Describing himself today as ‘politically homeless’, Skidmore resigned last year as a Conservative MP and party member over the Sunak government’s retreat from green initiatives, including delaying tougher requirements on home insulation and extending sales of petrol-driven cars.

Re-affirming his faith as a Conservative in markets, Skidmore told a solar conference in London :

“The future of energy is local. Community energy will create more flexibility for consumers, in bringing cheaper, cleaner electricity, achieving Net Zero, even balancing the grid.  It re-builds communities.  But too few politicians realise its implications”.

While sitting as a Bristol MP, Skidmore was tasked by premier Johnson to conduct an expert review of Britain’s Net Zero policies.  His “Mission Zero” report in January 2023 contained over 120 recommendations, re-affirming the goal’s necessity, and calling for accelerated practical measures to reach the target, in the face of opposition from several fellow Conservatives at Westminster.

Rishi Sunak’s subsequent wavering over Net Zero convinced Skidmore to end his 14 year career at Westminster and his Tory party membership, concentrating instead on work as professor of Net Zero policy at Bath Unversity.

On 27 June with trade body Renewable UK, Skidmore will publish “Net Zero at the Crossroads”, a new assessment seeking to influence the incoming government’s pursuit of energy sustainability and deadlines towards its delivery.  The day is the fifth anniversary of Skidmore while energy minister signing the Johnson government’s Net Zero goals into UK law.

The ex-minister & ex-Conservative told Solar Media’s UK Solar Summit this morning that he remains committed to continuing his cross-party advocacy for green energy, including in community fora such as Oxford County Council’s energy round table.

“My message to practitioners in solar and in community energy is to engage as fully as possible with politicians at every level at this crucial time for clean power”, Skidmore told the conference.

Activists & volunteers working through around 300 energy co-ops in England & Wales are a corrective, Skidmore implied, to what he called Britain’s culture of viewing energy as ‘a commodity imposed from above, top down’.  He called for more community co-ops such as that he had known in Bristol, and endorsed the work of the ‘Right of Local Sale’ campaign, to which over half of all MPs are now signed up.

Recalling attitudes among his former Conservative colleagues at Westminster, Skidmore shared with the conference analysis that, of the 100 constituencies with the most household PV deployed, every one is represented by a Conservative MP.

Skidmore recalled that 49-day premier Liz Truss enthused to him over the benefits of rooftop solar, but opposed PV farms on agricultural land. He reminded delegates that only 3% of UK land would be required to deliver the government’s continuing goal of 70GW of installed PV by 2030.

During his work on the Net Zero review, Skidmore recalled that Craig McKinlay, leader of the Net Zero Review group of sceptical Tory MPs, had expressed frustration that over one million homes installing PV in the past decade would face added expense of having to upgrade rooftop systems in future.

Britain needs to follow the example of more participative energy cultures of our European neighbours, Skidmore argued. Technical changes enabling dispersed low carbon generation, sometimes no longer under the control of corporations, dictated that a culture change was necessary.  Community participants should be guiding politicians, he said.

Interest declared: the author invests in and participates in several local UK energy co-operatives, including in London & the south east.

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Numerous, interlocking dimensions of improvement are flagged as necessary in the ENA’s Energy Innovation Atlas, a report developed by consultants LCP Delta.

LCP Delta interviewed 300 industry representatives for their views on innovation needed to achieve Net Zero. The study sought input on five key pillars of innovation;

• developing assets and infrastructure,
• facilitating digitalisation,
• managing assets and optimising systems,
• meeting customers’ needs, and
• attracting talent and investment

Over eight workshops and associated online consultations, LCP Delta and the ENA explored these key pillars to identify 24 innovation ‘way points’, characterised by knotty challenges, all requiring a vision on managers’ change of mindset and skills.

Key findings from the report include:

• Developing by 2028 a supply chain that is fit-for-purpose, able to underpin an expansion I Britain’s transmission & distribution network, enabling radical transformation in their functions
• Better communication within and external to the power industry, supporting a ‘whole systems’ approach.
• Opening up access to markets access, welcoming in smaller innovators to fair and easy participation, as well as easing funding access to smaller players.
• Clarifying a workable definition of energy storage, and freeing its providers to operate assets more proactively it across the network, against a proposed deadline of 2032.
• Communicating better with customers and the wider public, ensure roles and their consequences in who and how Britain’s energy system must be decarbonised. New skills functions and data sets are required.

