Energy industry voices have welcomed the plans for a new industrial strategy although there are still concerns on how it will be funded and the guarantee of meeting deadlines and job creation.
Here’s a selection of reactions;
Dhara Vyas, Energy UK’s chief executive, said: “Stable, affordable energy prices will help ensure that the UK remains a competitive place to do business, and in an increasingly uncertain global operating environment, clean power will deliver energy security. Focusing on priority technologies where the UK has global expertise will deliver a strong competitive advantage for our businesses and economy.
“We know the investment necessary to decarbonise the economy will mostly be funded by the private sector. Clarity on Government policy, removal of the barriers to investment and targeted support are all essential to meet this ambition.
“We welcome the Government’s move to reduce bills further for the most energy intensive companies, and to remove some policy costs from key sectors partly funded by ETS revenues, something industry has long called for. It will be important to ensure the full costs are fairly paid for, and don’t increase costs for other consumers.”
Claire Mack, Chief Executive of Scottish Renewables, commented: “Placing clean energy at the heart of the new industrial strategy is a vote of confidence in the enormous economic growth potential of Scotland’s renewable energy industry and supply chain.
“The scale of opportunity is clear with sectors like offshore wind expected to generate £35 billion for the economy, helping to deliver good jobs and energy security.
“Scottish Renewables has been urging the UK Government to be bold in removing barriers to investment and we’re pleased to see the ambition outlined in this strategy including measures to build a grid fit for the future, drive competitive supply chains and grow exports. All clean energy technologies, including marine energy, will have a role to play in that journey.”
RenewableUK’s Deputy Chief Executive Jane Cooper added:
“Today’s industrial strategy identifies clean energy as one of the sectors with the highest growth opportunity, and we are going to see tens of billions of pounds of new investment in wind energy, grid and hydrogen in the coming years.
“The opportunity and vision is there, now Government needs to ensure they deliver on the critical aspects of this industrial strategy. Most notably for renewables, that means ensuring the next two Contracts for Difference allocation rounds are as successful as possible, clearing large volumes of projects in a stable market framework to reduce costs.
“This is essential if we want to attract investment in the UK’s supply chain, skills and capabilities.”
Sam Richards, CEO of pro-growth campaign group Britain Remade, welcomed the promise on energy price cuts for big users: “Britain has some of the highest industrial energy prices in the world, tackling this once and for all is key to any strategy to support Britain’s energy intensive industries.
“Cutting green levies alone won’t deliver the modern manufacturing revival Britain needs. To bring down energy costs for good and compete globally, we need to fix the broken electricity system holding UK industry back.
“That means unlocking clean, homegrown power, speeding up grid connections, and further reforming the planning system to get new infrastructure built as quickly and cheaply as possible.”
