This issue of the Digest of United Kingdom Energy Statistics (DUKES) is part of a series and updates the figures given in the DUKES 2009. The publication consists of seven chapters; the first chapter deals with overall energy, with the other chapters covering specific fuels, combined heat and power and renewable sources of energy. The statistics presented in this digest will generate widespread interest from anyone working within or with an interest in energy sources, consumption and climate change. Chapters covering specific fuels and renewable sources of energy contain details on the production and consumption of individual fuels, presented using commodity balances. A commodity balance illustrates the flow of a fuel through from production to final consumption. These individual commodity balances are also combined in an energy balance, showing the interaction between different fuels. General energy statistics are presented in a table, revealing energy consumption by final users and an analysis of energy consumption by main industrial groups. Surveys conducted by AEA Energy & Environment on behalf of DECC estimate the contribution made by combined heat and power and renewable energy to energy production and consumption in the UK.
This report discharges obligation under section 172 of the Energy Act 2004 as amended by section 80 of the Energy Act 2011; to report annually on the availability of electricity and gas for meeting the reasonable demands of consumers in Great Britain. It also discharges obligation under certain EU Directives to monitor and report on gas and electricity security of supply issues. This year's report includes two annexes: the Secretary of State's response to Ofgem's Electricity Capacity Assessment report; and an update to the indicators on security of supply published in the Energy Security Strategy of November 2012. Great Britain's electricity system faces some significant challenges over coming years. Older more polluting generation capacity has been closing under EU directives and some generation infrastructure is naturally coming to the end of its working life. In addition the system needs to ensure the UK can meet its decarbonisation objectives. In relation to gas, GB has the most liquid and one of the largest gas markets in Europe with extensive import infrastructure and a diverse range of gas supply sources. If necessary it could meet nearly double (189 per cent) its annual demand from imports alone. With regards to oil, the international nature of oil markets mean that if there are issues with a particular supply source it is likely to impact on prices paid, as opposed to physical supplies, as other supplies step in to take advantage of higher prices on offer. However GB's dependence on imports is expected to increase as oil demand globally continues to rise, and as global production becomes more complex
The second in CEPR's annual Monitoring European Deregulation (MED) series, this report explores the economic and regulatory aspects of a single European market for electricity and provides a basis for policy choices both at national and EU levels. The report combines analyses of key issues in electricity market integration and liberalization with evaluations of practical experiences in selected European countries: France, Germany, Norway, Spain, Sweden, and the UK. Key issues include: to what extent competition in national electricity markets is a necessary requirement for the integration of these markets, and the design of national electricity markets in which competition in generation and supply is allowed. Lars Bergman is at the Stockholm School of Economics; Gert Brunekreeft is at Institut fuer Verkehrswissenschaft, University of Freiburg; Chris Doyle is at the London Business School; David M G Newbery and Michael Pollitt are at Cambridge University; Pierre Regibeau is at Institut d'Analisi Economica CSIC, Bellaterra; and Nils von der Fehr is at Nuffield College, Oxford.
