DECC releases the new UK EMR White Paper and Renewables Roadmap
On Tuesday 12th July the Department of Energy and Climate Change “DECC” released the results of the Electricity Market Reform Consultation which ran from December 2010 to March 2011.
Nur Energie focused in the EMR Consultation on opening the UK electricity market for clean energy imports. In particular, any renewable electricity support mechanism should include the option of renewable electricity imports. This could be through the opening of the ROC mechanism, or through a dedicated feed-in tariff or contract-for-differences for imports. Nur Energie outlined how solar imports from North Africa would require a significantly lower support level than offshore wind and other such alternatives."The outcome of the EMR provided indications that such actions will be put into place.
The White Paper sets out the Government’s commitment to transform the UK’s electricity system to “ensure that our future electricity supply is secure, low-carbon and affordable.” Chris Huhne, Secretary of State at DECC, has described the measures, as the “most significant reform of our electricity market for 30 years.”
The White Paper highlights the importance of transmission and how new transmission will be required in order to “contribute to security of supply and provides greater competition, reducing costs to consumers.” (Section 6.32).
The White Paper was accompanied by the Renewables Roadmap which outlines a plan to enable the UK to achieve the UK’s renewable energy target over the next decade (the goal being to ensure that 15% of our energy demand is met from renewable sources by 2020).
The UK Renewable Energy Roadmap indicates that “we have the potential to work with our European partners on renewables deployment” and that mechanisms should be put in place to protect UK Consumers “in the event that the costs of domestic deployment do not come down sufficiently, and alternative, cheaper opportunities arise in other countries where the UK could “trade” through the use of the flexibility mechanisms in the Renewable Energy Directive.” (Section 1.6).
In addition it states that “We will look to ensure that we have powers to enable both export and import of renewable energy under the flexibility mechanisms in the Renewable Energy Directive where this can secure the greatest benefit to the UK.” (Section 1.7).