Recommendations & Conclusions
12 items
7
Conclusion
4th Report - Accelerating the transitio…
Accepted
There are, however, significant gaps in the Strategy. It is in essence an energy supply strategy, with much of its focus on electricity generation and oil and gas supply. To deliver genuine energy security, the strategy should have placed far greater emphasis on energy saving measures. Transport should also have …
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There are, however, significant gaps in the Strategy. It is in essence an energy supply strategy, with much of its focus on electricity generation and oil and gas supply. To deliver genuine energy security, the strategy should have placed far greater emphasis on energy saving measures. Transport should also have been included.
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Government response AI summary
The Government agrees energy efficiency is crucial and highlights measures in the British Energy Security Strategy to improve energy efficiency in homes, businesses, and transport, including a 15% reduction target by 2030 and investments in various efficiency measures.
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10
Recommendation
4th Report - Accelerating the transitio…
Accepted
The Government must first act to increase the funding of schemes that are already in place and have a proven track record of effective delivery. The £1 billion of further funding that the Government has provided to the Energy Company Obligation scheme over the next three years is welcome, but …
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The Government must first act to increase the funding of schemes that are already in place and have a proven track record of effective delivery. The £1 billion of further funding that the Government has provided to the Energy Company Obligation scheme over the next three years is welcome, but it is not commensurate with the scale or urgency of the energy security challenge. With over six million households now in fuel poverty, action on energy efficiency needs to be ramped up urgently.
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Government response AI summary
The Government states it is investing £6.6 billion this Parliament on clean heat and improving energy efficiency in buildings and highlights existing schemes like ECO, HUG, and LAD to support low-income households. They plan to launch the new ECO+ scheme in spring 2023 worth £1 …
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14
Conclusion
4th Report - Accelerating the transitio…
Accepted
We welcome the new interim target set by the Government in the Autumn Statement to reduce energy demand in this country by 15% by 2030. This goes some way to plugging the gap in the Energy Security Strategy which did not address reducing demand. We nevertheless regret that Ministers missed …
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We welcome the new interim target set by the Government in the Autumn Statement to reduce energy demand in this country by 15% by 2030. This goes some way to plugging the gap in the Energy Security Strategy which did not address reducing demand. We nevertheless regret that Ministers missed a crucial window of opportunity during the warmer months of 2022 to accelerate energy efficiency measures that could have helped to give permanent protection from the impact of volatile oil and gas prices to thousands more UK households.
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Government response AI summary
The government states that existing plans are expected to deliver around half of the new ambition to reduce the UK’s energy consumption by 15% by 2030 and highlights £6.6 billion already being spent this Parliament.
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16
Recommendation
4th Report - Accelerating the transitio…
Accepted
The Energy Efficiency Taskforce announced in November 2022, if appropriately resourced and commissioned, has the potential to make a significant practical contribution to policy implementation. In our view it would be well placed to advise Ministers in the Departments for Business, Energy and Industrial Strategy and Levelling Up Housing and …
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The Energy Efficiency Taskforce announced in November 2022, if appropriately resourced and commissioned, has the potential to make a significant practical contribution to policy implementation. In our view it would be well placed to advise Ministers in the Departments for Business, Energy and Industrial Strategy and Levelling Up Housing and Communities on the best means to achieve the step change in measures to decarbonise domestic and commercial property that the CCC has advocated. We recommend that the remit of the Energy Efficiency Taskforce Accelerating the transition from fossil fuels and securing energy supplies 83 expressly include the provision of advice to Ministers on any and all measures— including primary and secondary legislation, codes of practice and guidance—which in the Taskforce’s view will contribute to the swiftest possible implementation of energy efficiency measures at the scale the current situation demands.
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Government response AI summary
The Energy Efficiency Taskforce will advise ministers on delivering the government’s ambition to reduce total UK energy demand by 15% from 2021 levels by 2030, across domestic and commercial buildings and industrial processes, working within existing funding envelopes and policy parameters.