The Annual Energy Statement 2013 sets out the government's priorities in delivering the UK's energy policies in the near term: helping households and businesses take control of their energy bills and keep their costs down; unlocking investment in the UK's infrastructure that will support economic growth; playing a leading role in efforts to secure international action to reduce greenhouse gas emissions and tackle climate change. It presents plans to make switching simpler and quicker, and a new probe into energy firms' accounts, to make them more transparent on profits and prices, as well as increasing penalties for market manipulation and regularly checking that the market is working properly
This strategic defence and security review provides detailed information on how the Government plans to deliver the strategy outlined in "A strong Britain in an age of uncertainty: the national security strategy" (Cm. 7953, ISBN 9780101795326). Chapters cover: national security tasks and planning guidelines; defence; the deterrent; wider security; alliances and partnerships; structural reform and implementation. An adaptable posture is proposed, enabling a flexible response to highest priority risks, maintaining a deterrent, enhancing partnerships, constant review of longer-term risks and uncertainties. Eight cross-cutting national security tasks are identified. An outline force structure, Future Force 2020, is planned for defence. The Army will receive new armoured vehicles and strategic lift aircraft, better communications equipment, and more battlefield helicopters. The role and structure of the Territorial Army and other reserve forces will be reviewed. The Royal Navy will get new vessels, including two new aircraft carriers, though only one carrier will be designed for full operability with allies. The Ark Royal carrier will be decommissioned and Harrier jets phased out as new aircraft are introduced. Royal Air Force capabilities will be based around a fleet of Typhoon and Joint Strike Fighter aircraft with supporting unmanned vehicles and an enhanced air transport fleet. The nuclear deterrent will be maintained, but the number of warheads on each submarine and in reserve will be reduced. Wider security covers terrorism, instability and conflict overseas, cyber security, civil emergencies, energy security, organised crime, border security, counter proliferation and arms control. Alliances and partnerships remain a fundamental part of the approach, including bilateral co-operation and multilateral engagement through NATO and the UN. Structural reform to ensure effective and efficient delivery of the strategy is described. Personnel reduction is to be: 5,000 Navy, 7,000 Army, 5,000 RAF, and 25,000 civilians.
There are two main energy challenges: tackling climate change by reducing carbon dioxide emissions; and ensuring clean and affordable energy as the country becomes increasingly dependent on imported fuel. These challenges have to be met against the backdrop of rising fossil fuel prices; slower than anticipated liberalisation of the EU energy markets; heightened awareness of the risk arising from remaining oil and gas reserves being concentrated in a few geographical regions; and a need for substantial new investment in power stations, the electricity grid and gas infrastructure. This White Paper sets out the Governments international and domestic strategy to address these challenges and ways to implement the Energy Review of 2006 and the 2006 Pre-Budget Report. There is a separate consultation document on nuclear power.
This National Infrastructure Plan sets out the strategy for meeting the infrastructure needs of the UK economy. There are three elements to this strategy. First, the Government will plan for the medium term and across sectors. The Plan brings together a comprehensive cross-sectoral analysis of the UK's infrastructure networks and sets out a clear pipeline of over 500 infrastructure projects. Delivering these projects will ensure that the overall performance of the UK's infrastructure is maintained and improved over time. Second, to mobilise the finance required to deliver these projects, the Plan sets out a new approach to coordinating public and private investment in UK infrastructure. Funded through further reductions in current spending, additional investment in infrastructure is being announced. The Government will act to facilitate the private investment that will finance the majority of the UK's infrastructure. This includes bringing in new investors into UK infrastructure; introducing new sources of revenue such as tolling; allowing local authorities more flexibility in the way they use local receipts to fund major infrastructure in specific circumstances; and being willing to consider guarantees against specific risks that the market cannot bear. Third, the Government will take an active role in ensuring the infrastructure in the Plan is delivered efficiently and on time, with priority given to those projects most critical for economic growth. The Government is also reforming the planning and consenting systems to tackle these sources of cost and delay in infrastructure delivery.
The Social Action Plan and the Energy Efficiency Commitment; Thirtieth Report of Session 2004-05; Report, Together with Formal Minutes, Oral and Written Evidence
The Social Action Plan and the Energy Efficiency Commitment; Thirtieth Report of Session 2004-05; Report, Together with Formal Minutes, Oral and Written Evidence
Some 2.25 million households in the UK are classified as being in fuel poverty, spending more than 10 per cent of their income on energy to heat their homes. Some consumers get into debt, often through inaccurate estimated bills, and they are then required to use pre-payment meters, even though this is the most expensive way of purchasing energy. Ofgems encouragement of suppliers to recover the cost of installing and using pre-payment meters is found to be inconsistent with its obligations towards vulnerable consumers (in contrast, Ofgem protects rural consumers from paying the higher costs of delivering energy to their homes). The Committee concludes that suppliers should provide accurate bills, should not discriminate against pre-payment meter consumers, and should provide more information to them about the disadvantages of those meters. On the energy efficiency commitment (administered by Ofgem), requiring energy suppliers to meet specific energy saving targets, the Committee queries whether the provision of measures such as cavity wall insulation and low-energy lightbulbs, do actually deliver the energy reduction intended. Ofgem, with the Department for Environment, Food and Rural Affairs, and the energy suppliers, should undertake a national campaign to encourage energy efficiency. Clearer explanation of the environmental measures to save energy, and their costs to consumers, is recommended.
