Government stumbles over climate step-change

The “step change” needed to create a low carbon economy has failed to materialise, according to the Committee on Climate Change.

The committee, set up under the 2008 Climate Change Act, sets carbon budgets for the Government to meet. They must cut emissions by 3 per cent each year to stay on track to meet carbon targets.

Last year emissions were in fact UP by 3 per cent – mainly due to people burning more gas in a cold winter. But after correcting for a cold winter, and for the effects of the recession, which have reduced emissions in recent years – emissions have been flat.

“We are below the level of the budget in 2010 because there was a very big emissions reduction in 2009. That reduction was due to the recession, not because we’ve started doing things fundamentally differently,” said David Kennedy, chief executive of the committee.

The committee recommends that the Government must bring in tougher targets to insulate homes as part of the “Green Deal” scheme. That means insulating all lofts and cavity walls by 2015 and 2 million solid walls by 2020. Energy companies should be required to work with householders to meet those targets.

Read more in our Climate Change Special Report

The committee is also urging Government to give energy companies more certainty over the price they will be paid for electricity from renewable sources.

A guaranteed price for low carbon energy is the only way to give companies the incentive they need to make up-front investments in low carbon electricity now, the committee finds.

Energy Bill needs ‘toughening up’

In response to the report, the Climate Change and Energy Secretary Chris Huhne said: “As we come out of recession the Coalition is determined to reduce our reliance on fossil fuels, which means a permanent shift to a low carbon economy has to be locked into our economy.”

“The Coalition’s once-in-a-generation reforms of the electricity market, the Green Deal and the Green Investment Bank show that we are serious about making the long-term structural changes that are vital to cut emissions and keep the lights on.”

Campaigners admit some of the Government’s key environmental policies, like the Green Deal and a reform of the electricity markets, are yet to be implemented. It is possible that emissions could start to fall once they are. However, they warn that last year, despite cold weather and increased energy prices, the number of homes insulated actually fell, rather than rose.

“David Cameron must toughen up the current Energy Bill to enable the UK to reap the massive economic benefits of slashing energy waste and ensure we harness our vast clean home-grown energy potential,” said Andy Atkins, Executive Director at Friends of the Earth.