Major energy companies have written to UK prime minister Boris Johnson calling for him to set a date for the UK to achieve a net zero power system in line with US President-elect Joe Biden’s 2035 target.
National Grid ESO, SSE, BP, Drax, Sembcorp Energy UK and Shell all signed the letter which calls on the UK government to build on its recently published Ten Point Plan for a Green Industrial Revolution by setting out what it will mean for electricity decarbonisation.
The letter, which was also sent to chancellor Rishi Sunak, BEIS minister Alok Sharma and energy minister Kwasi Kwarteng said ambitious 2030 targets were important in the run up to next year’s UN Framework Convention on Climate Change meeting in Glasgow, but that “to deliver on net zero, deep decarbonisation will be required”.
It said previous UK commitments had encouraged similar international actions, adding: “to build on these and continue UK leadership on electricity sector decarbonisation, we call on the UK to commit to a date for a net zero power system ahead of COP26, to match the commitment of the US President-elect’s Clean Energy Plan”.
The letter said the date should be informed by analysis and stakeholder input, with a consultation on this launched by the time of next year’s budget.
Signatories said achieving a net zero electricity system required government to continue efforts in “key policy areas such as carbon pricing”, with robust pricing incentivising deployment of low carbon generation, CCS and blending of hydrogen into gas generation.
“Further forward, a robust carbon price can incentivise 100% hydrogen use in gas-fired generation, and importantly drive negative emissions to facilitate the delivery of a net zero economy,” the letter added.
SSE Chief Executive Alistair Phillips-Davies said: “The electricity system will be the backbone of a decarbonised economy and a clear pathway for net zero emissions from electricity by 2040, alongside stable and robust carbon pricing and an evolved market design, will ensure maximum value at lowest cost and focus industry and investors’ minds on the job in hand.”
The ESO is putting in place “systems, products and services” which it says should enable periods of zero emissions operation by 2025.