The coalition government has recently announced plans to reform the energy market, in a bid to quell public unrest about fuel prices. When this bill is set into motion, companies who produce renewable or low carbon energy will receive higher prices for generating clean energy; even more than industrial plants that create energy from finite fossil fuels.
Although you shouldn’t hold your breath just yet, as the price modification won’t come into effect until next summer. With so much uncertainty in the market, investors are holding back support from renewable energy providers, as they assess just how committed the government are to sustainable sources.
Disappointing For Environmental Groups
Green campaigners were clearly hoping for a stronger pledge to cut carbon emissions than this latest energy reform. Internationally, it was agreed that greenhouse gases would be slashed by 80% by 2050, but without greater support for renewable energy, environmentalists are concerned that globally, these targets won’t be achieved and we’ll be plunged into irreversible climate change.
Still, this new bill is extremely important for sustainable energy companies who’ve got their fingers crossed for billions of pounds of investment, when the proposal passes through parliament. With the right backing, renewable companies can help the government reach their 2030 decarbonisation targets, instead of falling into an investment vacuum, dictated by political disinterest. There’s hope on the horizon for sustainable energy,
How This Energy Bill Will Affect You
The good news is that this energy bill will reduce your energy bills by up to 9%. After this winter’s hike in prices, we’re all in need of a rebate. As the situation stands at the moment, energy bills are set to become even more expensive as the years roll on, leaving financially challenged families in the lurch.
According to new statistics, more than 300,000 more households will be in fuel poverty before Christmas this year. Isn’t it time to move towards sustainable alternatives that won’t continue to increase in price, due to fossil fuel scarcity?
In the UK alone, there are 2.7 million fuel poor households. Estimates predict that for every 1% increase in energy prices, 40,000 households are shoved into fuel poverty (they spend more than 10% of their income on heating their home).
Out With The Old And In With The New
With the UK’s antiquated energy infrastructure buckling under its own weight, reforming its system is going to cost several times the price of the Olympics. This is thanks to decades of underinvestment and the usual short-sightedness of companies that focus on profit margins rather than the future market.
Investment in green energy could potentially stimulate economic growth, industry experts say. Campaigners believe that this new energy bill, although beneficial, was a missed opportunity to establish even greater reform that would support renewable companies. Without encouraged investment, the green sector is likely to fail in the long term, as it won’t have the right financial backing to expand and grow.
Written on behalf of Hughes Carlisle who are specialist personal injury solicitors who also have an avid interest in current policies which will effect societies fight against long term sustainability due to leglisation and legal changes