Powering Our Net Zero Future

‘Powering Our Net Zero Future’…in a nutshell

As identified in the recent government white paper, Coronavirus has taken a heavy toll on our society and on our economy. We are informed that we must ‘rebuild our economy, building back better and levelling up the country’ meanwhile the inter-generational challenge of climate change remains. Unchecked, the impact of rising global temperatures represents an existential threat to the planet. So, it makes sense that building back better means building back greener. At CLM we strive to simplify the complex, in order to ensure transparency and to unite engaged parties in making a positive impact on the future. Here, we have condensed the recent Energy White Paper highlighting the much discussed ten-point plan and what it means to us globally, as a nation, as well as consumers.

The UK has set a world–leading net zero target, the first major economy to do so, but simply setting the target is not enough – we need to achieve it. Failing to act will result in natural catastrophes and changing weather patterns, as well as significant economic damage, supply chain disruption and displacement of populations.

Tackling climate change will require decisive global action and significant investment and innovation by the public and private sectors, creating whole new industries, technologies, and professions. But fighting climate change offers huge opportunity for both growth and job creation. The global markets for low-carbon technologies, electric vehicles and clean energy are fast growing: zero emission vehicles could support 40,000 jobs by 2030. The white paper puts net zero and the effort to fight climate change at its core, following the Prime Minister’s Ten Point Plan for a Green Industrial Revolution. The Ten Point Plan sets out how government investment will leverage billions of pounds more of private investment and support up to 250,000 jobs by 2030.

The shift to net zero will affect us all. The white paper presented a vision of how we make the transition to clean energy by 2050 and what this will mean for us as consumers of energy in our homes and places of work, or for how businesses use energy to produce goods and services. It addressed the transformation of our energy system, promoting high-skilled jobs and clean, resilient economic growth as we deliver net-zero emissions. As the world looks to recover from the impact of coronavirus on our lives, livelihoods and economies, we have the chance to build back better: to invest in making the UK a global leader in green technologies.

The ten-point plan focuses on increasing ambition in the following areas:

• advancing offshore wind
• driving the growth of low carbon hydrogen
• delivering new and advanced nuclear power
• accelerating the shift to zero emission vehicles
• green public transport, cycling and walking
• ‘jet zero’ and green ships
• greener buildings
• investing in carbon capture, usage and storage
• protecting our natural environment
• green finance and innovation

Following on from the ten-point plan and the National Infrastructure Strategy, the Energy White Paper provides further clarity on the Prime Minister’s measures and puts in place a strategy for the wider energy system that:

• transforms energy, building a cleaner, greener future for our country, our people and our planet
• supports a green recovery, growing our economy, supporting thousands of green jobs across the country in new green industries and leveraging new green export opportunities
• creates a fair deal for consumers, protecting the fuel poor, providing opportunities to save money on bills, giving us warmer, more comfortable homes and balancing investment against bill impacts

We are reminded on a daily basis why we need this Green Industrial Revolution: climate change is having a real effect on our planet. In order to meet the temperature goal of the Paris Agreement, the world must collectively and rapidly reduce global emissions to net zero over the next 30 years. Success will mean we are less exposed to flood and heat risks and preserve our national security, our prosperity, and our natural world which are threatened by the global disruption of climate change.

The domestic agenda

• 30 years of successfully reducing UK emissions while simultaneously growing our economy
• 500% increase in the amount of renewable capacity connected to the grid from 2009 to 2020
• 72% reduction in greenhouse gas emissions from electricity generation between 1990-2019

Clean electricity will become the predominant form of energy, entailing a potential doubling of electricity demand and consequently a fourfold increase in low-carbon electricity generation. We must secure this transition while retaining the essential reliability, resilience and affordability of our energy. Traditionally, households have been passive consumers of energy from fossil fuels, but trends are rapidly evolving.

Smart technology is unlocking new opportunities to give consumers more control, choice and flexibility over their energy use. We are seeing retail offers that will help consumers engage in the market and save money in the process.

Electric vehicles will accelerate this trend. By using a smart charger when powering up an electric vehicle, consumers will play an essential role in helping manage electricity demand, avoiding the expensive peak periods. Increasingly, consumers will also be able to export energy from their electric vehicle back to the grid. In doing so, they could significantly reduce energy costs and help maximise the amount of solar and wind energy used to charge a vehicle.

And some local communities are coming together to establish their own approach to managing energy demand in their areas. Smart local energy systems are community-based initiatives which bring together a range of energy issues, typically including heat, power and transport, to reduce emissions in an integrated way, while also promoting local jobs and businesses. Local Authorities are key to delivering these systems by combining energy into their wider statutory work on housing, transport, waste and planning, making delivery more cost-effective and preparing for a net zero future.

The white paper’s scope is vast and urgent, and its publication has been well received by most. On the same day it was released, Jonathan Brearley, Chief Executive of Ofgem welcomed the “ambitious programme to build a fairer, greener energy system”. Whilst its greenness and fairness leap from every page, so too does the obvious, but implied, cost to deliver it.

At CLM we continue to highlight changes and developments within our industry which will invariably impact Land Rights, legislation and in turn our clients.