Manufacturers in the UK are calling on the government to re-instate an annual energy statement along with a series of reforms as part of its industrial strategy commitments.
A new report from EFF, the manufacturers’ organisation, examines the UK’s future supply of electricity and suggests the 2017 annual energy statement should include a full phase out strategy for coal power by 2025 and a plan for the uptake of carbon capture and storage.
The document should also reveal details on future support for new low carbon generation, it adds.
EEF points out the changing mix of electricity generation will alter the way the UK balances supply and demand of electricity. That will require the manufacturing sector to be more efficient and flexible as major consumers of electricity.
However, the current policy framework is unlikely to deliver this without reform, it states.
The organisation recommends some reforms including the development of a fully-fledged Demand Side Response (DSR) scheme andmaking it easier for DSR assets to enter future capacity market auctions as well as introducing a new energy efficiency investment discount on the Climate Change Levy.