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Energy UK looks for Queen’s Speech to fit the Bill

Ahead of the Queen’s Speech next Tuesday (May 10th), Energy UK is calling for the inclusion of an Energy Bill to drive forward the creation of a modern, flexible, low carbon energy system which can deliver value for customers and play a crucial role in enabling the UK to meet its climate change targets.   

There has been no major energy legislation since 2013, during which time the sector has changed dramatically and so Energy UK believes a new Bill will be required to put in place the necessary framework and powers to deliver on commitments to create a low carbon power system by 2035 and support the push towards a Net Zero economy by 2050. 

This challenge has been given even greater urgency as the impact of record global energy prices hits customers – underlining the need to press ahead with establishing the UK’s own energy security through expanding sources of domestic clean power along with low carbon technologies that can deliver cheaper, innovative and improved services to customers.

Energy UK believes that the new Bill should focus on three priorities:

  • Securing low carbon investment and creating green jobs through the expansion of new and developing technologies like Carbon Capture and Storage (CCUS), Hydrogen, storage and heat pumps; putting in place the necessary infrastructure like transmission and grid connections to support this expansion; and by moving policy costs off bills to encourage consumer adoption of these new technologies.         
  • Delivering value to energy consumers through stronger regulations to improve energy efficiency in new and existing buildings and make them fit for the future by equipping them with smart meters, low carbon heating options and electric vehicle charging points; removing existing planning barriers; addressing gaps in consumer protections in relation to heat networks and third-party intermediaries; creating a sustainable stable retail market that can support customers through the adoption of new technologies.     
  • Establish a low carbon governance framework so that government and regulatory bodies have the necessary powers and obligations to drive change quicker as part of a coordinated and comprehensive approach to meeting the 2050 Net Zero target. 

A more detailed summary is available here  

Dhara Vyas, Energy UK’s Director of Advocacy, said:

“The energy sector has undergone a huge transformation in the decade since the last Energy Bill and has the potential to go much further and faster towards a clean, modern and flexible system – with tangible benefits for customers, our economy and our environment. 

“With record energy bills at present, resulting from unprecedented international gas prices, we must seize this opportunity to expand our own sources of domestic, clean energy along with encouraging the widespread adoption of low carbon technologies.

“This country now has a raft of ambitious targets in place and the focus must now be on delivering these. We can only do this with a Bill that enables our sector to do what we need to do now and deliver on the full potential of the future energy system – so that progress isn’t being blocked by outdated legislation and regulations drawn up for a different time.

“A new Energy Bill should create a framework for a low carbon future. The energy industry is ready to deliver.”

Notes to Editors

Energy UK is the trade association for the energy industry with over 100 members spanning every aspect of the energy sector – from established FTSE 100 companies right through to new, growing suppliers and generators, which now make up over half of our membership. We represent the diverse nature of the UK’s energy industry with our members delivering nearly 80% of the UK’s power generation and over 95% of the energy supply for the 28 million UK homes as well as many businesses. The energy industry invests £13bn annually, delivers nearly £30bn in gross value added on top of the nearly £100bn in economic activity through its supply chain and interaction with other sectors, and supports over 700,000 jobs in every corner of the country.