DECC's announcement leaves door open to misguided 'dash for gas'
- Published on Friday, 23 November 2012 12:33
- Posted by Vicki Mitchem
Clare McNeil, IPPR Senior Research Fellow, said: "This announcement from Ed Davey goes some way to making sure Britain will keep the lights on, but leaves the door open for greater reliance on expensive gas.
"The Energy Bill will give investors and the market some of the assurances they have been craving, with a clear commitment to the UK achieving just under a third of its power from renewables by 2020. But 2020 is already in the rear mirror for many investors and businesses.
"The litmus test of this Energy Bill was a commitment to a 2030 decarbonisation target for the power sector and on this it has failed. Kicking this decision into the long grass and leaving the door open for changes to the UK's fourth carbon budget and a 'dash for gas' will leave the government's energy policy mired in exactly the kind of uncertainty it needs to avoid. Greater dependence on gas will only lead to higher and more volatile energy bills, at a time when government needs to be doing far more to keep these low."