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Insights

Fuelling the future

Progressing the gas transition for Net Zero

The role of gas in the UK

This is the first in a series of briefings from Energy UK and the Carbon Capture and Storage Association (CCSA) which will explore the role of gas in the transition to a Net Zero economy.

Gas is currently the largest energy source in the UK and accounts for more than half of our carbon emissions. We plan to reduce gas in the economy, across power, heat and industry over the coming decades, according to the scenarios laid out in the UK carbon budgets and as low-carbon technologies come online. However, the gas transition has been overlooked in policy to date, and the Government’s recent announcement that the UK needs to build new gas plants to ensure security of supply highlights the need to accelerate the deployment of low-carbon alternatives. This will require a repositioning of our existing supply chain to meet emerging opportunities and a repurposing and expansion of our workforce to enable the transfer of skills needed to meet the demand of this transition.

These measures are not only essential to achieving our Net Zero targets, but they also provide an opportunity for the UK to lead in the development of new low-carbon technologies while also reducing the UK’s reliance on imported energy sources. This will enhance our energy security and resilience and minimise the UK’s exposure to high and volatile international prices, as evidenced during the gas price crisis.

Infographic showing that gas is responsible for over half of the UK's territorial greenhouse gas emissions. 39% of UK energy use is from gas but it is estimated that this could be as low as 6% by 2050. 1/3 is used to make electricity. 1/3 is used to heat homes. 1/5 is used in industrial processes with the rest used in applications such as commercial and public sector premises. Around half the UK's gas is imported leaving us reliant on other countries and exposed to geopolitical conflicts. Gas is traded on international markets and can be highly volatile. In 2022 prices peaked at over 20 times the average 2020 price. 
Gas is still our largest single source of electricity accounting for 38% of the electricity generated in 2022.
Over 70% of UK homes are heated with natural gas, much higher than other developed countries.