Commenting on the report’s findings, Tom Veli, energy networks head at LCP Delta, the ENA’s advisors, said:

“Energy networks are at a critical point with demand beginning to increase rapidly as the low-carbon economy picks up further.

“This means that operators are facing the challenge of rapidly developing their networks as they look to accommodate the surging demand.

“This monumental shift imposes extra responsibilities on the networks, particularly in respect of interactions with customers, with the industry, alongside regulators and policymakers. The industry must drive a concerted effort into delivering the innovations that are needed.

To access the full report, click here.

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Scottish Power Energy Networks‘ Eastern Green Link 1 (EGL1) high voltage subsea design will port up to 2GW of homegrown wind generated electricity between East Lothian and County Durham. Commissioning is set for 2027.

EGL1 is the first of 26 critical energy projects, together priced at a ballpark £20 billion, to be fast tracked under Ofgem’s new Accelerated Strategic Transmission Investment (ASTI) framework.

Developed by Ofgem, the NG-ESO and DNOs, ASTI is designed to speed up the delivery of strategic energy projects to feed in more electricity generated by offshore wind into the nation’s grid.

Ofgem claims ASTI can shorten project funding by up to two years, by targeting projects critical to delivering the government’s target of 50GW of offshore wind capacity by 2030. Ofgem and its partner network operators intend ASTI as replacing the previous framework, which approved projects piecemeal, one at a time.

Delivery of projects such as EGL1 will provide millions of consumers with access to homegrown wind energy.  By boosting grid capacity, the venture will cut down on curtailment wasteful, axing much of the millions paid to generators currently asked to turn off production, when the Grid and transmission nets are full.

EGL1 is being developed by National Grid Electricity Transmission (NGET) and SP Transmission, part of SP Energy Networks. Most of its 196 kilometre cable will be under the North Sea. Only 20 kilometres will be buried onshore, connection converter stations in Torness, East Lothian and Hawthorn Pit, County Durham.

That proposed budget of £2 billion is now subject to further consultation.  Without affecting project delivery, Ofgem has already trimmed £43 million from the developers’ submissions, thus reducing the burden falling on consumers.

The project assumes planning consent, in a process overseen by the Planning Inspectorate.

Ofgem’s director of major projects Rebecca Barnett said: “To meet future energy demand and Net Zero targets, we need to accelerate the pace at which we build the high voltage energy network, which transport homegrown electricity to where it’s needed.

“Our new fast track ASTI process is designed to unlock investment, speed up major power projects and boost Britain’s energy security.”

ASTI preserves full due diligence on EGL’s technical & financial processes. Barnett added: “We’ve carried out rigorous checks to ensure consumers are shielded from unnecessary costs and made cost adjustments, where we don’t see maximum efficiency and consumer benefit.”

View the Eastern Green Link 1 (EGL1) – Project Assessment Consultation.   Feedback on the proposed budget can be sent to: RIIOElectricityTransmission@ofgem.gov.uk  before the 17 April closing date. Ofgem will publish a decision on next steps at ofgem.gov.uk/consultations.

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Sectors of Britain’s output anchored in low carbon technologies grew 9% last year, contrasting with stagnation in the wider economy, where GDP growth limped to a meagre 0.1% .

The figures come from a study out today from the academics at authoritative Energy and Climate Intelligence Unit (ECIU). Analysis came from CBI Economics and The Data City  consultancy.

The total gross value added (GVA) by UK businesses involved in Net Zero activities now stands at £74 billion, the report finds.

But CBI Economics is warning that without further investment and policy stability, the strength of future growth is in jeopardy as the US and EU compete to attract and develop clean industries.

The analysis found that jobs in the net zero economy are highly productive, generating £114,300 in economic activity, more than one and a half times the UK average of £72,550. They are also better paid by almost £10,000, the average net zero salary being £44,600 compared to the £35,400 UK average.

Scotland, Wales and the Midlands have particularly strong net zero economies. London in contrast has the lowest proportion of its economy based on businesses in green sectors.

Battleground constituency seats in England and Wales (based on new boundaries) are three times more likely to be a Net Zero economic ‘hotspot’ These seats include: High Peak in Derbyshire , Stroud, home of Dale Vince’s Ecotricity, Cheadle, Derby North, Lancaster and Wyre, Broxtowe and Hazel Grove.

