The UK faces a classic energy trilemma – the challenge of delivering low-cost, low-carbon energy while ensuring security of supply (The World Energy Trilemma). In recent years, this balancing act has become more precarious. Geopolitical upheavals and spiking fuel prices have jolted energy security to the forefront of public concern, after decades when it was mostly taken for granted. At the same time, Britain is grappling with soaring energy costs that undermine industrial competitiveness, even as it strives to meet ambitious net zero carbon targets. How can the UK navigate these competing priorities? The answer is not to abandon climate commitments, but to pursue net zero in a way that bolsters energy security and economic competitiveness – because getting net zero right will ultimately enhance both. This blog explores the key facets of that challenge, from heavy industry’s energy bills to the role of gas power, grid infrastructure, renewables, batteries, and hydrogen.
(The Energy Trilemma – OurFuture.Energy) Balancing the “energy trilemma” means optimising three core dimensions: affordability (low cost), energy security, and environmental sustainability (low carbon) (The World Energy Trilemma).
Britain’s High Energy Costs are Hurting Competitiveness
It’s an uncomfortable fact that UK businesses pay more for energy than almost anywhere else in the developed world. Official data show British industrial electricity prices are the highest in the G7 – in fact, the highest in the developed world (Britain paying highest electricity prices in the world). The cost of power for UK industrial users jumped 124% in five years, making electricity about 50% more expensive than in Germany or France, and four times the price in the US (Britain paying highest electricity prices in the world). Unsurprisingly, energy-intensive sectors like steel are warning that crippling power costs are damaging competitiveness and deterring investment (Britain paying highest electricity prices in the world). As one industry group lamented, high electricity prices have “for too long damaged the competitiveness of UK steelmaking” and other manufacturers (Britain paying highest electricity prices in the world).
These costs are a major headwind for Britain’s economy. Companies facing drastically higher energy bills have less to invest in growth and innovation. Some may shift production to countries with cheaper power. To revive industrial competitiveness, the UK must tackle the roots of these high costs – whether that’s reforming grid fees, encouraging more domestic generation, or smoothing the volatile wholesale markets. Lowering energy costs (while keeping them low-carbon) is not just nice for businesses’ bottom lines; it’s essential to prevent deindustrialisation and job losses.
Net-Zero and Energy Security: A Duel Commitment, Not a Trade Off
Amid this cost crisis and new geopolitical realities, some voices have suggested weakening the UK’s net zero commitments – arguing that scrapping or delaying climate measures could relieve consumers and even free up funds (for example, to bolster defence spending). Indeed, in the wake of war-driven energy price spikes, a few have painted climate policies as a luxury the UK can’t afford right now. This is a false choice. Britain must not abandon or water down its net zero targets, which are enshrined in law and in the planet’s best interest. Climate sustainability need not be the enemy of energy security or affordability – we can and must achieve all three together (Sustainability can co-exist with energy security and affordability | World Economic Forum). In fact, the clean energy transition can enhance security and affordability in the long run, by reducing reliance on volatile fossil fuel imports and harnessing cheap renewables.
The key is to balance speed with stability. A “blinkered drive” to net zero that ignores energy security and cost would be as irresponsible as ignoring climate change. Rushing ahead too fast, without bringing people and infrastructure along, risks backlash and could “leave the majority of the population behind,” as some rightly worry. But equally, stalling on climate action would be a grave mistake – it would ultimately expose the UK to even greater energy insecurity, price volatility, and climate damages. The solution is to accelerate clean energy in a pragmatic way: invest in renewables and reliability, push efficiency to cut bills, and ensure the transition is fair and economically sensible. Done right, net zero actually reinforces energy security (through domestic clean power) and can create new industries and jobs that boost competitiveness. There is no reason the UK cannot cut carbon while keeping the lights on and costs down – but it will require smart policy and investment, not simplistic trade-offs.