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26
Conclusion
4th Report - Accelerating the transitio…
Accepted
Despite the UK’s heavy dependence on oil for transport, and transport’s status as the highest emitting sector, it is barely mentioned in the British Energy Security Accelerating the transition from fossil fuels and securing energy supplies 85 Strategy and was left out of the new national ambition to reduce energy …
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Despite the UK’s heavy dependence on oil for transport, and transport’s status as the highest emitting sector, it is barely mentioned in the British Energy Security Accelerating the transition from fossil fuels and securing energy supplies 85 Strategy and was left out of the new national ambition to reduce energy consumption by 15% by 2030. We acknowledge the Government’s leadership in setting a date to end the sale of petrol and diesel vehicles in 2030 and the encouraging rate of growth in the sale of electric vehicles. We note however that it may take many years for a full turnover of the vehicle fleet and that transport emissions have flatlined for the last decade. For the UK to meet its successive carbon budgets under the Climate Change Act 2008 and the Paris Agreement, transport emissions must start coming down more rapidly.
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Government response AI summary
The government states that decarbonising transport is a priority and references the Transport Decarbonisation Plan (TDP) published in 2021 that sets the sector on an ambitious path to net zero by 2050.
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27
Recommendation
4th Report - Accelerating the transitio…
Accepted
The best way to reduce the UK’s future exposure to volatility in the price of oil is to reduce oil consumption. The rapid growth in electric car sales is encouraging, but it will take many years to replace petrol and diesel vehicles. More must be done to improve the energy …
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The best way to reduce the UK’s future exposure to volatility in the price of oil is to reduce oil consumption. The rapid growth in electric car sales is encouraging, but it will take many years to replace petrol and diesel vehicles. More must be done to improve the energy efficiency of our transport system and reduce its contribution to climate change in the meantime. The International Energy Agency and other bodies have identified a range of demand side measures that the Government could use to cut oil use, make public transport more affordable and reduce transport emissions. We recommend that the Department for Transport consult on measures, such as those listed in the IEA’s ten-point plan, that it could introduce in the UK to improve energy security, reduce oil demand and cut climate-changing emissions from transport.
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Government response AI summary
The government states that decarbonising transport and reducing its contribution to climate change is a priority, referencing the Transport Decarbonisation Plan (TDP) published in 2021. They will continue to consider options, including those put forward by the IEA, and mention existing commitments and initiatives such …
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34
Conclusion
4th Report - Accelerating the transitio…
Accepted
Sectoral involvement in drafting a deal of this nature is normal. It also makes sense for the industry to be involved in the monitoring and governance of a voluntary deal. However, we are concerned that the targets and accountability arrangements in the Deal are weak and lack the urgent and …
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Sectoral involvement in drafting a deal of this nature is normal. It also makes sense for the industry to be involved in the monitoring and governance of a voluntary deal. However, we are concerned that the targets and accountability arrangements in the Deal are weak and lack the urgent and transformative action which the CCC says is required. In particular, there appear to be few sanctions available to the North Sea Transition Authority in the event that companies do not achieve the production emissions targets they have agreed to meet. (Paragraph 200) Accelerating the transition from fossil fuels and securing energy supplies 87
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Government response AI summary
The government believes the current approach to targets and accountability arrangements in the North Sea Transition Deal is appropriate, citing a decline in upstream GHG emissions and actions taken by the NSTA to hold industry accountable.
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35
Recommendation
4th Report - Accelerating the transitio…
Accepted
To date the NSTA has not published the names of those operators lagging behind in reducing their production emissions. This prevents investors, shareholders and other interested parties from being able to appraise the performance of individual companies against their net zero pledges. The NSTA has indicated to us that it …
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To date the NSTA has not published the names of those operators lagging behind in reducing their production emissions. This prevents investors, shareholders and other interested parties from being able to appraise the performance of individual companies against their net zero pledges. The NSTA has indicated to us that it would potentially be prepared to use its ‘soft power’ to influence operators by publishing details of the performance of individual operators or companies. We recommend that the North Sea Transition Authority publish an annual league table in its Emissions Monitoring Report detailing the performance on emissions reduction of individual operators and companies. The Government should signal its support for such an approach, which would encourage action by operators to reduce their upstream emissions.