Some areas with particularly high concentrations of net zero activity are however among Britain’s most deprived.  Hartlepool, Nottingham, Redcar and Cleveland are among the top 10% local authorities for income deprivation in England.

In addition, around two in three (65%) of the top 25 net zero hotspots and half of the top 50 net zero hotspots in England and Wales are classified as key electoral battlegrounds heading into the general election.

CBI chief economist Louise Hellem said: “The UK’s transition to net zero brings immense opportunities for our economy. Our report, together with the Energy and Climate Intelligence Unit, highlights how businesses are already seizing those prizes – creating jobs and attracting investment, whilst boosting our energy resilience. But we also know that there’s much work to be done to fulfil the UK’s potential, and accelerate our journey to net zero.

“Businesses continue to face difficult headwinds this year, leading many to pull back on investment plans. Where firms can invest, they want to see greater clarity on a long-term plan for our energy transition – or we risk failure to reach our net zero targets and missing out on sustainable, productivity-led growth.

“It’s clear that action is required to grow our net zero economy. In the CBI’s Spring Budget submission, we call on the Chancellor to establish a Net Zero Investment Plan – to identify green investment gaps and implement policy aimed at crowding in private finance. That’s one of many levers the Government can pull to support businesses in doubling down on green growth – but there are many more. We hope this report kickstarts a wider conversation about how the UK can realise those opportunities.”

Energy and Climate Intelligence Unit director Peter Chalkley said: “Against the backdrop of economic stagnation, the net zero economy is bucking the trend, but it’s clear that the policy U-turns of the past year have damaged investor confidence at a time when the US and EU are investing billions to compete for clean industries.

“Thousands of jobs depend on net zero in constituencies right across the country, including many key battleground seats, Chalkley observed.

“The question now is, will political parties provide the leadership, stability and investment needed to generate further growth or shy away from the global race for net zero.”

 The analysis found that net zero businesses had received £279 million of public InnovateUK funding and £12.3 billion of private investment during 2021-2022.

2022 saw £1.5 billion invested in the low emissions vehicle sector, more than for example, the biopharmaceutical sector’s £1.4bn. That didn’t stop the UK falling in the EY clean energy attractiveness index in the past year.

Key Net Zero sectors include renewable energy, energy storage, green finance and recycling.

From cleantech startup Heatio, Thomas Farquhar said:   “SME’s will be the driving force behind the Net Zero economy, and already account for 61% of private sector employment.

“However, for this growth to materialise, it is imperative that Government provide policy consistency and unwavering ambition.

 “Frustratingly, we are lagging behind the rest of Europe in the transition to cheaper, more secure and cleaner energy in homes. Countries like Norway have already transitioned 66% of their homes to low carbon heating, Sweden 43% and Finland 41% whereas the UK has less than 1%.

“When it comes to solar the UK has uptake of 5% of suitable homes. That’s behind the likes of Italy at 23%, the Netherlands 16%, Germany 11% and further afield Australia with 31%. The numbers are startling.”

Full ECIU/CBI Economics report is here.

Table 1: Top 25 constituency hotspots for Net Zero in England & Wales (GVA)

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Britain’s biggest gas network scored an 11% reduction in carbon emissions over the three-year period of assessment.

 ‘Taking Action’ is a public commitment to delivery of net zero ambitions.  The gas grid company says its entry to the pathway demonstrates its start on a journey towards Net Zero.

 This tier includes a reduction in operational emissions, a greenhouse gas emissions reduction target, and foundational carbon dioxide emissions (CO2e) management practices.

 To achieve science-based targets, the Route to Net Zero Standard will support Cadent, the firm says, in its development of action plans, helping to measure and manage emissions, inform carbon reduction strategies and align targets for the future.

 The Carbon Trust’s Route to Net Zero Standard is the only certification that recognises an organisation’s progress on the journey to Net Zero and climate leadership. Achieving this certification is no small undertaking and follows a rigorous assessment and audit process against defined criteria, with the Carbon Trust assessing Cadent as ‘working towards’ the first tier of certification recognised as ‘Taking Action’.

 To meet the Taking ‘Action’ tier of certification, Cadent demonstrated emissions reductions and good carbon management, scoring a positive result on the carbon management part of the assessment, across the Governance, Implementation, Measurement and Stakeholder Engagement processes and activities. Cadent also achieved an 11 per cent reduction in carbon emissions over the three-year period of assessment. This certification is a public commitment to the delivery of Cadent’s Net Zero ambitions – in addition to the audit itself – it also demonstrates a level of independent assurance of data standards, governance, policies, and targets.