Don’t Rush to Close Gas Plants – We Still need CCGT Backup
One area where the security-vs-climate balance must be handled deftly is the role of natural gas in electricity generation. Gas-fired power stations (CCGTs) have long been the backbone of the UK’s grid, providing flexible supply to meet demand peaks. As we add more wind and solar, gas plants are supposed to run less – eventually phasing out unabated fossil fuel generation. The UK’s Climate Change Committee and current opposition leaders have called for a carbon-free power system by 2035 or even 2030, which implies largely eliminating gas-fired electricity within a decade. Labour’s recently unveiled Clean Power plan, for example, aims for 95% of electricity from low-carbon sources by 2030, with no more than 5% from unabated gas ( Analysis: How the UK plans to reach clean power by 2030 – Carbon Brief ).
That ambition is laudable, but we must be careful not to shut down the gas fleet too quickly before adequate replacements are in place. Gas plants still play a critical role in preventing blackouts on cold, windless days. A stark reminder came on 8 January this year, when Britain came “within a whisker” of blackouts due to a perfect storm of anti-cyclonic weather (meaning a lull in wind) and limited electricity imports available via inter-connectors (Britain ‘came within whisker of blackouts’ after plunge in wind speed) (Britain ‘came within whisker of blackouts’ after plunge in wind speed). As one expert noted, by that evening the grid had just ~580 MW of surplus capacity (a razor-thin margin, out of ~50,000 MW demand) – “almost every last megawatt” of available power was already in use (Britain ‘came within whisker of blackouts’ after plunge in wind speed) (Britain ‘came within whisker of blackouts’ after plunge in wind speed). If even a single large power station had tripped offline, parts of the country could have gone dark. National Grid ESO had to issue emergency notices and tap contingency reserves to keep the lights on. This close call should be a wake-up call about the dangers of relying too heavily on weather-dependent renewables without sufficient backup.
No one is suggesting we keep gas forever – but maintaining some gas-fired capacity in the near term is vital for grid stability, until new nuclear, long-duration storage, and other zero-carbon firm power sources can pick up the slack. Modern CCGTs (potentially upgraded for hydrogen fuel or fitted with carbon capture in future) can act as an insurance policy against blackouts as we transition. The goal should be to use them increasingly rarely, but not to precipitously remove them from the system before we’re sure we don’t need them on that rare windless winter week. Retaining a prudent amount of gas backup (and fuel supply for it) through the 2020s will help ensure security of supply and avoid undermining public confidence in the renewables rollout. We can aggressively build out renewables and keep some gas in reserve – the two are not incompatible for this interim period.
The UK’s Limited Gas Storage Leaves It Exposed
One reason the UK feels each global gas crunch so acutely is our paltry gas storage capacity. Unlike many of our European neighbours, who can stockpile gas in vast caverns and facilities, Britain can only store a few days’ worth of gas supply – making us dangerously vulnerable to supply disruptions and price spikes. This weakness was self-inflicted: in 2017, the Government allowed the closure of Rough, the UK’s largest gas storage site, which at the time provided over 70% of our storage capacity (Centrica reopens UK’s Rough gas storage site in time for winter | Reuters). Rough’s shutdown left the UK essentially riding on “just-in-time” gas supply, heavily dependent on continuous imports of pipeline gas and LNG. When global prices rocketed in 2021-2022 and LNG cargoes went to the highest bidder, Britain had little buffer and consumers paid the price.
Facing the energy crisis, Centrica (Rough’s owner) partially reopened the Rough facility in late 2022 – but only at about 20% of its old capacity (Centrica reopens UK’s Rough gas storage site in time for winter | Reuters). Even half-empty, Rough’s revival added 50% to the UK’s woeful storage capacity, yet that still “lags behind European countries,” Centrica noted (Centrica reopens UK’s Rough gas storage site in time for winter | Reuters). As of this winter, the UK has some of the lowest gas storage levels in Europe – only enough for around 12 days of average demand (or a mere 7.5 days of peak winter demand) (UK has less than a week of gas reserves, says Centrica – Sharecast.com). Compare that to 89 days for Germany, 103 days for France, or 123 days for the Netherlands (UK has less than a week of gas reserves, says Centrica – Sharecast.com). In short, our gas reserve is a thimble while our neighbours have reservoirs. This is a serious strategic weakness. As Centrica’s CEO put it, the UK is “an outlier” in its lack of storage, and now we’re “seeing the implications of that” during cold snaps and supply shocks (UK has less than a week of gas reserves, says Centrica – Sharecast.com).
