Energy Bill – Big steps to a low-carbon future

Prospect has welcomed the publication of the Government’s long-awaited Energy Bill saying it represents three important steps towards securing investment in a carbon-free energy future.

Commenting on the announcement from the energy department, Mike Clancy, General Secretary Designate, said:

“Proposals to establish contracts for difference and a capacity market are important reforms and the establishment of a Government-owned counterparty should provide greater security for potential investors.

“But the lack of a decarbonisation target in the Bill is perhaps the biggest disappointment. It will be important to ensure that the Government actually utilises the powers that will be available to it to set a decarbonisation range in 2016.”

While noting there are understandable concerns about the impact of the proposals on energy bills, Clancy said: “The reality is that the UK is paying the price for long-term failure to upgrade our energy infrastructure.

“This Bill has had a difficult and protracted birth. Political parties must now work together to ensure that essential investment in a modern, balanced energy infrastructure gets quickly underway.”