The report facilitated by KPMG summarises the key messages from a series of interviews with CEOs and Strategy Heads from across the GB electricity sector, and provides a list of Energy UK’s policy recommendations emerging from the research.
It explains how the future of energy will be smarter in a world where;
- Consumers are central to policy - as the costs and benefits of moving to a low carbon economy are clearly set out to achieve customer buy-in;
- There is a “whole systems” approach – as the power, transport and heat sectors are decarbonised, a cross government and industry taskforce co-ordinates the interactions and arrangements so nothing is done in isolation;
- Energy efficiency policy encourages customers to take action – as clear, long-term policy unlocks the significant potential to reduce energy use through fiscal incentives and long lead time regulation;
- Solar & storage is subsidy free – as decentralised energy plays an increasing role as costs continue to fall and regulatory change comes into place;
- Demand Side Response and smart grids play a significant role – as the right policy and regulatory structures are put in place;
- There is a more dynamic energy system – Due to the impact of DE, DSR, interconnection and energy efficiency, while there is still significant investment in large-scale power generation needed, this could be less than previously thought;
- Transition to a lower carbon energy system is delivered effectively and efficiently - as the governance and roles of industry bodies are reviewed and clarified;
- Predictable and stable policies drive investment – as the sector can then move forward to deliver affordable, reliable and clean energy.
KPMG supported Energy UK with the development of this report by facilitating interviews with member organisations and by co-ordinating the analysis. The full report can be downloaded from Energy UK website.