Rebuilding gas storage is thus a national priority for energy security. The Government belatedly recognizes this – talks are underway about fully expanding Rough again, potentially with public support (UK has less than a week of gas reserves, says Centrica – Sharecast.com). There’s also been speculation about converting Rough into a hydrogen storage site in the future, which could align with net zero goals. But until we have large-scale alternatives, gas itself remains vital – so investing in storage capacity to hold strategic reserves is just common sense. Without it, the UK will continue to be at the mercy of global gas markets and weather events. Strengthening our storage (alongside sourcing gas from diverse friendly suppliers) gives us a buffer against price volatility and supply crunches, buying time for the longer-term transition to clean energy.
Struggles in Battery Manufacturing: The UK’s Gigafactory Gap
If renewable electricity and electric vehicles are the future, then batteries are the new oil – a strategic commodity. Yet, the UK has had a rocky start in building its own battery manufacturing industry. The most high-profile effort, the Britishvolt project to build a £3.8 billion “gigafactory” in Blyth, dramatically collapsed into administration in early 2023, after failing to secure sufficient investment (Startup Britishvolt calls in administrators in blow to UK’s EV battery hopes | Reuters) (Startup Britishvolt calls in administrators in blow to UK’s EV battery hopes | Reuters). Britishvolt’s failure was a blow to hopes of a home-grown EV battery supply chain, and a wake-up call that the UK is falling behind in the global battery race.
Right now, every major battery plant in the UK is backed by foreign technology and finance. The only existing gigafactory is Envision AESC’s plant in Sunderland, which supplies Nissan and is an arm of a Chinese company. The next one on the horizon is Tata Group’s planned £4bn gigafactory in Somerset to supply Jaguar Land Rover – but Tata is an Indian conglomerate, and even that project reportedly will rely on technology from China’s Envision AESC (Talks with ‘number of EV battery manufacturers’ for gigafactory investment). In fact, industry observers note that “once again it is an overseas company” driving UK battery investments – continuing the pattern of India’s Tata and China’s Envision leading the way (Talks with ‘number of EV battery manufacturers’ for gigafactory investment). This isn’t necessarily bad in the short term (we need the factories built, no matter who funds them), but it highlights a geopolitical and economic vulnerability. If our battery supply is largely controlled by Chinese or other foreign firms, we have less control over this critical part of the clean energy supply chain.
The UK needs to do better at cultivating its own battery industry. Government support will be crucial – whether through co-investment, loans, or creating a more attractive market for battery demand. The Britishvolt saga showed that relying purely on private venture funding may not cut it for such capital-intensive projects. Other countries (like the US and EU members) are offering massive incentives for battery plants; the UK must respond in kind to avoid becoming a minor player. There are bright spots – for instance, startups working on next-gen battery chemistries, and the UK Battery Industrialisation Centre (UKBIC) helping scale up prototypes. But these will need sustained support. In short, if Britain wants to secure the supply chain for EVs and energy storage, it must bridge this “gigafactory gap” – or risk dependence on imports for the batteries that will power our cars and grid.
Incentivising On-Site Generation and Storage for Businesses and Homes
My focus over the last ten years through OnGen has been to promote and facilitate an often underutilised strategy to improve energy resilience and reduce costs is empowering consumers to generate and store their own energy. Businesses and households can install solar panels, small wind turbines, batteries, heat pumps, and other systems “behind the meter” – supplying a portion of their own needs and even feeding excess back to the grid. This kind of distributed energy can yield “meaningful and sustainable energy cost savings” for the users, boosting competitiveness and providing a degree of energy security and price stability. For example, a factory with solar panels and a battery can cut its reliance on expensive peak-hour electricity from the grid, and a home with solar+storage is less exposed to blackouts or price hikes. Spread across thousands of sites, these installations also benefit the country by reducing overall grid demand and smoothing out peaks.
