Kathryn Porter for Watt-Logic, quick off the mark in response to the Government's Press Release, the text of which is below. She fully agrees with new large scale gas generation, and is scathing about zonal pricing.
'I think the chances of savings actually emerging are small, but in the near term, consumers would not only pay more, but they could be forced to live alongside ugly infrastructure they have time and again rejected in public consultations. People do not appear to want to live close to windfarms in particular, so the idea that they will be forced to not only have these machines close to their homes, they will have to pay extra for the privilege is unlikely to go down well with the public.'
'So far consumers have bought into the narrative that renewables are cheap, but there must be limits to how far they can be misled over this – at some point they will notice that bills have risen significantly since we began the push for renewables, and that this is true in most countries that have developed intermittent renewables, and in particular wind power, at scale. People may wonder why, if the wind is free, not only are windfarms subsidised, but that subsidies are increasing. They may wonder why, if renewables are so cheap, they will be asked to pay more in their bills to have them built close to their homes. At some point they will realise that the intermittent renewables emperor has no clothes.'
The Government Press Release:
'Energy Security Secretary to set out strategy for gas in speech and take common-sense action to futureproof the country’s long term energy security.'
Ye gods - common sense has entered the green room.
' The Energy Secretary has taken a common-sense decision to shore up the UK’s energy supply as the nation transitions to net zero.
In a plan set out today, the Government has committed to support the building of new gas power stations to maintain a safe and reliable energy source for days when the weather forecast doesn’t power up renewables.
No other major economy has done more when it comes to cutting emissions. The UK is the first major economy to cut its emissions by half since 1990, compared to the EU who have cut emissions by 30%, the US not at all and China’s emissions are up by 300%.
This is the latest step in efforts to reach net zero in a sustainable, pragmatic way that rids the UK of the need to rely on foreign dictators like Putin. The UK led the way on banning imports of Russian gas and is delivering new sources of home-grown energy: with new nuclear power plants, record investment in renewables, and new oil and gas licences in the North Sea.
The need for continued unabated gas generation into the 2030s as a back-up to ensure energy security and reduce costs has been recognised by the Climate Change Committee. Today’s plan keeps the UK on track to meet its net zero targets.
Prime Minister, Rishi Sunak, said:
Our record on net zero speaks for itself – the latest stats show that we’re already halfway there, with greenhouse gas emissions 50% lower than in 1990.
But we need to reach our 2035 goals in a sustainable way that doesn’t leave people without energy on a cloudy, windless day.
I will not gamble with our energy security. I will make the tough decisions so that no matter what scenario we face, we can always power Britain from Britain.
Energy Security Secretary, Claire Coutinho, is expected to say:
There are no two ways about it. Without gas backing up renewables, we face the genuine prospect of blackouts. Other countries in recent years have been so threatened by supply constraints that they have been forced back to coal.
There are no easy solutions in energy, only trade-offs. If countries are forced to choose between clean energy and keeping citizens safe and warm, believe me they’ll choose to keep the lights on.
We will not let ourselves be put in that position. And so, as we continue to move towards clean energy, we must be realistic.
As part of the second consultation on the Review of Electricity Market Arrangements, the Energy Secretary has set out a plan to boost gas power capacity. Firstly, by broadening existing laws requiring new gas plants to be built net-zero ready and able to convert to low carbon alternatives in the future such as carbon capture and hydrogen to power. Secondly, these gas power plants will run less frequently as the UK continues to roll out other low carbon technologies. Finally, this is in line with wider government plans to deliver net zero whilst keeping costs down for billpayers.
Electricity is powering a growing share of the economy. This year the UK registered the one-millionth electric vehicle and applications to the electric heat pump scheme are up 50% year-on-year.
The UK has built the five largest operational offshore wind farm projects in the world, and the share of electricity coming from renewables has risen from 7% in 2010 to almost half today. That has allowed a phase-out of coal generation altogether, with the last major plant closing this year.
While the renewable share will increase in the years ahead, they aren’t failsafe, and future supply can only be calculated based on estimation. That is why flexible power generation is needed, to keep electricity secure and reliable, acting as back-up generators to keep the lights on.
The consultation also includes proposals to reduce people’s bills across the country. A significant proportion of the UK’s energy is located away from areas of high demand: for example, a quarter of the UK’s renewable energy is generated in Scotland. Different wholesale prices could better match supply and demand and bring down costs for people across the country. The reforms could save households £45 off their yearly energy bill and the government will consult on the proposals to deliver the long-term change the UK needs to make a brighter future for Britain, and improve economic and energy security for everyone.
Ms Coutinho is also expected to add:
From my time in this role, it is clear to me that we have entered a new era. It’s an era in which energy can be weaponised against us. An era where our adversaries can inflict harm directly on British families and businesses through energy prices.
If we cannot retain control of energy prices, if we cannot protect families and businesses from the threat of future shocks, then we are not really secure. So, we must be hard-headed about the future of our energy system. We must put national interest over ideology.
This builds on wider measures to reduce energy bills, including improving access to cheaper deals. For example, some households could save up to £900 a year – nearly half a typical bill - through cheaper, off-peak energy tariffs, such as by charging an electric car at off-peak times. In addition, energy prices have recently fallen to their lowest level since the war began.
It is yet another step to put more cash in people’s pockets – building on the Chancellor’s historic budget delivered this week, which has slashed National Insurance Contributions: giving the average worker an extra £900 a year.'
Reaction from various actors can be seen at the end of the PR:
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