SSE and other energy companies, including Drax, have written to Chancellor Philip Hammond urging the Treasury to maintain the UK carbon price floor until 2025.
The letter said the carbon tax top-up was central to the UK’s decarbonisation efforts and called for the Treasury to extend it beyond 2021 in the autumn statement expected on 23 November.
SSE head of wholesale policy said Pavel Miller the carbon price floor “provides a lot of policy bang for the consumers buck”.
“By extending the UK’s carbon price floor to 2025 in the autumn statement the government would be giving investors like SSE greater confidence in the direction of the UK’s energy policy – and help to continue to deliver a clean, secure and affordable electricity mix,” he added.
The carbon price floor is set to come under attack by manufacturing trade body EEF, which is expected to call for an end to the measure.
Image: UK parliament (FreeImages)
