Government has revealed the details of its Energy Bill which will commit £7.6 billion to low-carbon energy infrastructure in the UK but, controversially, avoids commitment to a 2030 decarbonisation target.
The long-awaited Energy Bill is designed to foster energy security at the same time as reducing UK emissions.
The details of the Energy Bill were announced late last night but the Bill will not be officially published until next week.
The revelation that a decision on a 2030 decarbonisation target will not be fixed until after the 2016 election has outraged environmental groups but has been welcomed by industry bodies, including EEF.
Terry Scuoler, EEF CEO said that this Energy Bill “is a decisive move towards a balanced energy policy.”
Director general of the CBI, John Cridland agreed saying: “This package will send a strong signal to investors that the Government is serious about providing firms with the certainty they need to invest in affordable secure low-carbon energy.”
Mr Cridland urged goverment to “Get the bill on the statute books as quickly as possible.”
The Energy and Climate Change Secretary Ed Davey, said: “This is a durable agreement across the coalition against which companies can invest and support jobs and our economic recovery.”
If industry agrees the Energy Bill may mark a turning point for the fortunes of manufacturers in the energy generation supply chain.
At a round table discussion held this Wednesday at the Manufacturer Director’s Conference 2012 representatives from this sector pin-pointed clarity on government policy as a major halter on private investment in UK energy infrastructure, capacity and technology development.
Around £110 billion pounds is thought to be required to renew and develop the UK’s energy infrastructure by 2020 in order to meet demand.