 Mark Belmega, Director of Social Purpose and Sustainability at Cadent, said: “It’s fantastic news that we are being recognised for this achievement following extensive engagement with our customers and expert stakeholders in this space. We are proud to reach this milestone, which holds us to account to the highest standards, as we develop a transparent and best practice climate plan to decarbonise our business.

 “We know that accuracy and transparency in environmental performance reporting is incredibly important. We worked closely with the Carbon Trust to develop science-based targets for our Scope 1 and 2 emissions and will seek to have these targets externally validated by the Science Based Targets initiative (SBTi) once the SBTi’s methodology for oil and gas companies has been developed.”

 Cadent is already making significant progress in developing exciting new technology for leakage detection, such as mobile detection fleet including vehicles, robots, and drones. Other network measurement tools are also being tested to replace the historical method of calculation of leakage with an accurate, real-time measurement-based system

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Now grant givers at the powerco’s Net Zero fund are seeking more civic groups to share its £5 million pot.

The groups will receive grants to aid decarbonisation and help them speed progress towards their Net Zero targets, by means such as solar panels or heat pumps, or retrofitting listed buildings to increase energy efficiency.

Benefitting already is Govan Heritage Trust, a group of volunteers dedicated to promoting the Glasgow neighbourhood’s cultural heritage.  They’ve received a grant to heat a decommissioned church, with a heat pump drawing warmth from the River Clyde.  Carbon savings of more than 90% are anticipated.

When Govan Old Church – pictured – closed in 2007, the trust sprang up to rescue the listed building and contents including the internationally renowned Govan Stones, a collection of early medieval sculpture.

Now in community ownership, the property is being developed into a museum to showcase the site’s heritage.  The renovations will also offer a meeting space for local organisations, charities and voluntary groups.

SP Energy Networks’ Net Zero Fund – see link – is now welcoming applications from eligible Scots charities & community organisations.   Technical guidance as well as money is on offer.

Network regulation director Scott Mathieson said: “SP Energy Networks takes pride in serving all of the communities of central and southern Scotland.

“Our staff and networks are part of the fabric of the Central Belt and it’s right that we play our part in ensuring the most vulnerable customers in our areas also obtain access to the benefits that zero emission energy can bring in transport, heat and jobs“.

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EVs and e-mobility are now the largest sector for spending in the energy transition, growing 36% last year to $634 billion, according to the firm’s influential Energy Transition Investment Trends 2024.  The figure includes spending on vehicles and battery making, as well as associated infrastructure.

In second place, renewable energy generation saw an 8% increase last year in new investment to $623 billion.

At $310 billion, grid and transmission investments made up the third largest sector. Grids are a critical enabler for the energy transition.

China remained the world’s biggest single green power investor, its $676 billion outlay making up 38% of the global total. But that 11% drop on 2022 reflected its faltering economy. The total was surpassed jointly by the US, Europe and the UK.

“Last year brought new records for global renewable energy investment. Strong growth in the US and Europe drove the global rise, even as China sputtered”, commented Meredith Annex, co-author of BNEF’s report.

Despite a year of supply chain constraints, record totals of offshore wind capacity also reached financial close.

Global energy transition investment by sector    Source:  Bloomberg NEF

Overall global renewables spend of $135 billion in 2023 could reach $259 billion next year, according to Bloomberg.

World invests only a third of what it needs to

But the consultancy cautions that global green investments continue to lag far behind UN-sponsored goals to achieve Net Zero by mid-century.

Bloomberg says energy transition spending needs to average $4.8 trillion every year from 2024 to 2030 to align with BNEF’s Net Zero Scenario, a UN Paris Agreement-aligned trajectory from its New Energy Outlook published in 2022. This is nearly three times the total investment observed in 2023.

“Our report shows just how quickly the clean energy opportunity is growing, and yet how far off track we still are,” said Albert Cheung, BNEF’s deputy CEO.

“Energy transition investment spending grew 17% last year, but it needs to grow more than 170% if we are to get on track for net zero in the coming years,“ Cheung added. “Only determined action from policymakers can unlock this kind of step-change in momentum.”

Top 10 economies for 2023 energy transition investment, plus the EU-27 and rest of the world

More details here.

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A key barrier preventing homeowners from taking action is that they don’t believe they have the knowledge to make energy efficiency improvements to their homes. That snags Brits before we begin, despite 50% of us agreeing it is important homes are made ready by 2035 for Net Zero.