British Energy was privatised in 1996. In 2002, the price of electricity fell and on 5 September 2002, the Company applied to the Department of Trade and Industry (the Department) for financial assistance. In November 2002, the Department agreed to provide financial assistance with the proviso that the Company's financial arrangements would be restructured. This report deals with the financial aid that the Department gave to British Energy and the terms of the restructuring of British Energy. The Department decided to intervene because, in its assessment, unplanned closures of British Energy's nuclear power stations would have had safety implications and put electricity supplies at risk. The Department took on responsibility for a large proportion of the company's liabilities, to be funded through a Nuclear Liabilities Fund, though there was no up-to-date estimate of those liabilities. (These estimates are to be updated every five years now.) In February 2006 British Energy estimated liabilities at £5,287 million. The restructuring mechanism is for a cash sweep, so that the company contributes more to the Fund when it is doing well. In the 12 months following completion of restructuring in January 2005, the wholesale electricity price rose sharply and the Company's share price more than doubled. The electricity market has, however, proved to be particularly volatile over recent years. The Nuclear Liabilities Fund is left particularly exposed to British Energy's financial and operational performance. Day-to-day responsibility for monitoring various aspects of the Company's performance currently lies with a number of teams within the Department. There remains a real risk that information learned by the different teams is not shared quickly and evaluated and that insufficient staff resources are committed to safeguarding the taxpayer's significant interest. To assist its management of the taxpayer's interest, the Department will need to prepare sufficiently comprehensive contingency plans to enable it to act quickly under the range of scenarios that might arise.
A report from the 'Business and Enterprise Committee' that inquires into the effect of the 'Big 6' energy companies - which include Npower, Centrica, EDF Energy, Scottish Power, and Scottish and Southern Energy - all raising their prices between January and April 2008. It aims to feed into a separate inquiry being carried out by Ofgem.
Offshore Electricity Transmission - a New Model for Infrastructure, Twentieth Report of Session 2012-13, Report, Together with Formal Minutes, Oral and Written Evidence
Offshore Electricity Transmission - a New Model for Infrastructure, Twentieth Report of Session 2012-13, Report, Together with Formal Minutes, Oral and Written Evidence
It is estimated that offshore wind farms have the potential to contribute 8-15% of electricity by 2020. This will require a large investment in offshore infrastructure, including around £8 billion of investment in transmission assets (offshore platforms, cables and onshore substations). An elaborate regime that licences operators of offshore electricity transmission assets following competitions has been introduced. The aim was to develop a competitive market for offshore electricity transmission but the reality is that the first six licences were won by just two companies. Furthermore, the terms of the transmission licences awarded so far appear heavily skewed towards attracting investors rather than securing a good deal for consumers. The transmission operators receive their income from the National Grid which recovers its costs from electricity suppliers and generators. Future payments to licensees are estimated at around £17 billion, and this will ultimately be funded by customers who could well end up paying higher electricity prices. The investors' estimated returns of 10-11% on the initial licences look extremely generous given the limited risks the investors bear. Licensees are guaranteed a fully retail price index-linked income for 20 years regardless of the extent to which assets are used. Yet penalties are limited to 10% of expected income in any one year if the operators fail to provide the transmission facilities when required. Despite the lessons from the PFI market the Government has failed to ensure that gains secured, for example, from debt refinancing are shared
