Energy

With less than six years to go, the new Energy Secretary, Ed Miliband MP, will need to hit the ground running if the Party is to deliver on its key aim of clean power by 2030. In this article, Brevia Energy looks at one immediate decision that a Labour Government can take to turn ambition into action.

Great British Energy is a key pillar of the Labour Party’s decarbonisation plan. However key questions remain about the new company, how it will operate and what it might emulate. In this article Brevia, explores what we do and do not know about GB Energy, what it might mean for businesses, and its potential role in the UK energy system.

‘I am very confused…One of you has got to be right and one of you has got to be wrong.’ In a few words, Vicky Ford MP captured the mood of the ongoing debate over the GB electricity market design. Ford was responding to arguments put forward by witnesses to the Energy Security and Net Zero (ESNZ) Committee on the impact of moving from national to zonal pricing, but was left unconvinced by either side.

Insights from recent speeches by the Shadow Energy Security and Net Zero Secretary and the Party’s Shadow Chancellor shed light on the party’s energy policy and the perceived tension between maintaining fiscal responsibility and ambition on climate change action.

Last week the Chancellor of the Exchequer, The Rt Hon Jeremy Hunt MP delivered what is expected to be his final Spring Budget. Whilst net zero was not a key theme of the speech, energy security and nuclear were given prominent focus and despite being conspicuously absent from his speech, the Budget announced the setting of a £1bn+ budget for this year’s renewable auctions.

Delivering his statement in the House of Commons, the Chancellor confirmed a 45 per cent levy on the ‘extraordinary profits’ of electricity generators. But what defines an ‘extraordinary return’ and which electricity generators will be impacted? Crucially, what about reinvestment allowances? Below, Brevia unpacks some of the key takeaways from the new Electricity Generator Levy.

After several weeks of reported delays, disagreements and leaks, the Government has finally published its Energy Security Strategy. Crucially, the Strategy provides us with an insight into the main influences and influencers of this Government. With the next general election a mere two years away, the Prime Minister appears to be moving away from the climate focus seen at COP26. Instead focusing on internal party politics and maintaining support within the Conservative . Below, Brevia has unpacked some of the telling signs of what is currently influencing Government direction on energy policy.

The Government has delivered on its commitment to publish its remaining net zero strategy documents ahead of the COP26 Summit in Glasgow, with two weeks to spare. The Heat and Buildings Strategy, Net Zero Spending Review, as well as the overarching Net Zero Strategy were all published this week, albeit following months of delay. Publishing these documents was seen as crucial to the UK’s preparations ahead of hosting the summit. Despite this, the success of the conference continues to be riddled with uncertainty and doubts.