Responding to the publication of 'Mission Zero – Independent Review of Net Zero' by the Conservative MP Chris Skidmore, RenewableUK’s CEO Dan McGrail said:
'Chris Skidmore’s Review emphasises the importance of creating a tax and regulatory environment which encourages investment into the UK at a time when we are struggling to compete for investment against countries with attractive incentives for renewable energy like the USA. That's why it's vital that the Government considers the signals Treasury is sending to clean energy investors following the introduction of the Electricity Generators Levy, which kicked in at the start of this year and is now putting investment at risk. A stable policy environment is vital at a time renewable developers and their supply chain are under massive financial pressures just like any other sector, to ensure we maximise investment in renewables. Given this, the Government needs to look at what more could be done to increase investor confidence.
'The Review rightly acknowledges that one of the main barriers facing the growth of the renewable energy sector is that it can take 6 to 10 years for renewable projects to get a grid connection. The Review highlights just how critical the grid issue is for unlocking investment in the whole clean energy sector and it's vital that its recommendations are taken forward immediately in the Energy Bill currently going through Parliament - particularly the reform of Ofgem's remit to incorporate the Government’s net zero target. To ensure grid capacity is delivered, the Government needs to take the same kind of agile and empowered approach as was used for developing the Coronavirus vaccine, with the Prime Minister bringing all relevant bodies together to address this urgently.
'If the Government is looking to increase the economic benefits of the UK’s decarbonisation ambitions, the Review sets out some really clear easy wins. Setting targets for new onshore wind and solar capacity would certainly increase investor confidence and ensure we can decarbonise our electricity system by 2035. The review rightly underlines the vital importance of using a wide range of renewables to strengthen Britain’s energy security, including innovative technologies like floating wind, tidal stream and green hydrogen. It also recognises that deployment of these technologies hinges on timely investment in port infrastructure and reform of our clean power auction system to grow the UK’s renewable energy supply chain'.
Source: RenewableUK