This consultation document seeks views on proposals for implementing the key mechanisms under electricity market reform (EMR) - the Contracts for Difference (CfDs), the Capacity Market, and associated institutional and delivery arrangements. A package of draft secondary legislation is included to help illustrate the proposals. EMR is the Government's response to the challenges facing the electricity sector: a fifth of 2011 capacity has to close over the next ten years; the need to transform the generation mix to respond to climate change and to meet legally-binding carbon and renewable targets; the expectation that electricity demand will continue to increase over the coming decades. An estimated £110 billion investment is required over the next 10 years. CfDs will provide long-term revenue stabilisation to low-carbon plant, allowing investment to come forward at a lower cost of capital. The Capacity Market will provide a regular retainer payment to reliable forms of capacity (both demand and supply side), in return for such capacity being available when electricity supply is being squeezed. The National Grid will be the delivery body for EMR. The key mechanisms will be supported by: carbon price floor, a tax underpinning the price of carbon emissions in the UK; emissions performance standard, a regulatory backstop to the amount of CO2 emissions from new fossil-fuel power stations; action to promote electricity demand reduction; Ofgem's measures to improve wholesale market liquidity. The Energy Bill currently progressing through Parliament will introduce the powers to implement EMR.
In 1999 the European Union introduced a Directive that require the UK to reduce the amount of biodegradable waste disposed of in landfill. By 2010 we have to landfill 75% of the amount landfilled in 1995. This figure reduces to 50% by 2013 and 35% by 2020. If the target is not met then the UK could be fined for non-compliance. So far DEFRA has spent £336 million on initiatives to reduce the amount of landfill, but reductions have been offset by growth in the amount of waste produced and there is a risk that the targets will not be met. An emphasis on recycling alone is not enough. DEFRA needs to focus on helping the 25 authorities that send most to landfill and help develop alternative waste facilities, as well as encouraging more households to recycle and compost. This examination of the problem is in four parts: 1) England needs to reduce the amount of biodegradable municipal waste disposed through landfill; 2) earlier delays I taking action made European Union targets more difficult to achieve; 3) without a step change in existing local authority plans, England will not achieve its share of the reductions in landfill the European Union requires by 2010 and 2013; 4) recycling and minimisation need to contribute more to reducing the amount of biodegradable municipal waste sent to landfill.
The Government's energy policy has four key objectives: protecting the environment and addressing climate change issues, including cutting carbon dioxide emissions levels; energy security; delivering affordable energy; and promoting competitive energy markets. The Government has set a target of securing 10 per cent of Britain's electricity supply from renewable sources by 2010, and aims to double this level by 2020. Following on from an NAO report (HCP 210, session 2004-05, ISBN 0102932204) published in February 2005, the Committee's report examines the contribution of renewables to the UK's energy and environmental objectives, the cost of the Renewables Obligation for consumers, and the challenges of delivering the 2010 target.
The Government is committed to moving to a secure, safe, affordable and low-carbon energy system. This will mean achieving its climate change and renewables targets, including a 34 per cent reduction in CO2 emissions by 2020 (relative to 1990); at least an 80 per cent reduction by 2050; and by 2020 ensuring that 15 per cent of energy comes from renewable sources. This transition will require major investment in modern technologies: to renovate buildings; to provide for the electrification of much of our heating, industry and transport; and to move to cleaner power generation. It will also require major changes in the way energy is used by individuals, industry and the public sector. At the core of the Bill is the need to ensure that, as older power plants are taken offline and electricity demand continues to increase, the UK remains able to generate enough energy to meet its needs. The Energy Bill will: implement the electricity market reforms set out in the white paper 'Planning our electric future ... ' (Cm. 8099, ISBN 9780101809924); clarify the role of the regulator, Ofgem; establish an Office for Nuclear Regulation; make changes to the offshore transmission regulatory framework; and make provisions for the potential sale of Government Pipeline and Storage System. This document contains a description of the Bill's aims, the draft Bill and explanatory notes, together with a summary impact assessment.