The UK had early success encouraging rooftop solar through the Feed-In Tariff (FiT) and incentives like the Renewable Heat Incentive (for biomass boilers and heat pumps). However, these programs have ended – the Feed-In Tariff scheme closed to new applications in 2019 (Feed-in Tariffs (FIT) – Payments and tariffs – Ofgem), and since then there have been no direct subsidies for small-scale generation or storage. While solar deployment continues (with a replacement Smart Export Guarantee that pays a little for exported power), the pace is slower without FiT payments. Government could do more to encourage behind-the-meter energy investments. This could take the form of tax incentives (e.g. enhanced capital allowances or reinstating something like the “super-deduction” 130% tax relief for green equipment), grants or interest-free loans for installing solar and batteries, or ongoing credits for contributing to grid stability. Such incentives would help businesses de-carbonise and cut costs in one go.
Importantly, the technology for self-generation and storage is improving all the time – solar panels are cheaper than ever, and battery costs (while volatile lately) have fallen dramatically over the past decade. Many businesses with big roofs or land could economically install PV arrays right now, if given a nudge or removal of barriers. The government’s recent move to allow more onshore wind in England is welcome; perhaps a similar push is needed to promote solar on every warehouse and factory, and batteries in every commercial building for peak shaving. For households, expanded programs to finance heat pump and solar installation would reduce residential gas dependence and protect people from volatile energy bills. Unleashing Britain’s rooftops and premises as a source of power will make our energy system more resilient and democratise the benefits of renewables. It’s a win-win for meeting climate goals and improving competitiveness of UK plc.
Strengthening the Grid for a Renewable Future: Infrastructure and Storage
As we add more renewable electricity to decarbonise the grid, we must also upgrade our energy infrastructure to handle this new mix. Investment in the grid and energy storage is not a sexy topic, but it’s absolutely critical to make a high-renewables system work reliably and affordably. Renewable sources like wind and solar are wonderful – but they are intermittent and often located far from demand centres, meaning we need a grid that can flexibly route power and balance supply and demand across regions and times of day. Right now, Britain’s grid is straining to integrate renewables, and the costs of managing this intermittency are mounting. The cost of balancing the electricity system (paying generators to ramp up or down, handling congestion, etc.) hit a record £7 billion over 2022-2023, which is a 55% increase over the prior two years (Cost of balancing Britain’s power grid hits £7 billion mark – Nuclear Industry Association). In 2019, balancing the grid cost only ~£1.2 billion; by 2023 it had ballooned to almost £3 billion annually (Cost of balancing Britain’s power grid hits £7 billion mark – Nuclear Industry Association) – an expense ultimately passed to consumers’ bills. These soaring costs are partly due to the mismatch between where/when renewables produce power and where/when it’s needed, requiring costly interventions to maintain stability (Cost of balancing Britain’s power grid hits £7 billion mark – Nuclear Industry Association).
To tame these costs and ensure reliability, massive investment in energy storage and grid upgrades is needed. We will need a portfolio of short-duration batteries (to smooth out hourly fluctuations and store solar day-to-night), longer-duration storage (to cover days of low wind – potentially pumped hydro, flow batteries, or other emerging tech), and stronger interconnections and transmission lines to move electricity freely around the country. A recent analysis suggests Britain may need 30 GW or more of energy storage by 2050 to reach net zero reliably (GB needs tenfold increase in energy storage for net zero, research …) – roughly a tenfold increase on current levels. Scaling up storage will allow excess wind power on a breezy night to be saved for the morning rush hour, instead of being wasted or curtailed. It will also reduce the need to keep spinning reserve from gas plants or to pay wind farms to switch off when the grid can’t take more. In parallel, reinforcing the grid (both at the transmission superhighway level and local distribution) will ease bottlenecks that currently force renewable generators to waste power because it can’t be delivered to where demand is. Every pound spent on grid infrastructure and storage is an investment in unlocking more cheap renewables and driving down the overall system cost in the long term.
