Monday 11 July 2011

Market reform can get the UK off the fossil fuel hook

Renewable electricity supplier Good Energy are hoping the Government's electricity market reform will take away the UK's reliance on imported oil and gas. CEO Juliet Davenport backed Energy Secretary Chris Huhne's sentiments that moving toward green generation will protect the UK from price volatility: "It's now up to the Government to deliver. The ball is very much in their court - let's just hope that this opportunity isn't wasted."

Ms Davenport said: "The UK currently imports almost 60% of our energy from abroad. We need to generate more energy here in the UK to protect ourselves from price volatility caused by an over-reliance on imported energy. Reform in the energy marketplace is essential to deliver this. The easily accessible North Sea oil and gas that provided cheap fuel for so long has now gone, and we now need to look at what other homegrown resources we have to replace it."

The white paper, expected to be delivered tomorrow, is expected to favour low carbon technologies with policies that include a carbon price floor and a capacity mechanism.

Ms Davenport said changes were essential: "Using market reform to support a decentralised approach will enable smaller scale sites around the country to generate energy so that we will be able to fully harness the potential of renewable resources to keep the lights on."