The Committee decided to examine the UK Energy Efficiency Action Plan with particular reference to Defra's efforts to improve households' energy efficiency and its statutory duty under the Warm Homes and Energy Conservation Act 2008 to ensure that people in England do not live in fuel poverty after November 2016. The Committee had received many responses to its call for evidence, but on 3 October 2008 the Prime Minister announced the creation of a new Government department, the Department of Energy and Climate Change. The responsibility for fuel poverty was passed from Defra to the new Department. The Committee decided not to proceed with its inquiry, but has decided to publish the written evidence it received on this subject. The Committee recommends that the new select committee set up to examine the expenditure, policy and administration of the new Department of Energy and Climate Change seriously consider holding an inquiry into fuel poverty at the earliest opportunity.
In 2004, the Government announced 110 Public Service Agreement (PSA) targets for 17 Departments covering the period 2005-08. PSA targets express the priority outcomes that Departments are seeking to achieve nationally and internationally, and cover key aspects of the Government's social, economic and environmental policy. Large sums of public money are devoted to the programmes designed to deliver them. This NAO report summarises the results of its examination of the data systems used by twelve government departments to monitor and report progress against their 2005-08 PSA targets, covering a total of 237 data systems. Overall Departments have successfully taken steps to improve the quality of their data systems. There are still improvements that can be made to increase the relevance and reliability of data used in the reporting process. The NAO makes a number of recommendations on specification of data systems, their operation, and the reporting of data. A companion volume (HCP 22-I, ISBN 9780102951615) is available separately which contains the NAO's summarised findings.
Additional written evidence is contained in Volume 3, available on the Committee website at www.parliament.uk/ecc. For Volume 1: Report, see (ISBN 9780215052193)
The Government's economic plan has three parts: keeping mortgage rates low for families and fixing the banks to support investment in business; dealing with the country's debts to maintain confidence in the UK's ability to pay its way; and long-term economic reform to back aspiration and equip Britain to win the global race. The Government will continue to reduce the deficit by taking difficult decisions to cut public spending and prioritise investment in infrastructure to deliver a stronger economy and fairer society. Because spending reductions since 2010 have been accompanied by reforms to how services are delivered, crime is at its lowest level in 30 years, school standards have risen and employment is at record levels. The Government will reduce current spending by £11.5 billion in 2015-16, allowing it to increase capital spending plans by £3 billion a year from 2015-16 and by £18 billion over the next Parliament. Without the £3.6 billion savings from the welfare budget in 2015-16 that were announced at Autumn Statement 2012, reductions in departmental spending would have been commensurately higher. The Government will protect spending on health, schools and overseas development - maintaining the vital public services that everyone relies on at home, and supporting the poorest overseas
This report presented by the Department of Energy and Climate Change, sets out the nature and potential available to the UK energy market, in meeting three long-term challenges: (i) ensuring affordable, secure and sustainable energy; (ii) bringing about the transition to a low-carbon Britain; (iii) achieving an international agreement at Copenhagen in December 2009. This is the third Energy Markets Outlook report and seeks to facilitate and inform debate and decision making by market participants and other energy market stakeholders with a factual background to the development of the Government's approach to the above challenges. The publication comprises 10 chapters, and looks at the following areas: the security of supply in a competitive energy market; electricity, gas, coal, oil, nuclear fuel, renewable energy and carbon.