The government and Ofgem are starting to acknowledge this, with plans for grid modernisation and encouraging big battery projects. But progress must accelerate. Streamlining planning and regulatory approval for new power lines, inter-connectors, and storage sites will be necessary – today, some wind farms are waiting 5-10 years just to get a grid connection slot, which is untenable. Innovative solutions like using EVs as a giant collective battery (vehicle-to-grid services) could also help. In summary, renewables plus storage is the new baseload – but we have to build that storage and the smart grid to support it. Otherwise, we risk curtailing our wind/solar assets or suffering reliability issues, which would undercut both net zero and cost goals. The backbone of a clean, secure energy system is a robust grid with plentiful storage, and it’s high time we beefed it up.
Scotland’s Renewable Opportunity – and Manufacturing Limitations
Scotland illustrates both the huge promise of renewables and the challenges of capturing their full economic benefit. Thanks to its windy climate and supportive policies, Scotland now produces around 90% of its electricity from renewable sources (How renewable energy will power the UK | Friends of the Earth) – a remarkable achievement that puts it at the forefront of the energy transition. With vast potential in offshore wind (including floating wind), marine energy, and more, Scotland truly has a “fabulous opportunity to lead” in the green energy revolution. Some have even dubbed it the “Saudi Arabia of renewables,” envisaging exports of clean power to England and Europe. The recent ScotWind offshore leasing round saw developers pledge billions in investment. Clearly, in terms of natural resources and project pipelines, Scotland’s renewable future is bright.
(A wind farm with wind turbines in the distance photo – Free Scotland Image on Unsplash) Scotland has world-class wind resources (wind farm in Scotland pictured) and already generates ~90% of its electricity from renewables (How renewable energy will power the UK | Friends of the Earth). However, it currently lacks any major wind turbine manufacturing facilities, meaning much of the equipment is imported.
However, there is a big caveat: the domestic manufacturing base to support these projects is very limited. Despite Scotland’s green electricity boom, the country currently does not have a single factory building wind turbine generators at scale (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears). Most of the massive turbines for wind farms are built elsewhere (continental Europe or Asia) and shipped in. There have been efforts to develop local supply chains – for instance, plans for a turbine blade plant in Leith by Vestas, which would be Scotland’s first such facility (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears). But as of now, no turbine manufacturing is up and running on Scottish soil, and other fabrication commitments are at risk of going overseas due to lack of ready facilities (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears). An analysis of the ScotWind bids showed developers pledged around £16 billion of work in Scotland, but more than £38 billion of component fabrication is slated for outside Scotland (and much of that outside the UK) (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears) (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears). In other words, without a rapid scaling of Scottish (and UK) manufacturing capability, the country could miss out on much of the economic boost from its renewable build-out – with jobs and investment flowing to foreign factories instead.
This is a critical area for policy: turning renewable opportunity into industrial opportunity. It will require strategic support – investing in port infrastructure, steelworks, fabrication yards, and training workers, so that companies can build more turbine components domestically. The government has started talking about a “Green Industrial Strategy” to ensure more of the supply chain is British. But results have been mixed so far. For instance, a few years ago the BiFab yards in Fife struggled to secure orders for offshore wind jackets, which instead went to yards in the Middle East. If the UK wants to truly capitalise on the renewables boom, it must expand its clean energy manufacturing footprint. That means not only wind turbines, but also batteries (as discussed), electric grid equipment, and even things like heat pumps – all industries where domestic production is limited. The upside is huge: a thriving green manufacturing sector would create thousands of skilled jobs in places like Scotland’s central belt and northeast England, breathing new life into industrial towns. We have the engineers and the legacy of heavy industry; with the right investment, we can build the kit for the net zero age at home. Scotland, with its wealth of projects, can be at the forefront of that – ensuring that being an “energy powerhouse” isn’t just about electrons, but economics.
Green Hydrogen: Promising, But Mind the Efficiency Gap
Finally, a word on green hydrogen, which is often touted as a key solution for hard-to-decarbonise sectors and long-term energy storage. Hydrogen (made by electrolysing water with renewable electricity) indeed has a role to play in the UK’s net zero strategy – for example, to fuel industrial processes, heavy transport, replace diesel generators and potentially to store surplus renewable energy from summer to winter. The UK government has a hydrogen strategy and is investing in pilot projects (including talk of using the Rough gas field to store hydrogen in the future). Green hydrogen could complement battery storage by handling longer-duration or seasonal storage needs that batteries can’t economically meet. It can also leverage the existing gas network infrastructure if repurposed gradually for hydrogen blending or distribution.
