A tablet showing energy levels in a home

Biggest UK energy reform in a decade in new ambitious plans

The UK Government’s Department for Business, Energy and Industrial Strategy have today announced a new, landmark set of plans that will be introduced into Parliament, with the aim of helping the UK transition to a cleaner, affordable, home grown energy system.

This is the most significant piece of energy legislation in a decade, with 26 measures in place, including the encouragement of the deployment of heat networks and lowering the cost of ultra-efficient electric heat pumps. This will, hopefully, reduce the UK’s dependency on global fossil fuel markets and its exposure to volatile gas prices by helping to scale up the installation of clean technologies going forward.

Kwasi Kwarteng, Business and Energy Secretary, said:

“To ensure we are no longer held hostage by rogue states and volatile markets, we must accelerate plans to build a truly clean, affordable, home-grown energy system in Britain.

This is the biggest reform of our energy system in a decade. We’re going to slash red tape, get investment into the UK, and grab as much global market share as possible in new technologies to make this plan a reality.

The measures in the Energy Security Bill will allow us to stand on our own two feet again, reindustrialise our economy and protect the British people from eye-watering fossil fuel prices into the future.”

Another of the measures that are set to be introduced involve support for the deployment of low carbon technologies at a large scale. Carbon capture, usage and storage (CCUS) and hydrogen will help to drive investment by assuring businesses and that they will be secure.

Chief Executive of the Carbon Capture and Storage Association, Ruth Herbert, said:

“Carbon capture, utilisation and storage has a critical role to play in reducing the UK’s emissions and in the development of our industrial regions, where investment in new infrastructure can put us at the forefront of the global net zero transition.

The CCSA has worked with the UK government on a credible investment framework for CCUS deployment and we are pleased to see the Energy Security Bill laid in Parliament today to implement it. We look forward to confirmation of the first wave of carbon capture projects and a clear plan for subsequent projects to move ahead as soon as possible, given their vital role in our future low carbon economy, driving inward investment, and maintaining and creating green jobs for the future.”

With the rising cost-of-living, plans to help with the protection of consumers will be further developed. The extension of the energy price cap beyond 2023 will be enabled by new powers as well as bringing in Ofgem to oversee the regulation of the heat networks market for the first time to make sure that customers are charged a fair price. As part of this, the regulator will be able to investigate any disproportionate prices and take enforcement action on those responsible.

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