The 2010 Spending Review required most departments to make cost savings, which would require staff reductions. Departments have reduced their number of employees to around 35,000 in 2011, nearly 18,000 of which have been achieved through early departures. If these staff reductions achieved and planned, are to be sustainable then they will need to be supported by a redesign of the way business is carried out. The Committee is not convinced that all departments are putting in place the fundamental redesign in working practices that is needed to operate permanently with a lower number of staff and this with the pace and scale of reductions means that there is a real risk to departments' ability to deliver services. And there concern about the lack of clear information to track the extent to which this risk is materialising. Without this information it is difficult to know to what extent services are being adversely affected by staff departures. The efficiency of early departures has been hampered by poor management information. Departments are considering individuals' performance when making decisions on staff departures. But the quality of data in performance appraisals has not been detailed enough to support this decision-making. The Committee considers that improving the quality and consistency of performance appraisal arrangements would bring both efficiency savings and better decision-making about the management of the workforce. The Treasury is responsible for signing off any individual exit payments that exceed the terms of the compensation scheme. It was discovered that the Treasury does not keep proper records of such requests and the Committee expects to see this rectified. The Cabinet Office estimates that around half of the required headcount reduction is yet to come and this is likely to be more challenging as the more achievable cuts have already been made and future cuts are likely to involve more compulsory redundancies.
Over one hundred billion pounds of investment is needed by 2020 to replace the UK's aging power stations, cut carbon emissions and maintain energy security. Government proposals for Electricity Market Reform (EMR) are supposed to encourage power companies to deliver clean affordable energy. But the Energy and Climate Change Committee is concerned that the current proposals are over-complex and could fail to attract the £110 billion investment needed in electricity generation alone by 2020. It is calling on the Government to simplify its package of reforms to provide a more certain framework for investors. The starting point for EMR should be a clearly defined objective to reduce the carbon intensity of electricity generation in the UK to 50g of CO2 per kilowatt hour (KWh) by 2030. The wholesale market should be fundamentally reformed to break up the dominance of the Big Six energy companies, in order to allow new entrants to invest in the UK and improve the liquidity of the market. The long term contracts designed to encourage low carbon energy sources - known as Feed-in-Tariffs with Contracts for Difference - will work for nuclear, but different types of contract are needed for renewables and other clean technologies. The Carbon Price Support is a necessary short term solution to weaknesses in the EU Emission Trading System, but will increase costs for consumers and could provide a windfall for nuclear and renewables generators. The MPs also call on the Government to be clear about the effect that reforms will have on energy bills.
This report examines the impact shale gas drilling in the UK could have on water supplies, energy security and greenhouse gas emissions. The inquiry found no evidence that the hydraulic fracturing process involved in shale gas extraction - known as 'fracking' - poses a direct risk to underground water aquifers provided the drilling well is constructed properly. The MPs, nevertheless, urge the Department of Energy and Climate Change (DECC) to monitor drilling activity extremely closely in its early stages in order to assess its impact on air and water quality. Shale gas extraction could reduce the UK's dependence on imported gas, but it is unlikely to have a dramatic effect on domestic gas prices. The UK's onshore and, particularly, offshore shale gas resources could be substantial and the development of the offshore shale gas industry in the UK should be encouraged. Greenhouse gas emissions from gas are lower than from coal, but are still much higher than many low-carbon technologies. The presence of methane in shale gas, a greenhouse gas far more potent than carbon dioxide, has raised concerns. However, methane would only be released through leaks from the well or pipelines and the MPs are confident that this can be easily minimised through regulation and enforcement. Shale gas could reduce carbon dioxide emissions globally by encouraging a switch from coal to gas for electricity generation, but it will not be sufficient to meet long term emissions reductions targets and avoid the worst effects of global climate disruption.
The Government must start thinking strategically about energy security to protect the UK's energy supply against short-term shocks and rising global energy prices, according to a report by MPs on the Energy and Climate Change Committee. Gas storage capacity needs to be increased in the UK to minimise the potential damage from supply interruptions or price spikes, the report argues. It reveals that the UK's current storage capacity amounts to only 14 days worth of gas supply - a dangerously low level compared with France which has 87 days worth of gas storage, Germany 69 and Italy 59. 19 gigawatts (GW) of ageing electricity plant will close by 2018 and the UK will become increasingly reliant on energy imports as North Sea oil and gas reserves decline. The report concludes that new electricity generation currently being built or planned will fill this "gap". But it urges the Government to ensure security of supply by delivering on its energy efficiency targets, rolling out smart meters - that can balance demand - and maintaining a diverse energy mix.
