The UK government plans to build new gas-fired power plants, as well as to extend the life of some "ageing unabated gas assets" where safe to do so, to ensure flexible power generation capacity, energy minister Claire Coutinho said today.
Coutinho, speaking at the Chatham House Energy Transitions conference today, insisted that the approach was "not at odds with [the UK's] world leading net zero commitments". The government will expect all new gas power plants to be "net zero ready" — meaning plants which are "ready to connect to carbon capture technology" or that could switch to burn hydrogen instead of gas. "Britain is the poster child for net zero", Coutinho added.
"We know that with around 15GW of gas due to come off the system in the coming years, we will need a minimum of 5GW of new power to remain secure. That might mean refurbishing existing power stations, but will also mean new unabated gas power stations until the clean technology is ready", Coutinho said.
Shadow energy security minister, from opposition party Labour, Alan Whitehead, speaking at the same conference, questioned the "numbers… behind the announcement".
"Is anyone going to invest in a brand new power station if it's going to play a role of 5-6pc operational capacity as a backup to a system?" he said today.
The share of renewable energy in the UK power grid will increase "in the years ahead", but is not "failsafe", and "flexible power generation is needed", the government said. Gas made up 31.5pc of the UK's power generation mix over the year to 11 March, while wind power accounted for 29.7pc over the same timeframe, data from electricity system operator National Grid ESO show. The UK's last remaining coal-fired power plant will be switched off in October.
The UK government today launched its second consultation on the review of electricity market arrangements (REMA), seeking views on a "narrowed range of options" for the power market. These include "broadening existing laws requiring new gas plants to be built net-zero ready" and able to convert to lower-carbon options. And gas power plants would "run less frequently as the UK continues to roll out other low carbon technologies", the government said. The REMA consultation closes on 7 May.
"The need for continued unabated gas generation into the 2030s as a back-up to ensure energy security and reduce costs has been recognised by the Climate Change Committee (CCC)", the government said today.
"Policy needs to signal that there is no long-term role for unabated gas… in a decarbonised electricity system", the independent advisory CCC found in its June 2023 progress report to UK parliament. It called in that report for the government to clarify "any minimal residual role unabated gas is expected to play by 2035", which it defined as "up to around 2pc of annual electricity production".
The UK has a legally-binding target to reach net zero emissions by 2050, while the UK government pledged in October 2021 to decarbonise the country's electricity system by 2035. And the G7 group of countries separately committed in May 2022 to reach "predominantly decarbonised" power systems by 2035.
Labour has committed to a zero-carbon power grid by 2030, if it wins the next general election, which is likely to take place this year.