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Government response AI summary
The NSTA reports domestic production emission data at an aggregated level and has published asset level domestic production emission information in publicly available dashboards; the government supports this approach.
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38
Recommendation
4th Report - Accelerating the transitio…
Accepted
Oil and gas companies must accelerate their efforts to electrify offshore platforms, stop flaring and address methane leakage. We recommend that all oil and gas companies involved in extraction of fossil fuels from areas within the UK’s jurisdiction report annually on their progress in decarbonising their activities. We further recommend …
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Oil and gas companies must accelerate their efforts to electrify offshore platforms, stop flaring and address methane leakage. We recommend that all oil and gas companies involved in extraction of fossil fuels from areas within the UK’s jurisdiction report annually on their progress in decarbonising their activities. We further recommend that the North Sea Transition Authority identify and publish a league table of the best and worst performing companies, so that investors, non-governmental organisations and policymakers can monitor progress.
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Government response AI summary
The government responded that the NSTA already reports domestic production emission data via its annual Emissions Monitoring Report and has published asset level domestic production emission information in publicly available dashboards.
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39
Recommendation
4th Report - Accelerating the transitio…
Accepted
We are disappointed to observe that only two electrification projects are expected to be commissioned by 2027. During the development phase of a new project the NSTA approves Concept Select and Field Development Plans. We recommend that the regulator uses its powers at this stage of the project assessment to …
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We are disappointed to observe that only two electrification projects are expected to be commissioned by 2027. During the development phase of a new project the NSTA approves Concept Select and Field Development Plans. We recommend that the regulator uses its powers at this stage of the project assessment to insist on the electrification for all new projects due to be licenced in the 33rd licensing round. (Paragraph 217) 88 Accelerating the transition from fossil fuels and securing energy supplies
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Government response AI summary
The NSTA states it already has net zero considerations embedded throughout the project lifecycle and uses the FDP process to incentivise low carbon power solutions.
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40
Recommendation
4th Report - Accelerating the transitio…
Accepted
The routine flaring of unwanted fossil gas must be banned outright, as it has been by Norway since 1971. We recommend that the Government introduces an amendment to the Energy Bill to provide for a total prohibition on flaring from installations in the UK’s jurisdiction to be introduced not later …
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The routine flaring of unwanted fossil gas must be banned outright, as it has been by Norway since 1971. We recommend that the Government introduces an amendment to the Energy Bill to provide for a total prohibition on flaring from installations in the UK’s jurisdiction to be introduced not later than the end of 2025. This would help ensure the UK fulfils commitments it made at COP26 and COP27 under the Global Methane Pledge.
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Government response AI summary
The government stated it already has ambitious plans to end routine flaring and venting, has signed up to The World Bank Zero Routine Flaring initiative, and the NSTA expects flaring and venting emissions to be at the lowest possible levels.
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41
Recommendation
4th Report - Accelerating the transitio…
Accepted
It is encouraging that the North Sea Transition Authority is in the process of issuing licences to CCUS projects in the UK. We support the North Sea Transition Deal’s intention to drive forward the deployment of this technology which will be essential in decarbonising heavy industry. The Government must ensure …
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It is encouraging that the North Sea Transition Authority is in the process of issuing licences to CCUS projects in the UK. We support the North Sea Transition Deal’s intention to drive forward the deployment of this technology which will be essential in decarbonising heavy industry. The Government must ensure that there is certainty for the industry: there must be no repetition of the sudden withdrawal of Government support which previously disrupted the development of CCUS projects in the UK.
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Government response AI summary
The government stated that its £1 billion CCS Infrastructure Fund and the £240mn Net Zero Hydrogen Fund, along with work on enduring business models and revenue support, will provide industry with the certainty required to deploy CCUS at pace and at scale and that the …
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