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The government’s decision to accelerate its target for cutting emissions means that it can no longer put off investment in decarbonisation, the CBI has warned.
The UK government announced today (20 April) its new commitment to reduce greenhouse gas emissions by 78 per cent by 2035, compared to 1990 levels.
This new target is in line with the line with the recommendation from the Climate Change Committee (CCC) for the Sixth Carbon Budget, which covers the five-year period from 2033 to 2037.
Until the 2019 adoption of the 2050 net zero target, the government’s statutory commitment was to cut emissions to 80 per cent of 1990 levels by the middle of this century.
James Diggle, head of energy and climate change at the CBI, told an event this morning that the new interim target reflected the level of ambition required to meet net zero.
But he said that the frontloading of the target means that around 60 per cent of the remaining emissions savings required by 2050 will have to be achieved by 2035.
“This increases the need for this decade in particular to deliver. Investment can’t wait, the sooner you invest, the cheaper it will be.”
Diggle said that the Treasury’s upcoming net zero review, which the event was held by the Energy and Climate Intelligence Unit to discuss, would play a “vital role” in unlocking investment. He highlighted the “massive disparity” both in policy costs between electricity and gas.
Lord Adair Turner, former chair of the CCC, told the same event that the new target means more rapid progress must be made in areas like electrification of heavy goods vehicles.
“We’ve got to get serious earlier about some sectors we might have thought were further down the line.”
Responding to the government’s announcement, National Infrastructure Commission chair Sir John Armitt called for “detailed polices” to deliver the necessary developments like sufficient electric vehicle charging points, “concrete steps” to decarbonise the country’s heating supply, and schemes to “significantly improve the energy efficiency of the UK’s homes.”
Philip Dunne, chair of the House of Commons environment audit committee, warned that while the new target was “very promising”, the UK remained “off-track” to deliver against its fourth and fifth carbon budgets.
“A major shift is required in terms of clarity of government policy and development of coherent strategies to deliver support measures and demand signals. We are lacking government strategies on net zero, heat and buildings, and hydrogen – all areas that need urgent clarity and all areas that the government is dragging its feet on.
“It is time policy baubles start being put on the Prime Minister’s ten-point climate plan Christmas tree. We also need to see an end to the stop-start of government schemes as we have recently seen with the Green Homes Grant.”
Emma Pinchbeck, Energy UK chief executive, said: “The government now needs to urgently focus on polices that can enable our industry to invest and help deliver on these pledges – by increasing still further the amount of low carbon generation, cutting emissions from housing and transport and by creating a modern, flexible energy system.”
Melanie Onn, deputy chief executive of RenewableUK, called for a “specific commitment” by the government to adopt the CCC’s recommendations that the electricity sector should be entirely decarbonised by 2035.
She said: “To ramp up renewable energy development, we also need to see renewable energy projects being consented in a more timely manner, so we’re calling for ministers to put more financial resources into the expert bodies which rigorously scrutinise new applications. And critically, we need to accelerate work on upgrading the electricity grid to allow us to maximise the benefits of renewable power for consumers.”
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