However, it’s important to be clear-eyed about hydrogen’s challenges. The physics of using hydrogen for energy storage are, as some put it, “against it” compared to lithium-ion batteries. The main issue is efficiency: round-trip efficiency of converting electricity to hydrogen and back to electricity is quite low. Hydrogen-based storage has around 40% lower round-trip efficiency than lithium batteries, meaning a lot more energy is lost in the process (Hydrogen batteries vs. lithium-ion batteries – pv magazine International). For every 1 kWh you put into a battery, you might get 80-90% of it back; for hydrogen, you might only get ~30-40% back once you account for electrolysis losses, compression, and fuel cell generation. This makes hydrogen a more expensive way to store energy, unless it’s for very long durations where batteries would self-discharge or be impractical. Additionally, today most “green” hydrogen is still more costly than simply using grid electricity, and scaling up electrolyzers and hydrogen infrastructure will take time.
That said, green hydrogen does have a role to play. Batteries alone probably can’t cost-effectively handle multi-day or seasonal lulls in wind – but hydrogen (or other chemical fuels) could. Certain industries (like steelmaking or fertiliser production) and heavy-duty transport (shipping, aviation) may find hydrogen or its derivatives (ammonia, e-fuels) to be the best carbon-free option. So the UK is right to explore and invest in hydrogen innovation. The key is to apply hydrogen in the right niches: where high energy density or long storage is needed that batteries can’t provide. For most daily energy balancing in the grid, though, lithium-ion (and other battery tech) currently has the edge in efficiency and cost. Policymakers should be wary of overhyping hydrogen for everything – it’s not a silver bullet that replaces the need for renewables deployment or electrification of heating/transport (which are generally more efficient). Instead, hydrogen should be developed as a complementary tool in the clean energy toolkit, used where it makes sense. With that approach, hydrogen can indeed play a valuable supporting role in a net zero UK – just as long as we remember its limitations and use it wisely.
Net Zero with Security – We Can and Must Have Both
The overarching message is one of balance and resolve. The UK cannot afford to drop its guard on energy security – recent events have underscored the importance of secure supplies and infrastructure resilience. We also cannot afford to abandon our net zero trajectory – climate change and the economic opportunities of green tech demand we press ahead. The good news is these goals are not mutually exclusive; in fact, they reinforce each other when pursued intelligently. A Britain that invests in clean energy and backup solutions will be both greener and more secure. A Britain that lowers industrial energy costs through efficiency and innovation will be more competitive and more sustainable.
What’s needed now is a coherent strategy that tackles the energy trilemma head-on: ramp up renewables (especially offshore wind where we have a natural advantage) while shoring up the grid and backup supply for reliability. Protect consumers and industries with measures to bring down costs – whether through market reforms or boosting domestic energy (from North Sea gas in the short term to home solar in the long term). Encourage technologies that cut emissions but also ensure dispatchable power, like new nuclear and storage, rather than relying on imports or wishful thinking alone. And do all this without wavering on net zero, because going slower on climate action would only leave us more exposed to fossil fuel volatility and stranded with outdated infrastructure.
Britain led the world into the industrial age and the fossil fuel era; now it can lead in the clean energy era. The path will require juggling priorities – keeping the lights on and bills affordable while decarbonising – but it is doable with prudent planning and investment. There will always be those who pit environment vs. economy or climate vs. security, but the reality is we need both and can achieve both. The energy trilemma isn’t easy to solve, but the UK has the ingenuity and resources to solve it. By recognising the legitimate concerns (security, cost) yet firmly rejecting any retreat from climate goals, we can chart an energy future that is secure, sustainable, and prosperous. In short: don’t weaken net zero – strengthen the plan to deliver it alongside energy security and competitiveness. With that mindset, the lights will stay on, the air will get cleaner, and UK industry can thrive in the decades ahead.
