National Grid’s 2020 Future Energy Scenarios (FES 2020) published today has a key central message – net zero is achievable but it means getting on with action and decisions today. There are four key points that policy makers should take from the publication:
- Decarbonising heat is the key uncertainty and needs a policy framework now. Our recently published Net Zero South Wales analysis explored hydrogen and electrification pathways. Each approach has very different implications for the future of, and investment in, the energy networks.
- Energy efficiency is a critical low regret action for all heat pathways. Regen welcome the governments recently announced £2bn investment but recent estimates are that this needs to be at least £9bn along with commitments on upholding quality standards. Information about our recent project supporting deep retrofit is here.
- We need to build a lot more renewable generation. The FES 2020 suggests we need AT LEAST 3 GW of wind and 1 GW solar every year. The current Ofgem review of network charging will be critical to facilitate this new capacity connecting into our energy networks. We also need annual Contracts for Difference rounds to support solar and wind. Other Regen recommendations can be found here.
- Flexibility and storage technologies make a net zero system operable and affordable. Regen manages the Electricity Storage Network which is calling for the Electricity System operator to ensure the markets for services to balance the electricity system are open to storage and other low carbon flexiblity technologies
