes to editors

Limited exceptions to the ban may be required for safety or restoration purposes. An exemption is also anticipated to protect the historic rights of freeminers to mine personal gales in the Forest of Dean.

The government has laid a Written Ministerial Statement confirming that it will introduce legislation to restrict the future licensing of new coal mines, by amending the Coal Industry Act 1994, when Parliamentary time allows.

The press release issued by the Department for Energy Security and Net Zero on 12 November 2024.

UK government announces new climate goals at COP29, including reducing emissions by 81% by 2035, as Prime Minister calls on other countries to bring forward ambitious targets.

Tackling the climate crisis is essential to our national energy security, economic growth, and our efforts to protect current and future generations, the UK government said as it unveils the UK’s new climate goals at the COP29 Summit in Baku, Azerbaijan today.

Today’s announcement will strengthen the UK’s position as a place for investment in the technologies and jobs that are driving growth across the world.

There are 640,000 green jobs in the UK, growing at a rate 4 times faster than overall UK employment.

To support the industry the government has announced a significant investment programme in homegrown British energy – including renewables, carbon capture and storage, nuclear and hydrogen.

The UK’s reliance on fossil fuels has also been felt by every family and business in the last few years with the worst cost of living crisis in memory, driven by energy price spikes from international gas markets.

That’s why the government’s mission is to tackle the climate crisis in a way that makes the British people better off by investing in clean homegrown power and unlocking thousands of jobs, having already seen £34.8 billion of private investment into the UK’s clean energy industries since July.

This ambitious and pragmatic new target supports the UK’s mission for growth, helping to attract further investment and jobs in low carbon technologies such as solar and wind, electric vehicles and batteries.

Energy Secretary Ed Miliband said:

The only way to protect current generations is by making Britain a clean energy superpower, and the only way to protect future generations is by tackling the climate crisis.

Britain is back in the business of climate leadership, with an ambitious new target that will protect our environment, deliver energy security and restore our global climate reputation.

We will cut emissions across the country, delivering for our environment and ending our exposure to spiking fossil fuel markets.

This ambitious and pragmatic new target – in line with the recommendation from the Climate Change Committee and previously legislated and legally-binding Carbon Budgets for the same period.

The target forms what is called the UK’s Nationally Determined Contribution (NDC): commitments that countries make to reduce their greenhouse gas emissions to mitigate climate change. It is aligned to 1.5C.

The UK has called for other countries to match the UK’s ambition to address the urgency of climate change, following stark warnings from the United Nations that the world is way off track to limit global temperature rises to 1.5C.

Since July the government has:

• lifted the ban on onshore wind in England
• delivered a record number of clean energy projects through its renewables auction
• consented unprecedented amounts of nationally significant solar – 2GW – more than the last 14 years combined
• launched Great British Energy backed by £8.3 billion to speed up the deployment of clean technologies
• fired the starting gun on the UK’s carbon capture, usage and storage industry, with funding agreed for 2 clusters in Teesside and the North West

Globally, the costs of renewables continue to fall, with solar and wind now cheaper than existing coal and gas power plants in most of the world.

Recent analysis from the International Energy Agency found that in 2023 for every $1 spent on fossil fuels, $1.7 was spent on clean energy. Global energy investment is set to be over $3 trillion in 2024, with $2 trillion of this on clean energy technologies and infrastructure.

Notes to editors

The target is in line with the recommendation of the independent Climate Change Committee, and with the UK’s share of limiting global warming to 1.5C .

The target is to reduce emissions by at least 81% on 1990 levels.

The target excludes emissions from international aviation and shipping in line with international standards, and is aligned with the UK’s sixth carbon budget.

By 2030, to combat climate catastrophe, global emissions need to fall by 43% on 1990 levels (whereas the most optimistic scenario of NDC implementation implies a reduction of around only 5.9% by 2030), climate finance needs to increase at least fivefold, we need to phase out coal 7 times faster and reduce forest loss 4 times faster.

That is why the UK has set an ambitious target and will be urging other countries to bring forward ambitious, economy-wide Nationally Determined Contributions by the February 2025 deadline to address the urgency of the climate crisis.

