Source · Select Committees · Business and Trade Committee
Recommendation 13
13
Accepted in Part
Prioritise UK-EU energy cooperation and seek to agree an efficient electricity trading framework.
Recommendation
To achieve the shared strategic objectives of reducing carbon emissions, improving energy security, and expanding renewables, the UK and the EU must prioritise energy cooperation in upcoming discussions. There is a clear need to move beyond the current state of implementation of Trade and Cooperation Agreement’s current electricity trading provisions, which industry has deemed unfit for purpose. The Government should review industry proposals for improving market coupling arrangements and seek to agree the most efficient electricity trading framework possible. (Recommendation, Paragraph 65)
Government Response Summary
The government accepted the recommendation in part, welcoming energy cooperation and stating that at the UK-EU Summit, agreements were made to stabilise the TCA Energy Title and explore UK participation in EU electricity trading platforms. They also agreed to strengthen cooperation on clean energy technologies.
Government Response
Accepted in Part
HM Government
Accepted in Part
The Government welcomes the Committee’s recommendation on improving our energy cooperation with the EU. At the UK-EU Summit, the UK and EU agreed to stabilise the Energy Title under the Trade and Cooperation Agreement (TCA) by extending its application on a continuous basis. We also agreed to explore the possibility for the UK to participate in the EU’s electricity trading platforms - efficient electricity trading is crucial to reducing the cost of electricity across the UK and EU, getting the most from our existing interconnectors, and developing new clean technologies in the North Seas. Finally, we agreed to strengthen cooperation on clean energy technologies such as hydrogen, carbon capture, usage and storage and biomethane. These measures will reduce the cost of electricity and support our mission to make the UK a clean energy superpower.