The UK has decided to put forward 12 projects for consideration by the European Investment Bank for its New Entrants Reserve, the €4.5bn pot to spend on CCS and “innovative renewable projects”.
There are seven CCS projects and five renewable ones.
George Osborne reiterated today the UK government’s “determination to be the greenest government ever”. But given what we already knew, most of the new information contained in Wednesday’s Budget seems to be set against that agenda.
Let’s take the measures one-by-one:
But as Mr Osborne himself admitted, this won’t be enough (at least at the level it has been set) on its own. Further money will be required from general taxation, which leaves second round CCS projects fighting alongside everything else for a rapidly diminishing pool of government spending.
Many thanks for all your questions for Jack Gerard, the head of the API. His answers will appear on this site on Friday, January 14th.
Next week, the person in the hotseat will be Magued Eldaief, the managing director of GE’s energy business in the UK.
This is your chance to ask him about anything: from whether Western wind turbine makers can keep up with their Chinese rivals; to the future of smart grids; to whether CCS is a viable commercial enterprise.
Email all your questions to email@example.com by the end of Sunday, January 16th.
Two days ago, before Chris Huhne announced his package of measures to shake up the UK electricty market, a group of energy industry insiders and experts told Energy Source what they wanted to see from the reforms. Now that we know the details, and people have had time to figure out what they mean, the question remains, did they get what they wanted?
Chris Huhne, the UK energy secretary, will tomorrow announce the details and scope of the government’s consultation on electricity market reform (EMR). The bill will come before parliament in the spring, but tomorrow’s announcement is expected to give some indications of the direction of government thought on certain key issues.
Huhne will be answering your EMR-related questions on this blog next week – email firstname.lastname@example.org by Friday, December 17th to pose your question. Meanwhile, here is what the energy industry wants to see ahead of the tomorrow’s release:
Powerfuel’s move into administration is grim news for supporters of carbon capture and storage, not least those companies thinking of investing in the sector.
Powerfuel was developing one of the UK’s first commercial scale clean coal power plants, but ended up unable to foot the hefty bill.
One of the administrators, Richard Fleming of KPMG, said:
Developing low carbon energy generation requires a large amount of capital upfront and the CCS development falls £635m short of the investment needed to progress the project beyond the preliminary stage. It needs moving on to a new owner with deeper pockets.
As recently noted by the WWF’s EU climate policy tracker, the UK rates highly for its overall government policy, being the only EU country with a legally binding long-term commitment to reduce greenhouse gas emissions by 80 per cent by 2050.
But the problem is, British MPs are now warning that progress towards those targets is “unacceptably slow”.
In the first of a new series of readers’ Q&A sessions, Sara Vaughan, Eon UK’s head of energy policy and regulation, tackles the burning questions you wanted answering. Eon is Germany’s largest energy company and is heavily involved in the UK market.
In the first of two parts, Sara talks about why the changes to the carbon reduction commitment could be a good thing, how to reform the energy market and the future of carbon capture and storage.
In the second part, to be published later this morning, she will discuss the obstacles to building new nuclear plants, how the UK measures up on low-carbon technology and the limitations of a carbon floor price.
Next in the hotseat is Ditlev Engel, chief executive of Vestas, the world’s biggest manufacturer of wind turbines. Send in your questions by the end of Friday, November 26th for consideration, to email@example.com.
But for now, over to Sara:
Starting next week, Energy Source is bringing back its reader Q&A sessions. This is a chance for you to ask the bigwigs of the energy industry anything you could possibly want.
First up in the hotseat is Eon’s Sara Vaughan, their UK director of regulation and energy policy.
Eon is of course Germany’s biggest energy company, but it has a very high profile in the UK. Sara will be answering all your questions, from why it decided not to press ahead with Kingsnorth, to what is the future of UK nuclear power, to what carbon price is needed to stimulate green energy growth.
Send all your questions to firstname.lastname@example.org by the end of Friday 19th November.
Here’s some news that will cheer both environmentalists and hydrocarbon producers.
The UK government is going to open up its CCS trials to gas plants as well as coal ones. After the first demonstration, the next batch of three will be open to applications from gas-fired power plants.
We are determined to ensure the UK continues to be at the forefront of CCS development – and this sets us on course to lead the world in the development of CCS on gas as well as coal.