During COP29 in Baku the UK’s climate negotiations will be led by Energy Secretary Ed Miliband where he will be encouraging others – particularly major emitters – to submit their own target ahead of the deadline.

The government will submit the detail underpinning the Nationally Determined Contributions to the United Nations Framework Convention on Climate Change ahead of the February 2025 deadline. Steps are already being taken to hit the target through the government’s clean power by 2030 mission.

Stakeholder responses

Sir Ian Cheshire, Chair, We Mean Business Coalition said:

Prime Minister Keir Starmer has today sent a clear signal to the international community that the UK is back as a global leader on climate. This headline figure for cutting the UK’s emissions is consistent with the science and what is technologically and economically achievable.

Companies in the UK and around the world will welcome the clarity and stability that comes with a long-term plan for delivering the shift from fossil fuels to clean energy. Working closely with the private sector, the UK’s new climate plans should create jobs, drive investment in British industry and ensure energy security and affordability.

Rain Newton-Smith, CBI CEO, said:

As the world convenes at COP29 the UK has today demonstrated its international leadership credentials on climate. Setting an ambitious 2035 NDC (Nationally Determined Contribution) target to reduce emissions by 81% is a steadfast commitment to transitioning the UK to a net zero economy, capitalising on its strengths in climate finance, institutions, and policy design that can deliver a blueprint for other countries to build on.

Walking the walk requires a laser focus on delivery and the UK’s business community stands ready to play its part. In a world where the growth and resilience of our economies continues to be adversely tested by the impacts of energy shocks and climate events, there has never been a more opportune time for businesses and governments to work in partnership to scale up investment in climate action and develop markets in decarbonisation technologies.

Rachel Solomon Williams, Executive Director at the Aldersgate Group, said:

This ambitious NDC is a welcome display of global leadership from the UK government. Alongside sector-specific goals such as 2030 clean power, it will significantly strengthen our standing on the world stage at a time when international climate leadership is urgently needed. The UK has already demonstrated that ambitious climate targets can spark the creation of thriving new industries and accelerate growth, and this new target shows other nations that we have confidence in this approach and will lead by example in our domestic policy.

The press release issued by the Department for Energy Security and Net Zero on 4 October 2024.

Government confirms funding to launch the UK’s first carbon capture sites, set to bring thousands of new skilled jobs, billions in private investment and support acceleration to net zero.

The UK today enters a new era for clean energy investment and jobs, as the government announces it has reached commercial agreement with industry, and funding to launch carbon capture in the UK.

Major funding for 2 carbon capture sites will inject growth into the industrial heartlands of the North West and North East of England – directly creating 4,000 jobs and supporting 50,000 jobs in the long-term while powering up the rest of the country.

This comes 10 days before the government’s set-piece International Investment Summit which is poised to put the UK back at the global table – kickstarting a decade of economic renewal and giving business confidence and opportunity to invest in the United Kingdom.

CCUS technology removes CO2 emissions before it reaches the atmosphere and stores it safely beneath the seabed – using tried and tested technology that has been deployed across the globe for over 20 years.

In a boost for economic growth and protecting the environment, the new carbon capture and CCUS enabled hydrogen projects will create 4,000 new jobs, sustain important British industry, and help remove over 8.5 million tonnes of carbon emissions each year – the equivalent of taking around 4 million cars off the road.

Prime Minister Keir Starmer, the Chancellor Rachel Reeves, and Energy Secretary Ed Miliband are visiting the North West today to confirm the funding for 2 sites in Teesside and Merseyside, which are expected to bring in £8 billion of private investment into these communities.

These projects will set the UK on course to become a global leader in CCUS and hydrogen – delivering good jobs and turbocharged growth for decades to come.

Prime Minister Keir Starmer said:

We’re reigniting our industrial heartlands by investing in the industry of the future.

For the past 14 years, business has been second-guessing a dysfunctional government – which has set us back and caused an economic slump.

Today’s announcement will give industry the certainty it needs – committing to 25 years of funding in this groundbreaking technology – to help deliver jobs, kickstart growth, and repair this country once and for all.