In the coming decades we face major new challenges which require careful but far-reaching reform. Demand for electricity demand may need to double by 2050; there is a need to replace a quarter of our existing capacity by 2020; a need for power sector emissions to be decarbonised; and a need to meet the legally binding EU target for renewable energy. We also need to allow equal access to the electricity market for a wider range of technologies. The Government is now consulting on a package of options for the reform of the electricity market. The proposals are specifically designed to ensure that low-carbon technologies become a more attractive choice for investors, and adequately reward back up capacity. The proposals are four-fold: carbon price support; feed-in tariffs with long-term contracts; capacity payments; and an emissions performance standard. The consultation will run until 10th March 2011
Sets out the findings of the Government's energy review, announced in November 2005, to assess developments in energy sector policy since the Government's Energy White Paper was published in 2003.
The UK faces a threefold energy challenge: how to keep the lights on, at affordable prices while moving towards a sustainable low-carbon future. The Government believes that the best way to meet these goals is with a competitive, diverse, low carbon energy mix. Gas currently forms an integral part of the UK's generation mix and is a reliable, flexible source of electricity. Using gas as fuel in UK power stations currently provides a significant proportion of the country's electricity generation (around 40% in 2011). The Government expects gas to continue to play a major role in the electricity mix over the coming decades, alongside low-carbon technologies. Gas is also the cleanest fossil fuel and will have a key role in decarbonising the UK's economy. Also gas-fired power stations are relatively cheap and quick to build, and investment in new gas plants will offer employment opportunities throughout the country. The strategy is divided into 7 chapters: Chapter 1: Current role of gas generation; 2: Future role of gas generation; 3: Enabling investment in gas generation; 4: Ensuring secure and affordable gas supply; 5: Developing shale resources; 6: Carbon capture and storage; 7: Next steps.
This report, from the Foreign Affairs Committee, examines the issue of global security in respect of Russia. It sets out 40 conclusions and recommendations covering the following areas: democracy and human rights; the bilateral UK-Russia relationship; energy security; EU-Russia relations; European security issues; international security issues. Specific recommendations from the Committee include: that the UK should continue to press its concerns about democratic and human rights standards with the Russian authorities; that the Government should continue to offer assistance to Russia in the preparation of extradition requests to the UK and in the development of the country's judicial system; further that the Government invites its Russian counterpart to renegotiate extradition arrangements between Russia and the UK; the Committee also recommends that the Government make the development of a united and coherent EU Russia policy an explicit goal of its work in the EU in 2008; also that the Government work to bring closer together the Western and Russian assessments of the Iranian nuclear threat.