When asked, only 30% of homeowners say we are confident we knew what to do to meet that deadline.  A tad over a quarter, 27% of us, agree we wouldn’t be able to identify the improvements our home need to be greener.

Energy usage & bills unsurprisingly remain a key concern for homeowners.  However, only a third have taken action to improve their property’s energy efficiency in the last five years.

Among people who have undertaken these improvements, satisfaction with the results is logged at 96%, nearly universal. Almost two thirds, 64%, said the running costs of their home are lower after making the changes. 81% said they would recommend this type of work to a friend, family member or work colleague.

However, when asked what support might have been useful before starting their retrofit journey, over a fifth (21%) said they’d have welcomed advice and support on how to go about the process.

Along with greater support and guidance on energy efficiency measures, access to skills is also a key factor, the study finds. 24% of us state we expect direction towards skilled tradespeople to help bring properties towards on track for the government’s paramount green goal.

Two industry-level studies in 2023 documented shortages in green skills, including a shortfall of 200,000 retro-fit installers and 100,000 heat-pump technicians.   Such absences will, the Lloyds researchers indicate, soon increasingly impede the UK’s journey to net-zero homes.

Addressing the problem, Lloyds has partnered with Regeneration Brainery, a not-for-profit academy training for young people. Match-made mentoring, work experience placements, career talks, bootcamps and taster sessions are the organisation’s offering, now reaching 6,000 young people.

Andrew Asaam, Homes Director, Lloyds Banking Group said:  “The UK is home to some of the oldest housing stock the world. This means many of our homes are poorly insulated, and people are having to use huge amounts of energy to warm them – resulting in high energy bills and large carbon emissions.

“Improving the energy efficiency of our homes is a crucial step in individually and collectively reducing our energy consumption, but homeowners just don’t know where to begin and the lack of available skills to deliver the upgrades is an increasing concern.

“If UK homeowners are to get retro-fit in 2024, we must see more collective action from industry, government and financial institutions to support them in this vital transition. That’s why we launched our Making Homes Greener initiative, a journey that will see us trial new tools and collaborations, such as our work with Regeneration Brainery, to improve the energy efficiency of Britain’s homes.”

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The study will examine the environmental robustness of technical solutions and determine if any of the potential transit opportunities, including the transfer of residual process heat, export route for CO₂ and blue and green hydrogen, could reduce CO₂ emissions on both the South and North side of the Haven.

Depending on the outcome of the study, the opportunities that the MUST project could potentially provide are:

• Full elimination of CO₂ emissions from Dragon LNG’s regasification process by utilising the residual process heat from the generators at RWE’s Pembroke Power Station
• Establishing an export route for CO₂ from a potential carbon capture plant being developed at Pembroke Power Station
• Enabling the development of a CO₂ liquefaction, storage and shipping capability at Dragon LNG
• Establishing an additional export route for blue and green hydrogen (H2) from the south to the north side of the Milford Haven waterway with potential hydrogen from RWE’s Pembroke Green Hydrogen projects
• Create an opportunity for other industries to access a key piece of infrastructure across the Milford Haven to enable broader industrial decarbonisation. This could include supply water, direct wire connection (potentially from offshore renewables) and other utilities or products.

Richard Little, Director of Pembroke Net Zero Centre, RWE commented, “This appointment demonstrates the commitment both RWE and Dragon have towards developing decarbonisation options for the whole of South Wales and is a key part of RWE’s Pembroke Net Zero Centre (PNZC), a major multi-technology decarbonisation initiative in South Wales.”

Simon Ames, Managing Director, Dragon LNG and Dragon Energy commented, “We are excited to be entering into this important project phase with AtkinsRéalis who will provide recommendations for or against proceeding with project aspects. We continue to work with government and regulatory bodies to ensure we are in a position to progress forward once the results of the study are available in 2024”.

Sarah Long – AtkinsRéalis Market Director for Net Zero Energy, said, “The MUST project is a great example of the innovation that will drive forward the decarbonisation of industry at scale and support the development of new technologies that will be vital in the net zero transition. We welcome the opportunity to build on our longstanding relationships with RWE and Dragon LNG and look forward to bringing our knowledge of transit, marine, environment and process plant integration to such a multi-faceted project.”