Today’s announcement confirms up to £21.7 billion of funding available, over 25 years, to make the UK an early leader in 2 growing global sectors, CCUS and hydrogen, to be allocated between these 2 clusters. The UK’s commitment was first made in 2009, and the confirmation of funding today represents a major success story for British industry.

In the week in which Britain became the first industrialised nation to end its 150-year usage of coal to produce power, the nation now begins a new era of clean energy technology. The UK has enough capacity to store 200 years’ worth of emissions – making CCUS a revolutionary method in tackling the climate crisis and helping industry to decarbonise.

Energy Secretary Ed Miliband said:

On Monday, 150 years of coal in this country came to an end. Today, a new era begins.

By securing this funding, we pave the way for securing the clean energy revolution that will rebuild Britain’s industrial heartlands.

I was proud to kickstart the industry in 2009, and I am even prouder today to turn it into reality. This funding is a testament to the power of an active government working in partnership with businesses to deliver good jobs for our communities.

Chancellor of the Exchequer Rachel Reeves, said:

This game-changing technology will bring 4,000 good jobs and billions of private investment into communities across Merseyside and Teesside, igniting growth in these industrial heartlands and powering up the rest of the country.

Working in partnership with business is at the heart of our plan to deliver strong growth and investment, so we can rebuild Britain and make everyone better off.

This announcement will also help turbocharge the low carbon hydrogen sector by paving the way for the UK’s first large-scale hydrogen production plant, decarbonising vital industrial sectors.

It also marks a game-changing development in the mission to tackle climate change – protecting the environment from harmful emissions at a time when the UK has seen a year of record-breaking temperatures. It follows advice from the independent Climate Change Committee, who described CCUS as critical for decarbonising the UK’s heavy industry and a “necessity” for the UK to reach its legally binding target for net zero emissions by 2050.

Similarly, the International Energy Agency and the Intergovernmental Panel on Climate Change have endorsed CCUS as a critical tool in decarbonisation, particularly in heavy industry such as cement and steel.

The carbon capture, usage and storage industry is expected to support 50,000 good, skilled jobs as the sector matures in the 2030s, helping to support the oil and gas sector’s transition away from high emission fossil fuels by using the transferable expertise of their workforce. This supports the UK’s mission for growth, while putting the country at the cutting edge for developing the skills of the future.

An up and running carbon capture industry is expected to add around £5 billion per year to the UK economy by 2050 and the backing of these 2 sites sends a clear signal to investors that the UK is open for business.

As part of the partnership with GB Energy and The Crown Estate, the progress on Track-1 comes as The Crown Estate awarded an Agreement for Lease to Eni to repurpose existing infrastructure to transport and store CO2, reducing cost and environmental impact.

Louise Kingham, SVP Europe and head of country, UK for bp, said:

This announcement represents another step forward for the Northern Endurance Partnership and East Coast Cluster.

Major projects like these have the potential to help stimulate economic growth – supporting thousands of jobs, helping UK companies prosper through the vast supply chains involved and creating the infrastructure to help major industrial companies with their decarbonisation plans.

Collaboration is key in helping to progress and deliver the energy transition in the UK, and we look forward to continuing to work alongside the government and our partners to move these innovative projects forward.

Alex Grant, SVP and head of country, UK for Equinor, said:

We welcome this major milestone in progressing these 2 key projects and applaud the hard work and collaboration that has led us here.

Equinor has been an energy partner with the UK for over 45 years and today’s announcement is a step for both Equinor and the UK to progress our energy partnership further.

This will help decarbonise the country’s industrial heartlands and achieve its net zero ambitions whilst providing jobs and value creation.

The UK will continue to be a key market for Equinor, building on our history of significant energy provision along its East Coast, which is transitioning from traditional oil and gas demand to renewables and low carbon options like CCS and hydrogen.

Eni CEO, Claudio Descalzi, said:

Today’s news is an important step towards the creation of a new business chain linked to the energy transition.

HyNet will become one of the first low-carbon clusters in the world and the project will decarbonise one of the key energy-intensive industrial districts as well as unlock significant economic growth in this region of the UK.

This commitment is clear evidence of how governments and industry can work together to implement pragmatic and effective industrial policies, in order to accelerate decarbonisation. On our side, it reaffirms Eni’s role as a key partner with the UK in enabling its journey towards Net Zero.