Meeting the UK's climate change commitments will be challenging if we do not apply carbon capture and storage (CCS) to new gas-fired power stations and to our energy intensive industries. Building the transport and storage infrastructure needed for CCS requires large upfront investments, but costs of later projects are expected to fall rapidly once this primary infrastructure is in place. Without CCS it may be necessary to find large and potentially more expensive carbon savings to meet the legally binding targets set out in the Climate Change Act as well as the more recent challenging ambitions set out at the Paris climate summit. The UK Government first promised support for CCS in 2007, and in 2012 launched a commercialisation 'competition', with the aim to see CCS projects developed before 2020. Up to £1 billion pounds was to be made available in capital funding, with additional operational support available through guaranteed price contracts - known as Contracts for Difference (CfDs) - to support the initial stages of commercialisation
The Government aims to increase renewable energy from 1.8 per cent to 15 per cent of energy consumption by 2020, in line with European Commission proposals. This report looks at the economics of renewable energy given the Government's policy to reduce carbon emissions. Chapter 2 gives a brief overview of Britain's energy system and outlines the Government's energy policy objectives. Chapter 3 examines the different renewable technologies used to generate electricity, and compares generation costs between them and contrasts them with fossil fuel-fired plants and nuclear power. Chapter 4 looks at the issues involved in balancing the irregular supply from renewable generators which depend on weather conditions against the continuous demand for electricity. The potential for renewable sources of heat and of transport fuels - an overlooked area even though they account for 80 per cent of UK energy consumption. - is examined in chapter 5. Chapter 6 reviews the key policy issues, the impact of renewable policy on fuel poverty, the planning system for renewable energy, and whether the 15 per cent EU target is achievable. The Committee finds that costs of renewable energy generation are more than conventional means. It recommends that the Government prioritise the development and promotion of the other effective and economic options, both to bring down carbon dioxide emissions and to achieve security of electricity supply. The most reliable renewable sources are tidal barrage and biomass, which are problematic for other reasons, and hydro-power which is near the limit of its potential in the UK. The most reliable low-carbon alternative to renewables is nuclear power, together with conventional fossil fuel generation with carbon capture and storage (if and when that becomes available).
This year's Annual energy statement sets out the progress the Government has made, how the Government is implementing its energy and climate change strategy and how the UK will develop its approach further. Publishing simultaneously is Electricity demand reduction consultation document (Cm. 8468, ISBN 9780101846820); Electricity demand reduction consultation summary document (Cm. 8492, ISBN 9780101849227); Electricity market reform policy overview (Cm. 8498, ISBN 9780101849821); Energy security strategy (Cm 8466, ISBN 9780101846622); and Statutory security of supply report (HC 688, session 2012-13 ISBN 9780102980691)
This issue of the Digest of United Kingdom Energy Statistics (DUKES) is part of a series and updates the figures given in the DUKES 2010. The publication consists of seven chapters; the first chapter deals with overall energy, with the other chapters covering specific fuels, combined heat and power and renewable sources of energy. The statistics presented in this digest will generate widespread interest from anyone working within or with an interest in energy sources, consumption and climate change. Chapters covering specific fuels and renewable sources of energy contain details on the production and consumption of individual fuels, presented using commodity balances. A commodity balance illustrates the flow of a fuel through from production to final consumption. These individual commodity balances are also combined in an energy balance, showing the interaction between different fuels. General energy statistics are presented in a table, revealing energy consumption by final users and an analysis of energy consumption by main industrial groups. Surveys conducted by AEA Energy & Environment on behalf of DECC estimate the contribution made by combined heat and power and renewable energy to energy production and consumption in the UK.
Defence and aerospace industries in Scotland generate nearly £2.31 billion in sales and together with the MoD support almost 50,000 jobs and a record number of apprentices. As well as a recognised expertise in naval ship building, Scotland also has a strong defence electronics industry and a strong aerospace industry based around Prestwick. This report examines the delay in the signing of the contract for two new aircraft carriers: the Committee is concerned that similar delays during the construction phase could lead to job losses and damage the ship-building skills base the UK needs to support if it wishes to retain sovereign capability in key areas. The Committee also comments on the Government's decision to treat the Military Afloat Reach and Sustainability (MARS) vessels as commercial rather than naval vessels, making them subject to EU competition law. There is confusion over the status of these vessels. The report also looks at the supply of skilled, semi-skilled and graduate workers, the Modern Apprenticeship programme, and the funding for adult apprentices. It is vital for Scottish industry to look at upskilling throughout the workforce, including mature workers who were not able to access apprenticeships as school leavers. The issue of constitutional change also affects the future sustainability of the Scottish defence industry. In the long term it is unclear what naval requirement an independent Scotland would have and whether this would make up for the potential loss of UK MoD orders. Government and industry need to work effectively together to ensure that Scotland's engineering and manufacturing base continues to be world class.
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