MUST is a key deployment project of the South Wales Industrial Cluster, Dr Chris Williams, Head of Industrial Decarbonisation, Industry Wales, commented “SWIC is excited to see the MUST project develop as an example of industrial symbiosis (sharing), which will be a key element of industry in a net zero world. The sharing between and interconnecting of industries to limit waste and reduce emissions can unlock industrial sustainability, attract inward investment and help secure local jobs. MUST is an exemplar of the type of investment needed to support our industries on their net zero journey – as showcased in the SWIC Cluster Plan.”

As a collaborative, flagship component of the South Wales Industrial Cluster (SWIC) Deployment Project, the MUST project would represent a step change in net zero infrastructure.  The project is supported by an award from UK Research and Innovation (UKRI’s) Industrial Decarbonisation Challenge programme, which will provide key support in the engineering and design phases of the project.

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New research commissioned by NatWest from Boston Consulting quantifies the need, as well as policy precursors including consistent spending signals from ministers, closer working between the Treasury and private investors, and steady commitments from energy companies to put new technologies on the market.

Flagging up the scale of spending needed, the duo highlight more investment in renewables and  network switches and cables, and new technologies such as energy storage systems, carbon capture and storage, and hydrogen.  The study draws on recent analysis by bodies such as analysis as the Climate Change Committee, the International Energy Agency and the Intergovernmental Panel on Climate Change.

The report suggests businesses should deliver change by working together to test low-carbon solutions, building greater security and resilience into the energy system, and unlocking revenue from UK participants.

“Investment in green infrastructure will help to pay for itself through generating jobs and economic growth, so it’s vital the entire value chain works together to make this happen,” said Andy Gray, the bank’s managing director of commercial mid-market operations.

“The UK needs clean, stable and affordable energy supplies, but huge capital expenditure is needed to make this a reality.”

“To decarbonise the UK’s energy supply, the industry needs to scale its infrastructure and technology, all of which will require finance. It’s clear that there needs to be greater collaboration between policy, regulation and finance to enable this to happen,

“This report estimates that the UK’s energy supply needs over £900 billion to reach net zero by 2050. Mobilising the capital needed will be complex, and the findings serve as a clear call for all actors across the system to work together to find solutions.

“Society has gone through energy transitions in the past — but nothing like this one”, Boston Consulting partner Eriola Beetz added.   “We are just at the beginning of the journey.

“As the clock keeps ticking, one of the key challenges we face is plugging a substantial investment gap to support the quick roll out of solutions and innovation we desperately need. Financial institutions are in an excellent position to leverage the learnings and experience from backing technologies such as wind and solar over the last decade.”

NatWest Group has targeted its provision of £100 billion of Climate and Sustainable Funding and Financing by the end of 2025. In 2020, was ranked 1st in UK project finance renewables lending.

Read the report here

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The London Efficient & Decentralised Generation of Energy (EDGE) fund will support new low-carbon infrastructure projects across the capital’s 32 boroughs.

Khan has committed £50 million from City Hall funds, to be matched pound for pound from SDCL’s resources. The asset managers will also manage the public-private EDGE project.

The EDGE fund’s remit is to invest in projects which promise significant reductions in energy usage, greenhouse gas emissions or other pollutants across London.

SDCL first floated its EDGE concept in July 2019. Building on the private asset managers’ expertise in low-carbon infrastructure, EGDE will focus on energy efficiency, on-site generation and clean energy. Projects will include installing building management systems, heat pumps, solar panels and EV-charging.

Running until 2027, EDGE will nurture projects accelerating London’s shift to Net Zero. Its backers claim it will set a global example of how private finance and cities can work together to achieve decarbonisation goals by investing in projects promoting green jobs and low-carbon infrastructure.

EDGE monies will take the lead in attracting private investment, acting as a keystone investment for the London Climate Finance Facility, which also includes the Green Finance Fund.

Khan’s faces re-election for a third term in May. His 2021 manifesto promised a finance facility dedicated to the capital. The GLA commissioned advice on methods and structures needed for a London Climate Finance Facility (LCFF).

In 2018 under Khan’s leadership London was the first global city to declare a climate emergency. He wants it to reach Net Zero by 2030, ahead of the UK Government’s 2050 goal.   The Mayor’s office cites the EDGE Fund as one of several ways he works with private investors to cut London’s carbon emissions.

Khan declared: “I’m committed to making London Net Zero by 2030. This is achievable, as long as we work closely together to help deliver energy efficient and low carbon projects.