James Richardson, Acting Chief Executive of the Climate Change Committee, said:

It’s fantastic to see funding coming through for these big projects. We can’t hit the country’s targets without CCUS so this commitment to it is very reassuring. It will no doubt provide comfort to investors and business about the direction of travel for the country.

We know these projects will provide good, reliable jobs in communities that need them. It is important that prosperity for these parts of the country is built into a clean energy future.

Emma Pinchbeck, Energy UK’s Chief Executive, said:

CCUS is a tool in our armoury of technologies which we need to decarbonise parts of energy that we currently can’t do with clean electricity, such as major industrial processes.

The energy transition is gathering pace, and the development of CCUS here for industrial processes unlocks inward investment, creates jobs and helps areas with a proud history of engineering and industry pioneer the technologies of the future in the UK.

Olivia Powis, CEO of the Carbon Capture and Storage Association (CCSA), said:

The government’s confirmed support for carbon capture and storage and hydrogen demonstrates their commitment to the UK’s journey to net zero.

Today’s announcement shows that decarbonisation does not mean de-industrialisation, and highlights the UK’s leadership in these important technologies.

The industry has made significant strides towards deploying carbon capture projects and by establishing the first 2 CCUS clusters in the North West and North East of England, it means that we can deliver thousands of new highly skilled jobs whilst reducing our CO2 emissions and retaining existing jobs in our industrial areas in critical industries like cement and manufacturing across the UK.

Celia Greaves, CEO of the Hydrogen Energy Association, said:

This is a vital step forward, catapulting hydrogen towards long-term certainty we need in the UK. Supporting hydrogen at scale in 2 of the biggest UK industrial clusters is the government giving hydrogen another green light as a key component of its green energy ambitions. We particularly welcome the news that this will provide thousands of new jobs given the HEA’s solid focus on hydrogen’s role in delivering clean growth.

Our own project map has built up a blueprint of hydrogen endeavours across all parts of the UK and this significant investment in carbon capture clusters is going to bring forward the first large scale projects we have seen in the country. What’s more, it will inject further enthusiasm for wider investment to power-up business confidence which will have a knock-on effect of continuing to position the UK as a global player in hydrogen technology and innovation.

Clare Jackson, CEO of Hydrogen UK, said:

We are thrilled to see the UK government’s commitment to advancing Track-1 clusters in partnership with the private sector. This initiative is a crucial step forward for regional development, driving economic growth, and creating high-quality jobs across the country.

The integration of CCUS technology with hydrogen production is pivotal for achieving our net zero targets. CCUS-enabled hydrogen not only provides a low carbon, and scalable energy solution but also ensures the UK remains at the forefront of the global hydrogen economy.

By moving forward with Track-1, we are laying the foundation for a cleaner, more resilient energy future for all.

Mike Clancy, General Secretary of Prospect union, said:

Funding the development of commercial carbon capture and storage is an important part of the transition to a low carbon economy.

Siting this new technology in areas where high carbon jobs are being phased out is also vital to support our industrial heartlands and ensure future jobs and skills.

CCUS also allows the UK to retain and develop domestic energy intensive industries while still cutting carbon. The alternative is simply offshoring industry, losing jobs and failing to genuinely cut emissions.

Rain Newton-Smith, CEO, Confederation of British Industry (CBI):

This latest announcement demonstrates the UK’s continued leadership in driving the net zero transition. Investments in CCUS will not only enable key decarbonisation projects to become a reality but will pave the way for meaningful industrial decarbonisation. It also has the potential to unlock high quality jobs and commercial opportunities, as well as further develop existing supply chains. Green growth can undoubtedly be the engine that powers the UK’s economy for decades to come and this moment represents a critical milestone as we create and shape the markets of the future.

The press release issued by the Department for Energy Security and Net Zero on 2 October 2024.

Taskforce to accelerate the UK’s solar energy rollout to strengthen energy independence and deliver updated roadmap as part of 2030 clean power mission.

Solar power will be a key driving force behind the 2030 clean power mission, Energy Secretary Ed Miliband told industry today (Wednesday 2 October) during the first meeting of the government’s reactivated Solar Taskforce.

