Energy Suppliers urge the UK Government to deliver a green Covid-19 recovery

Environment front and centre

The call for a cleaner economy has also been signed by The National Grid and 200 other UK businesses including multinational companies such as Sky, Coca Cola.

“There’ll be no healthy economy without a healthy population and a healthy planet. Investment to rebuild Britain after coronavirus should be aligned with industries and projects that support net-zero. Prioritising investment in new low carbon infrastructure and energy projects will unlock high-quality jobs and investment in towns and regions that have been hardest hit by the crisis,” said Colin Matthews, non-executive chairman at EDF Energy.

The three demands

The letter sent to the government has three demands that the signatories want to see implemented.

The first is that the government should use a combination of targeted public investment and introduce clear policy signals to support low carbon technologies in the private sector. The letter suggests using setting penalties on carbon emissions or introducing tax incentives to encourage the adoption of cleaner technology.

Second, the government should prioritise sectors within the economy that can stimulate jobs, spur the economy, and help lower carbon emissions. These include construction, renovation and energy efficiency, and low-carbon electricity and electric vehicle infrastructure.

The third point suggests that the government sets out stimulus packages that include measures to ensure that the businesses which receive government support align their business strategies with the government’s own climate goal of the UK becoming carbon neutral by 2050 and for emissions to hit NetZero within the next 30 years.

“Economic and environmental objectives are aligned today as never before, highlighting the urgent need for a green recovery to the current crisis. The UK Government’s recovery plan should recognise this and put us on track to deliver the 2050 climate target. As the first integrated energy company to generate 100% renewable electricity we are ready to accelerate our investment in powering a clean recovery that helps create jobs, support communities, and tackle the climate crisis,” said Keith Anderson, chief executive at Scottish Power. 

Biomass takes a record share of the energy mix

In further signs that the UK is picking up the pace when it comes to green and renewable energy, new data released by Imperial College London and Drax have shown that Biomass-fired power took a record share of the energy mix for a second consecutive month in May.

The rise comes as demand for energy fell to record lows because of the lockdown caused by the Covid-19 pandemic. Grid demand fell by 3.9% in May from April and tumbled 22.2% from March.

Biomass accounted for 8.8% of the energy mix, a rise from the previous record in April of 7.98%.

Gas remains the largest contributor to the UK energy mix, with 7.28GW, or 27.88%, of the mix recorded in May.

Nuclear overtook wind to become the second-largest source for the grid. Nuclear provided 5.54GW, taking a 20.96% share, while wind generation averaged 5.42GW, accounting for 20.43%.

Further Reading

Ofgem confirms gas charging reforms will be implemented in October despite criticism from business leaders

Smart meter installations to resume in June as number of installations fell 15% in Q1 of 2020

Covid-19 pandemic to cause global energy investment to plummet by $400 billion this year

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