“This new fund will help us unlock additional investment from the private sector and enable us to support many more organisations across the city as they make energy efficient choices.

“London is a world-leading city and this fund will support hundreds of companies as we build a better, cleaner and greener London for all.”

SDCL’s founder and CEO Jonathan Maxwell said: “London is a global hub for servicing the transition we need.

“Since SDCL launched we’ve worked with industrial customers around the world to help improve their economic competitiveness and drive their decarbonisation strategies”.

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Though opposed by vocal libertarians in Skidmore’s party, Net Zero remains Britain’s best, quickest option to secure energy security and curbing carbon from the nation’s economy, according to the Industrial Mission Zero Network, the advisory enquiry set up in September last year.

Its report “Decarbonise Now” draws on meetings with over 1,000 organisations. More than 1,800 pieces of evidence were considered.

Skidmore writes: “To meet Britiain’s Sixth Carbon Budget, industrial emissions need to fall by an annual average of 8% between 2022 and 2030.

“We can achieve this by placing greater focus on improved efficiency, electrification and utilising digital tools, both those available and disruptive technologies as they are developed”.

“Net zero is the growth opportunity of the 21st century”, the report asserts, and “Britain should be proud of the steps it has taken to achieve it”.   Over 90% of global economic output is now covered by Net Zero targets, the report notes

It calls for a twin-track approach to decarbonising Britain’s industry and commerce:

• maximising decarbonisation now, with the tools and technologies able to be deployed with the correct policy support,
• by speeding up longer term provision of CCUS ( carbon capture use and storage ) at all industrial sites, allied to wider deployment of hydrogen over pipeline networks.

The reports cites a finding  by the London School of Economics that CCUS has potential to preserve u to 53,000 jobs in energy intensive industries.

To overcome what it calls the “net present danger” of not acting fast enough in taking forward “no regrets and no excuses” policies, Skidmore’s  review picks out ‘25 measures by 2025’ for immediate delivery.

The Association of Renewable Energy & Low Carbon Technologies welcomed the report. Its director Dr Nina Skorupska commented:

“Britain needs to find a way to compete with international destinations for Net Zero supply chains and investment to enable the decarbonisation of our industries, which will be critical to realising Net Zero.

“Existing mechanisms such as the Public Sector Decarbonisation Scheme are too narrowly focused, and currently do not do enough to enable all business and industries to decarbonise.

The report was right to highlight urgent deployment of viable low carbon technologies already available such as bioenergy heat pumps and deep geothermal. Longer term support was also needed for critical technologies like bioenergy CCUS and hydrogen production.

Read the report here.

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The Climate Change Committee this morning reacted to Rishi Sunak’s speech to the Conservatives’ conference, in which the premier postponed by five years until 2035 the ban on sale of new fossil-fuelled vehicles.  He also invited ‘realism’ around gas boiler replacement in homes, watering down to 80% an earlier goal of substituting them all by 2035 with heat pumps.

Landlords will no longer be required to improve the energy efficiency of homes they rent out, Sunak also decreed.

In June, the CCC, Britain’s world-leading independent committee of academics, including climate scientists, energy economists and behavioural experts, warned Parliament that Britain’s progress is already lagging if it is to meet its legally binding climate pledges for 2050.

Today the CCC’s interim chair, Leeds University’s Prof. Piers Forster, writes that the CCC “remains concerned about the likelihood of achieving the UK’s future targets, especially the substantial policy gap to the UK’s 2030 goal“.

The CCC assesses that government intentions supposedly addressing this decade’s interim goals for carbon emissions are likely to fall short of the required cuts by as much as 20%, Prof. Forster makes clear.

Positive developments since June welcomed today by the CCC include:

• plans to electrify steelmaking at Port Talbot;
• a new cap implemented for the UK’s emissions trading scheme (ETS);
• new laws to introduce the Zero Emission Vehicle (ZEV) mandate

Negative impacts outweigh these, however. The CCC report identifies the following as ‘making Net Zero considerably harder to achieve’:

• Consumer and car makers’ perceptions, following Sunak’s delaying the ban on sales of new fossil-fuelled cars and vans.

“Uncertainty has been introduced by changing near-term consumer targets“, the CCC declares. “The buying public and car makers perceive a weakening of government commitment to the EV transition, which could undermine consumer confidence and/or jeopardise some inward investment relating to EV manufacturing“.