The taskforce brings together leading figures from DESNZ, industry and regulatory organisations and will focus relentlessly on accelerating the delivery of solar energy across the country. Homegrown, renewable energy projects including solar will help build the UK’s energy independence and reduce dependence on volatile fossil fuels – protecting consumer bills and providing clean power.

Reflecting the government’s ambitions to generate more solar power by 2030, the taskforce will build on its strong foundations, and has committed to delivering an updated solar roadmap within the coming months.

To inform this work, this first meeting focused on renewed efforts to expand solar energy initiatives, including actions to develop ethical, resilient and innovative supply chains and to ensure that a skilled and properly resourced workforce is in place to scale up solar installations across the UK.

This comes after plans were announced in July for a ‘solar rooftop revolution’, which will see millions more homes nationwide equipped with solar panels, significantly boosting solar power’s contribution to the UK’s renewable energy transition and protecting household bills.

In just a few months, the government has also consented unprecedented amounts of nationally significant solar – 2GW – more than the last 14 years combined.

Energy Secretary Ed Miliband said:

The relaunch of the Solar Taskforce is essential for accelerating action and innovation in our journey towards clean power by 2030 – and to achieve this we are committed to working in lockstep with industry.

The taskforce has shared ambitions to go further and faster, and as solar is one of the cheapest sources of power to build and operate, it is just common sense to make sure it powers even more UK homes and businesses.

This will not only help to cut carbon emissions but communities stand to benefit too from secure homegrown energy and lower energy costs.

Chris Hewett, CEO Solar Energy UK, said:

I am excited to be working with the new Secretary of State on getting the solar taskforce back to work for the country.

More solar power means cheaper, more secure and more sustainable energy, alongside jobs and economic growth.

To deliver on those aims, the forthcoming solar roadmap will outline how the UK will overcome critical barriers to the sector’s growth, among them skills and access to the electricity grid.

The press release issued by the Department of Energy Security and Net Zero on 23 September 2024.

New plans to boost minimum energy efficiency standards for all rented homes.

Over 1 million households are set to be lifted out of fuel poverty, as the government announces plans for the biggest potential boost to home energy standards in history.

Families across the country are continuing to grapple with the consequences of high energy bills amid a cost-of-living crisis – with too many tenants exposed to a harsh daily reality of cold, draughty homes and expensive bills.

Government intervention is now well overdue to transform living standards and deliver the safety and security of warmer, cheaper homes that are free from damp and mould.

The Energy Secretary pledged to take action to reverse these failures of the past and stand with tenants, with a commitment to consult by the end of the year on boosting minimum energy efficiency standards for private and social rented homes by 2030.

Currently, private rented homes can be rented out if they meet Energy Performance Certificate E, while social rented homes have no minimum energy efficiency standard at all.

The government will now shortly consult on proposals for private and social rented homes to achieve Energy Performance Certificate C or equivalent by 2030.

The government has also announced a new Warm Homes: Local Grant to help low-income homeowners and private tenants with energy performance upgrades and cleaner heating, and confirmed the continuation of the Public Sector Decarbonisation Scheme, as well as the Warm Homes: Social Housing Fund, which replaces the Social Housing Decarbonisation Fund, to support social housing providers and tenants.

Today’s announcements kickstart delivery of the government’s Warm Homes Plan, which will transform homes across the country by making them cleaner and cheaper to run, from installing new insulation to rolling out solar and heat pumps.

Notes to editors

The number of tenant households in fuel poverty which are set to benefit from higher minimum energy efficiency standards is a preliminary estimate using the DESNZ National Buildings Model based on the assumptions from the government’s preferred position in the 2020 consultation on Improving the Energy Performance of Privately Rented Homes in England and Wales . The same assumptions were also applied to social housing to estimate the impact of new standards in the social rented sector. This includes assuming an energy efficiency target rating of C based on SAP2012 and the estimate refers to fuel poor households in England only. No account is taken of other future policies that might interact, such as the Warm Homes: Social Housing Fund. Fuller analysis will be set out in an Impact Assessment for the Regulations.

