The Energy Bill must include a reference to decarbonising the UK's energy supply, for low-carbon technologies to secure necessary investment, says sector
Trade bodies representing the nuclear, renewable and carbon capture and storage sectors have jointly called on the government to ensure the new Energy Bill discusses the need to decarbonise the UK’s energy supply by 2030 to meet carbon reduction targets.
In a letter to the energy secretary Ed Davey, RenewableUK, the Nuclear Industry Association and the Carbon Capture and Storage Association, warn that it is “vital” the UK doesn’t lose momentum in building new low-carbon energy capacity and urges the government to complete the Energy Bill as swiftly as possible.
While falling short of requesting a target to decarbonise the UK’s energy supply in the Bill, the bodies argue that including a reference to decarbonisation would help to provide the policy certainty needed by investors.
“This would not only reassure potential investors by lowering the perceived political risks, but could also reduce the cost of capital for decarbonising the power sector. We therefore believe that this could be very important for investment going forward,” states the letter.
Davey confirmed in October that the Energy Bill will be published later this month in time for a second reading before Christmas.