• No CfD contracts awarded for offshore wind in the AR5 round

The CCC warned the government in June that the administrative strike price regulating September’s auctions was too high to attract bids and thus investment, today’s report reminds ministers including Claire Coutinho, D-ESNZ’s new secretary of state, pictured with Sunak.

“In forthcoming auction rounds, it is imperative that policy is adjusted to deliver contract award“, the CCC demands.

• On decarbonising buildings, the announced changes will make it “more difficult“ to meet the government’s sectoral pathway.

A 2035 phase-out date for fossil boilers might yet contribute to Net Zero, the CCC concedes. But  the exemption of 20% of households from the phase-out by 2035 will have an impact on emissions all the way to 2050.

“Most importantly“, says the report, “it creates widespread uncertainty for consumers and supply chains. Although the grant for heat pumps was increased from £5,000 to £7,500, it has not been accompanied by a larger budget and will, therefore, serve fewer homes“.

From green industry lobbyists the Aldersgate Group, its head of public affairs Signe Norberg, said: “Today’s intervention from the Climate Change Committee is a stark reminder that the UK must maintain its ambition to deliver net zero by 2050 and back this up with robust policy measures and transparency to get on track to meet vital climate commitments.

“Lowering ambition and generating uncertainty by weakening targets only serves to increase costs in the long term, discourage investment, and impact the UK’s reputation on the world stage.

“At a time of increased international competition that threatens to divert investment in low-carbon industries away from the UK, businesses and investors need certainty and policy consistency to accelerate decarbonisation.

“We have seen the UK lead in the past with this approach across the economy, which has created a strong foundation from which to lead in the future, but without the right action now this opportunity will be lost“.

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Next year’s calendar for the UK’s Emissions Trading Scheme will limit the number of carbon allowances for companies to buy to 69 million, or 12.4 per cent fewer than in 2023, and their lowest-ever level.

By 2027, the allocation will fall further to around 44 million, a 45 per cent reduction on 2023. A floor of around 24 million is projected for by 2030.

This afternoon’s figures put plans announced earlier this year into action – to reduce the cap on carbon emissions under the Emissions Trading Scheme in line with the UK’s ambitious Net Zero strategy.

The UK ETS came into operation in January 2021, following the UK’s departure from the European Union.  It follows a cap and trade mechanism, with the cap reduced periodically to reflect progress towards the UK’s 2050 Net Zero commitments.

Through the scheme’s auctions process, companies in industries including manufacturing, power generation and aviation are required to buy allowances for every unit of carbon they emit. With fewer permits available to buy, these sectors will need to take further steps to cut their emissions.

The auction calendar published today by ICE Futures Europe, on behalf of the UK Emissions Trading Scheme Authority, gives businesses certainty over the next 12 months and sets the scheme on a clear path for decarbonisation for the six years after that.

In a joint statement, UK Emissions Trading Scheme Authority ministers, including Lord Callanan, Julie James MS, Màiri McAllan MSP and Exchequer eecretary Gareth Davies MP said:

“We want to give our industries the confidence to decarbonise, by investing in efficiency measures and moving away from fossil fuels to cleaner, more secure energy.

“The UK Trading Emissions Scheme will cut supply of allowances auctioned, with a 45 per cent reduction by 2027, to help us on our path to Net Zero””, the ministers went on.

“The auction calendar for 2024 and introduction of the new Net Zero-consistent cap will help provide certainty for businesses, while spurring investment and helping to grow the economy.”

Easing the scheme’s transition to a Net Zero cap, a proportion of allowances that went unused between in the past two years is today allocated to auctions due to be held between 2024 and 2027.

The number of allowances auctioned will still fall significantly each year over this period. There are also programmes in England, Wales, Scotland and Northern Ireland providing millions of pounds to help businesses make the changes needed.

As part of wider changes to the scheme, the UK Emissions Trading Scheme Authority has also committed to exploring measures for the future of the carbon allowances market, including examining the merits of a supply adjustment mechanism.

Such a change would provide a means of altering the supply of carbon allowances more flexibly in response to market conditions.

A copy of the 2024 UK Emissions Trading Scheme auction calendar can be found on the Intercontinental Exchange (ICE) website. ICE runs ETS auctions and secondary markets on behalf of the government.

The UK Emissions Trading Scheme Authority is the joint body comprising the UK Government, Scottish Government, Welsh Government and the Department of Agriculture, Environment and Rural Affairs in Northern Ireland that runs the scheme.

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