Guidance for Local Authorities on the new Warm Homes: Local Grant, which replaces the Local Authority Delivery scheme, and which will start delivery in 2025. The expression of interest window for local authorities wishing to participate will open in October this year. Low-income, private tenants will be eligible for support, with the agreement of their landlord. Private tenants are also eligible for support under the Energy Company Obligation. Further details of the Warm Homes Plan will be set out through the Spending Review.

Guidance for Wave 3 of the Warm Homes: Social Housing Fund, which opens for applications in week commencing 30 September.

Guidance for Phase 4 of the Public Sector Decarbonisation Scheme, which is delivered by Salix Finance.

We will shortly set out a consultation with proposals for improvements to Energy Performance Certificates to make them more accurate and reliable.

The press release issued by the Department for Energy Security and Net Zero on 20 September 2024.

New government consultation will investigate introducing regulations for third-party services in the energy retail market to protect consumers and businesses.

Energy brokers and price comparison websites will be among those set to be held to account by a new regulatory regime, to provide better protections and save money for consumers and businesses.

These new government proposals are a response to unacceptable instances of consumers and businesses being scammed by unregulated rogue brokers and other Third-Party Intermediaries (TPIs) in the energy retail market.

Many TPIs provide valuable services to consumers, helping them to shop around for the best deals and secure energy contracts which are best tailored to their needs.

However, examples of unethical behaviour have included adding hidden fees in exchange for their services or offering unsuitable contracts for customers’ specific requirements – all in a market where their clients have little, or no, route for redress.

The proposals published today seek to stop this practice by regulating the market, and aim to restore trust in these organisations. They would make it mandatory for TPIs to provide transparent information on their fees and clarity over the terms of their contracts to ensure consumers can make informed decisions on whether to sign on the dotted line. Universal standards of practice to prevent mis-selling and improve dispute resolution mechanisms would also be introduced to safeguard consumer rights.

As well as helping families and businesses secure a fair deal, TPIs could also offer complementary services to empower consumers to reduce their carbon footprint by advising them on the best ways to improve their energy efficiency and cut carbon emissions – which in turn could also help bring down their bills.

Minister for Energy Consumers Miatta Fahnbulleh said:

Too many families and businesses, already struggling with the effects of the energy crisis, have fallen victim to poor practices by energy intermediaries. These unregulated third parties and rogue brokers have had license to scam consumers without oversight or facing consequences.

We will bring these intermediaries under control and put an end to hidden fees and other unethical tactics.

A new regulatory framework, coupled with clear rules and standards, will restore trust and protect consumers while helping to build an energy market fit for the future – one where these organisations help people save money through fairer practices and show them the best ways to reduce their carbon footprint.

Tina McKenzie, Policy Chair, Federation of Small Businesses (FSB), said:

We are very pleased to see that the government is proposing that energy brokers will be compelled to be more transparent about fees and contract terms, and that the complaint and dispute resolution process will be more robust.

The energy market can be very confusing to navigate for small firms, and many find brokers are helpful to find the best possible deal. However, this is not the case for all third-party intermediaries and there is widespread scepticism among small businesses as to whether they truly act in the small business customer’s best interests. FSB has long called for tougher rules to crack down on questionable practices among a significant minority of third-party intermediaries, to make the energy market work better for small business consumers.

This will drive up confidence and create a fair and level playing field for small businesses as they get past the energy crisis and look to the future, with the right deal for them.

Taken together, the measures being proposed are all designed to protect consumers, but also raise standards and ensure fair competition in the energy market of the future.

Subject to the consultation, a new regulatory regime will:

• put in place a coherent approach to regulation of TPIs
• ensure fairness, equity and consumer empowerment in interactions with TPIs, enabling informed decision-making
• require price transparency for consumers within the TPI sector
• provide a suitable remedy for customer harm if it does occur
• accommodate both existing and future TPI business models whilst also being proportionate to the harm or risk of harm identified
• encourage innovation, measures that will contribute towards net zero, and fair market competition

These measures and standards will also be future-proofed, enabling this relatively new market to continue evolving, and making use of new technologies such as artificial intelligence to deliver the best service, and savings, for consumers and businesses.