Sources:
- Oliver Wyman / World Energy Council – definition of the “energy trilemma” as balancing affordability, security, and sustainability (The World Energy Trilemma).
- Telegraph – UK industrial electricity prices are highest in the developed world; ~50% higher than Germany/France and 4× the US (Britain paying highest electricity prices in the world). High costs are crippling UK manufacturers and damaging competitiveness (Britain paying highest electricity prices in the world) (Britain paying highest electricity prices in the world).
- Telegraph – Britain “came within a whisker of blackouts” on Jan 8, 2025 as low wind output and cold weather left only 580 MW spare capacity, forcing emergency measures (Britain ‘came within whisker of blackouts’ after plunge in wind speed) (Britain ‘came within whisker of blackouts’ after plunge in wind speed).
- Carbon Brief – UK Clean Power Plan aims for 95% low-carbon electricity by 2030 (no more than 5% from unabated gas), implying a rapid phase-down of gas generation ( Analysis: How the UK plans to reach clean power by 2030 – Carbon Brief ).
- Reuters – Centrica reopened the Rough gas storage site (closed in 2017) at 20% capacity in Oct 2022. Even partially filled, Rough added 50% to UK gas storage but UK still lags far behind other countries (Centrica reopens UK’s Rough gas storage site in time for winter | Reuters) (Centrica reopens UK’s Rough gas storage site in time for winter | Reuters).
- Sharecast News – UK’s gas storage is only ~12 days of average demand (7.5 days of winter peak), vs Germany ~89 days, France 103, Netherlands 123. Rough was closed in 2017 and partially reopened in 2022, but UK remains an “outlier” in storage and is now seeing the consequences (UK has less than a week of gas reserves, says Centrica – Sharecast.com) (UK has less than a week of gas reserves, says Centrica – Sharecast.com).
- Reuters – Battery startup Britishvolt failed in Jan 2023, a blow to UK’s EV battery ambitions (Startup Britishvolt calls in administrators in blow to UK’s EV battery hopes | Reuters). (Context)
- Fleet News (James Frith) – New gigafactory investments in UK are coming from overseas companies (India’s Tata, China’s Envision). UK’s battery industry is reliant on foreign tech/finance, highlighting the need to support domestic battery startups (Talks with ‘number of EV battery manufacturers’ for gigafactory investment).
- Ofgem/BEIS – The Feed-in Tariff scheme for small-scale renewables closed to new entrants on 1 April 2019 (Feed-in Tariffs (FIT) – Payments and tariffs – Ofgem). (Context on end of behind-the-meter subsidies)
- Nuclear Industry Association – Grid balancing costs in GB reached ~£7 billion in 2022-23, up 55% from prior two years. For comparison, balancing cost was £1.2bn in 2019 and £1.8bn in 2020, but £8.5bn was spent from Sep 2021–Dec 2023 dealing with system balancing (Cost of balancing Britain’s power grid hits £7 billion mark – Nuclear Industry Association) (Cost of balancing Britain’s power grid hits £7 billion mark – Nuclear Industry Association). High costs due to record energy prices and shrinking stable baseload capacity (Cost of balancing Britain’s power grid hits £7 billion mark – Nuclear Industry Association).
- Friends of the Earth – Renewables now provide ~37% of UK electricity, and Scotland produces 90% of its electricity from renewables (How renewable energy will power the UK | Friends of the Earth) (reflecting Scotland’s leadership in green energy).
- The Scotsman – Despite major offshore wind plans, Scotland currently has no operational wind turbine factories. Developers pledged £16bn for Scottish manufacturing, but at least £38bn of work is planned abroad due to lack of local facilities. No Scottish factory is yet producing turbines (though Vestas has plans for one) (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears) (SNP ‘squandering’ £16bn of ScotWind investment amid wind turbine manufacturing fears).
- PV Magazine – Hydrogen energy storage has ~40% lower round-trip efficiency than lithium-ion batteries, meaning much greater energy losses for the same storage capacity (Hydrogen batteries vs. lithium-ion batteries – pv magazine International).
