Response to Net Zero Strategy

Josh Burke, Senior Policy Fellow at Grantham Research Institute on Climate Change and the Environment at the London School of Economics and Political Science, said:

“The lack of a long-term, economy-wide investment plan in this announcement undermines investor confidence and prevents the UK from leading the green race. 

“Instead of grasping this historic moment the government has been left trailing behind the Inflation Reduction Act and is currently failing to capitalise on the opportunities a green transition will provide. Companies are making investment decisions now and in six months time the UK will be even further behind. 

“It’s right that the announcement focuses on prioritising investment, but it should be on technologies such as onshore wind, that will reduce emissions in the short term and ensure energy security.  

“Should an announcement be made tomorrow about extending offshore drilling for oil and gas it would be incompatible with achieving net zero and undermine the UK as a global leader on climate change. It will do nothing to ease the pressure on household bills in the short term.”

Bob Ward, Policy and Communications Director at the Grantham Research Institute on Climate Change and the Environment at the London School of Economics and Political Science, said:

“This revised strategy identifies key areas that need progress but what it is missing is a major long-term investment strategy for net zero. Without that, the Net Zero Strategy remains a set of aspirations rather than a credible pathway to delivery of net zero.

“It is rather puzzling that the Strategy leads with carbon capture, usage and storage. We will definitely need carbon capture and storage, but mainly to withdraw carbon dioxide from the atmosphere and dispose of it effectively. Carbon dioxide levels in the atmosphere are already dangerously high and still growing. And it might be needed in some industrial processes where cleaner alternatives do not exist, as well as, in the medium-term with some fossil fuels for electricity generation if progress on storage technologies and efforts to better match supply and demand are too slow.

“What does not make sense is to carry on with further development of new fossil fuel reserves on the assumption that carbon capture and storage will be available to mop up all the additional emissions. While the costs of carbon capture and storage will come down, it will make fossil fuel use even more expensive, and it will not eliminate all the risks resulting from the price volatility and energy insecurity of fossil fuels. A successful and competitive economy in the future will be powered by clean and affordable domestic energy, not unreliable and insecure fossils fuels.

“Hence the best economic and environmental strategy for the U.K. is to invest heavily in net zero, particularly clean domestic energy capacity and transmission, as well as a radical improvement in energy efficiency to boost productivity. This will drive sustainable economic growth and jobs, and will be the best safeguard against a repeat of the current energy crisis caused by our dependence on fossil fuels.“