- REview22, the REA’s state of the industry annual report, is
published;
- Sector has showed ‘resilience and ingenuity’ despite the
impact of Covid-19;
- The UK’s failure to meet renewable targets underline the need
for the Government to urgently address its policy gaps;
- The UK met 13.6% of its total energy consumption from
renewables at the end of 2020;
- Regional market value projections included for the first time
- value of the renewable and clean tech sector could reach £46bn
by 2035
The Association for Renewable Energy and Clean Technology (REA)
has published their state of the industry annual report, REview22
saying that, while the renewable industry has shown ‘great
resilience and ingenuity’, ‘the Government is failing to match
its Net Zero commitments with action’.
The report, which presents the latest deployment and employment
figures for the renewable energy and clean technology industry,
shows that progress on renewable power remains positive, despite
the fall in generation. However, the lack of Government support
has meant that the decarbonisation of heat and transport is
slowing the UK advance to Net Zero.
Under the European Union’s Renewable Energy Directive (RED), the
UK committed to deriving 15% of total energy consumption from
renewable sources by 2020. However, the UK failed to meet that
target, reaching just 13.6% by the deadline.
As highlighted in last year’s report, much of the industry is
weighted towards London and the South East, reflecting a trend
across the economy. However, our modelling shows that consistent
and proactive support from the Government – for example, more use
of Supply Chain Plans – could see future jobs and investment
distributed more equally across every region and nation of the
UK.
Key findings include:
- Over 140,000 people were employed in the renewable energy and
clean tech sector in 2020/21 – the REA projects that this could
increase to 210,000 by 2035. The market value of the sector will
more than double from around £22bn to £46bn in the same time
period;
- Wind energy remains the dominant technology within the
renewable power sector, with offshore and onshore accounting for
more than half of all renewable generation - solar PV produces
around 10%;
- In a similar vein, bioenergy sources account for more than
half of the UK’s total renewable heat generation. The reduction
of tariff rates under the Renewable Heat Incentive (RHI) and
large gaps in Government heat decarbonisation policy have stunted
the growth of other technologies, however;
- Transport has been the standout area of growth in this year’s
REview22, with a dramatic increase in the number of new car
registrations for zero emission vehicles (ZEVs) - there was a 76%
increase between 2020 and 2021.
Dr Nina Skorupska CBE, CEO of Association for Renewable
Energy and Clean Technology (REA), said: “Despite
the immense challenges facing a whole range of sectors over the
past few years, REview22 highlights the continued resilience and
ingenuity of the renewable energy and clean technology
industry.
“We are projecting that thousands of new jobs and billions of
pounds will be added by the sector by 2035, and these figures
could be even greater should the Government deliver the right
support. Of course, these numbers are by no means guaranteed if
the Government continues to provide patchy and unreliable
policy.
“We are clear, tackling climate change and boosting our
economy is not an ‘either-or’ decision. In fact, it goes hand in
hand. I would urge the Government to recognise the opportunities
on offer for our country and finally match their warm words with
action.”
The report was sponsored by Drax and also features contributions
from EY with images from Eden Geothermal. The statistical
analysis was provided by Innovas.
—ENDS—
Notes to editors:
REA’s annual report, REview22, can be read here in full: https://www.r-e-a.net/review22-the-reas-annual-state-of-the-industry-report-is-published/
