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Logistics UK welcomes government’s Energy Security Strategy


Logistics UK has welcomed the British Energy Security Strategy, published earlier this month (6 April 2022) by the Department for Business, Energy & Industrial Strategy (BEIS).

SECURING THE UK’S ENERGY SUPPLY

Outlining the government’s plans to ensure the UK’s energy supply is secure and resilient, the strategy aims to boost UK energy independence and tackle rising prices. It includes ambitious plans to increase wind, hydrogen and solar production and could pave the way for the approval of up to eight more nuclear reactors on existing sites.

CLEANER AND GREENER

Under the government’s new plans, up to 95% of the UK’s electricity could come from low-carbon sources by 2030. Meanwhile targets for hydrogen production are being doubled to help provide cleaner energy for industry, including the high-emitting transport sector. However, the strategy also advocates maximising production from the North Sea oil and gas fields.

OFFERING OPERATORS GREATER CERTAINTY

For logistics operators that are looking to decarbonise their fleets by switching to electric or hydrogen, the strategy should offer greater certainty that there will be a secure supply of zero-emission energy to power their operations in the medium term.

Denise Beedell, Public Policy Manager, Logistics UK, said: “With increasing global economic and supply chain issues pushing fuel prices ever higher, logistics operators need to have confidence in future energy supplies in order to invest in new technologies and decarbonise their operations. Logistics UK has therefore welcomed the publication of the strategy.”

IMPROVING GRID CAPACITY IN WALES

While the main focus of the strategy is on domestic homes and heating, and security of energy supply, elements of the strategy cover transport including improvements to national infrastructure.

“We are particularly encouraged by pledges in the strategy to improve the grid connection in Wales,” Beedell said, “as there are significant network capacity constraints in the country and improvements will support alignment of Welsh decarbonisation plans with the rest of the UK.”

SPEEDING UP APPROVALS AND CONNECTIONS

Other points of interest in the strategy include an aim to halve the time it takes to build energy infrastructure by improving Ofgem’s approval process for new networks and speeding up connections to local networks, flexible pricing and electric vehicle battery storage, which may be helpful for fleet operators.

There is also a promise to work closely with the US on gas, exploring in particular how the UK’s LNG (liquefied natural gas) infrastructure can be leveraged to support European supply. The UK’s gas infrastructure, including LNG terminals, will be assessed along with improvements to the planning process in respect of solar panels and other sustainable technologies.

ENSURING ENERGY INDEPENDENCE

Business and Energy Secretary Kwasi Kwarteng said: “The simple truth is that the more cheap, clean power we generate within our borders, the less exposed we will be to eye watering fossil fuel prices set by global markets we can’t control.

“Scaling up cheap renewables and new nuclear, while maximising North Sea production, is the best and only way to ensure our energy independence over the coming years.”

*https://www.gov.uk/government/publications/british-energy-security-strategy

Published On: 21/04/2022 16:00:33

 



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