After public concern after cuts to renewable energy subsidies, the Tories gathered to discuss energy policies at a conference fringe meeting.
Conservative MP for the Wells constituency and member of the Energy and Climate Change Committee, James Heappey cautioned:
“Certainly we should not be making an enemy of the renewables sector.”
He was responding to correspondence from his constituents and local businesses that felt that the government had turned their back on the renewables sector. Since the new government entered power, we’ve seen an end to wind farm subsidies as well as CCL exemptions for renewable energy.
Odd behaviour considering the government has signed up to hit EU Climate Change Targets that seem to be falling out of reach, as investment in the UK renewables sector is diminishing after the spate of government cuts. In addition, they are also pledging to close coal-fired powered stations by 2023 ruling out carbon supplies.
How is the government planning on addressing the three prominent issues facing energy policy – affordability, decarbonisation and security of supply?
Richard Howard from Policy Exchange “argues that policymakers have, for too long, failed to strike the right balance between energy affordability and decarbonising the economy.”
Households have on average seen bills increase by £250 over the last five years due to a variety of reasons, such as increased cost of supply and increased green levies.
More and more of the elderly and vulnerable have fallen into fuel poverty as prices rise with demand. With a focus on reducing CO2 emissions, carbon taxes will be set to rise, bringing energy costs higher.
Heappey explained that the energy market is changing fast due to low oil prices, and asserted that this offers an opportunity to liberalise energy markets, making them less dependent on the will and policy of the government.
He continued that there was currently “not enough focus on carbon capture and storage” and suggested that members of the public could be incentivised to tackle domestic energy efficiency if they were offered council tax reductions.
A good idea and one that could make a difference to energy bills and attitudes. The introduction of smart meters as a means to reduce domestic and corporate energy usage from smart phones should be a step in the right direction should the public be properly educated on the benefits of them. The average reduction in consumption is 2% once a smart meter is installed this can rise to as much as 6%.
With government set to make changes to green policies and legislation in order to encourage the uptake of energy efficiency and low carbon measures, will they be able to get the public on board?
For more information on smart meters or for an instant business energy quote, give Business Juice a call on 0800 051 5770, email us at quote@businessjuice.co.uk or use our contact form.