‘Green Day’ - Greenpeace briefing
On Thursday 30 March, the government is expected to announce a
package of responses to the global race to lead on green tech
advancement, Chris Skidmore’s Net Zero Review and last year’s High
Court ruling that its current Net Zero Strat! egy is inadequate and
unlawful. Billed as the UK government’s response to the Biden
administration’s Inflation Reduction Act, the so-called ‘Green Day’
announcements must form the backbone of a substantial green
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On Thursday 30 March, the government is expected to announce a package of responses to the global race to lead on green tech advancement, Chris Skidmore’s Net Zero Review and last year’s High Court ruling that its current Net Zero Strat! egy is inadequate and unlawful. Billed as the UK government’s response to the Biden administration’s Inflation Reduction Act, the so-called ‘Green Day’ announcements must form the backbone of a substantial green industrial strategy, or the UK risks being left behind as the US, EU and China race ahead supporting emerging markets and future green technologies, attracting global investment. The question is, will the government seize the opportunities for growth and public wellbeing green investment presents, while also making good on planetary obligations? Or will it continue to bury its head in the sand and see the UK slip into insignificance on the global stage? What are we expecting? Electric Vehicles - A mandate on how many electric models car manufacturers must sell each year (Zero Emissions Vehicle mandate) and a deal for a new gigafactory in Somerset supplying batteries to Jaguar Land Rover to make electr! ic vehicles. Greenpeace UK view: “Both of these measures are needed but without further action to secure more battery plants to deliver green job opportunities and adequate charging infrastructure to meet demand, the government’s EV strategy would still be in need of a jump start.” Nuclear Power - Rules on Small Modular Reactors (SMRs) competition announced and a wider plan for meeting the target of 24GW from nuclear power by 2050. Greenpeace UK view: “Nuclear power has consistently failed to deliver on time or to budget. It’s an expensive distraction from genuine climate and energy security solutions, like renewable power and grid upgrades. SMRs don’t yet exist, are highly unlikely to solve our energy woes and won’t provide a solution to the waste hazards that come with nuclear.” Renewables - A decision on planning rules for onshore wind in England, seeking to end the de facto ban, although the consulted re-wording of planning guidance seemed unlikely to make much difference. Extra money (£205m) will also be released for the next renewable contract auction (AR5 auction round), which opens on 30th March. Greenpeace UK view: “Annual auctions for contracts to generate clean power are needed but inflation and post-covid supply chain issues mean prices have gone up while financial support has remained the same, which could hamstring the industry. Unless funding is increased, the current auction will generate less than one fifth of contracted capacity at the last renewables auction, and much less than is needed to hit government targets. As for the nonsensical onshore ban - renewables remain the cheapest, cleanest, most popular form of energy in this country - it’s time it was lifted to maximise the number of projects providing cheap power to the grid.” Energy efficiency - It’s possible that regulations will be confirmed on private rented sector landlords to provide a minimum energy efficiency standard of EPC rating C in all properties by 2028 - this is a live debate within the Energy Bill and has received cross-party support. Greenpeace UK view: “This is long overdue, and so is a properly funded scheme to improve the energy efficiency of all homes. Insulation is the cheapest most effective way to lower bills and emissions but the only thing plummeting has been installation rates. Much more is needed to make the UK’s housing stock fit for the 21st century.” CCUS - a plan for development and naming of the companies expected to attach to the clusters in East of England and around Morecambe Bay, and possible repackaging of the £20bn Budget announcement. Greenpeace view: “Carbon capture is not zero carbon; is unlikely to see dramatic cost reductions or be scalable; and is often used for greenwashing by oil and gas companies so they can carry on polluting. It doesn’t do what it says on the tin and certainly should not be prioritised as part of a green industrial strategy.” … other possibilities: Hydrogen - Secretary of State for the Department for Energy Security and Net Zero, Grant Shapps, recently told the Environmental Audit Committee (EAC) that the ‘Green Day’ announcement would include plans to boost hydrogen. Greenpeace UK view: “Green hydrogen will be key to slashing emissions from hard to decarbonise sectors like the steel industry. However, hydrogen from fossil fuels (blue hydrogen) is not compatible with the UK’s net zero plans, since you burn and release gas in creating it. It’s like claiming beef burgers are vegetarian because cows eat grass.” Heat pumps - Grant Shapps also hinted something around heat pumps to EAC this month but with no detail. Greenpeace UK view: “Our European neighbours are snapping up heat pumps like hot cakes, while UK households are being left out in the cold. The Boiler Upgrade Scheme is failing and needs a much more rounded strategy to increase heat pump uptake including skills packages, independent consumer advice and support, advertising and promotion, as well as much more money.” Green steel - There is an active conversation in government about the future of the Scunthorpe smelting plant, and about the ‘greenness’ of the government support required. Unions have continued to lobby intensively for urgent support to save UK steel. Trails imply that the Chancellor would want to attach green conditions to any bailout. Greenpeace UK view: “It is essential that the UK steel industry continues to support skilled workers while moving towards zero carbon, and this should be a condition of any support given to the smelting industry. More generally it would allow the industry to benefit from cheap renewable electricity rather than having it pegged to the gas price, and creating a domestic market demand for clean steel.” What a real ‘Green Day’ looks like: A genuinely world-leading and competitive green agenda needs to address not just carbon emissions, but also the welfare of the population. It must create thousands of secure green jobs, deliver cleaner air, lower bills, liveable communities and warmer homes to spread the wealth and benefits more fairly across society. Renewables - The UK is currently a leader in offshore wind, however the reality is that current renewables expansion plans are nowhere near enough to retain a competitive global market share or to achieve our net zero targets. The government must:
Electricity storage, grid management and green hydrogen - High renewables electricity systems will become the norm over the next few years and the key tools to make it work will become desirable. The government must:
Electric Vehicles - In addition to a strong ZEV mandate and investment in a Somerset battery factory outlined above, the government needs to go much further. The government must:
Green steel - The Climate Change Committee states that steelmaking should be near-zero emissions by 2035, if the UK is to meet net zero. In order to do this, the government must:
Energy efficiency - The best way to slash emissions from homes, reduce our reliance on gas, cut energy bills, end fuel poverty and beat the cost of living crisis is to insulate homes. The Government must:
Heat pumps - The UK has one of the worst heat pump sales record in Europe. However, with housing responsible for almost one fifth of the UK’s carbon emissions, getting home heating systems off gas and onto electric heat pumps, powered by renewable energy, is absolutely fundamental to meeting our net zero targets. The government must:
Financial regulation - It has been estimated that the net zero transition will need $125 trillion of investment globally by 2050, however public and private finance flows for fossil fuels are still greater than those for climate adaptation and mitigation. The government must:
Public transport - To build a resilient future we must connect communities across the country and create thousands of jobs in green transport. The government must:
Just transition - A proactive and well-funded strategy is required to guarantee the creation of high volumes of secure green jobs across the country, to ensure that the workforce is sufficiently trained to access those jobs, and to transition the existing skills of high carbon workers into the green economy. The Government must:
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