Devolution in energy policy in the UK – Evolution or revolution?
Iain Todd
Renewable Energy Consultant
CROSSTALKS, Brussels
11 February 2009
Devolution • Devolution is the statutory granting of powers from the central Government of a state to Government at a subnational level
Devolution • “Spain is one of the most decentralised nations in Europe” • “France is one of the most centralised nations in Europe”
Devolution • Scottish Parliament and Government created in 1998 and first met in 1999 • Energy policy is a matter for the UK Government • But devolved subjects include: – The promotion of energy efficiency – The promotion of renewable energy
Questions • Are these issues dealt with more effectively at the devolved level? • What differences arise between the two administrations, and how important are they? • Are these differences greater when different parties are in power in the two Governments? ( ie since 2007)
Climate change
Impacts – EU Temp
Impacts – EU prec.
Impacts
Climate change • Scottish Government currently consulting on a draft Climate Change Bill • Sets a target of 80% reduction in carbon emissions by 2050
Climate change • At the end of 2008, UK Government set up its new Department of Energy and Climate Change (DECC) • First act - carbon reduction target for 2050 increased from 60% to 80%
Energy efficiency • Scottish housing stock 2.3 million • 30% of households in fuel poverty • 90% of homes fall below current energy efficiency standards • 30% “difficult to treat”
Energy efficiency • The private rented sector has a high proportion of fuel-poor and poor housing stock
Energy efficiency • Electricity demand in the UK is rising at 1.5% per annum
Energy efficiency • The Scottish Government funds: – Advice bodies such as the Carbon Trust and the Energy Savings Trust – A new network of energy savings advice centres across Scotland – An interest-free loan scheme for SMEs – An energy efficiency fund for local authorities – Fuel poverty programmes
Energy efficiency • The Government also helps to achieve low carbon buildings through – the Building Regulations – the planning system
Energy efficiency • In February 2009, the Government announced a new £1m annual prize fund to inspire innovative ways to improve the energy efficiency of Scotland’s housing stock
Energy efficiency • Audit Scotland report in December 2008: – Public sector needs to give higher priority to energy efficiency – Energy consumption of LAs reduced 5% over 2004-7 – But over same period costs rose 47% – More leadership, more commitment
Energy efficiency • In Scotland – New Action Plan promised for spring 2009
• In England: – All new homes zero carbon from 2016 – All new buildings by 2019
Energy efficiency • Requirement for buildings to have Energy Performance Certificates when built, sold or let (EU Directive)
Energy efficiency • Energy efficiency rating A-G (current and potential) • CO2 rating A – G (current and potential) • Estimated energy use and cost per year
Energy efficiency • Now in force in both Scotland and England • Different forms of certificate in use – eg in Scotland two types – one for dwellings, one for businesses
Energy efficiency • Differences emerging • Element of competition • Or at least differentiation in practice
Renewable energy • More important differences emerging under devolution • Different targets – Scotland aiming for 20% of all energy to be renewable by 2020 (UK 15%)
Renewable energy • Renewables Obligation – key legislation • Two administrations kept in line 2002 - 2008
Renewable energy
Renewable energy
Renewable energy
Renewable energy • But in April 2009, Scottish Government planning to give greater financial rewards for the development of wave and tidal power • A more significant issue for Scotland than for England
Renewable energy • Other individual actions: – Scottish international Saltire Prize for marine energy
AREG objectives • To make Aberdeen a global energy city, as well-known for renewables as it is for oil and gas • To harness our existing capabilities to deliver renewable energy objectives • Around 100 member organisations
Aberdeen offshore wind farm
Nuclear energy • UK Government in favour of new nuclear power • Scottish Government against, and has said that it will use its local planning powers to block any such new development in Scotland
Conclusions • Professor Michael Keating, University of Aberdeen (in 2003) • “A well networked UK-wide policy committee presses for uniformity, though strong pressures for divergence are present and may not be contained.”