
- •Foreword
- •Table of contents
- •Figures
- •Tables
- •Boxes
- •1. Executive summary
- •Energy system transformation
- •Special focus 1: The cost-effectiveness of climate measures
- •Special focus 2: The Electricity Market Reform
- •Special focus 3: Maintaining energy security
- •Key recommendations
- •2. General energy policy
- •Country overview
- •Institutions
- •Supply and demand trends
- •Primary energy supply
- •Energy production
- •Energy consumption
- •Energy policy framework
- •Energy and climate taxes and levies
- •Assessment
- •Recommendations
- •3. Energy and climate change
- •Overview
- •Emissions
- •GHG emissions
- •Projections
- •Institutions
- •Climate change mitigation
- •Emissions targets
- •Clean Growth Strategy
- •The EU Emissions Trading System
- •Low-carbon electricity support schemes
- •Climate Change Levy
- •Coal phase-out
- •Energy efficiency
- •Low-carbon technologies
- •Adaptation to climate change
- •Legal and institutional framework
- •Evaluation of impacts and risks
- •Response measures
- •Assessment
- •Recommendations
- •4. Renewable energy
- •Overview
- •Supply and demand
- •Renewable energy in the TPES
- •Electricity from renewable energy
- •Heat from renewable energy
- •Institutions
- •Policies and measures
- •Targets and objectives
- •Electricity from renewable energy sources
- •Heat from renewable energy
- •Renewable Heat Incentive
- •Renewable energy in transport
- •Assessment
- •Electricity
- •Transport
- •Heat
- •Recommendations
- •5. Energy efficiency
- •Overview
- •Total final energy consumption
- •Energy intensity
- •Overall energy efficiency progress
- •Institutional framework
- •Energy efficiency data and monitoring
- •Regulatory framework
- •Energy Efficiency Directive
- •Other EU directives
- •Energy consumption trends, efficiency, and policies
- •Residential and commercial
- •Buildings
- •Heat
- •Transport
- •Industry
- •Assessment
- •Appliances
- •Buildings and heat
- •Transport
- •Industry and business
- •Public sector
- •Recommendations
- •6. Nuclear
- •Overview
- •New nuclear construction and power market reform
- •UK membership in Euratom and Brexit
- •Waste management and decommissioning
- •Research and development
- •Assessment
- •Recommendations
- •7. Energy technology research, development and demonstration
- •Overview
- •Energy research and development strategy and priorities
- •Institutions
- •Funding on energy
- •Public spending
- •Energy RD&D programmes
- •Private funding and green finance
- •Monitoring and evaluation
- •International collaboration
- •International energy innovation funding
- •Assessment
- •Recommendations
- •8. Electricity
- •Overview
- •Supply and demand
- •Electricity supply and generation
- •Electricity imports
- •Electricity consumption
- •Institutional and regulatory framework
- •Wholesale market design
- •Network regulation
- •Towards a low-carbon electricity sector
- •Carbon price floor
- •Contracts for difference
- •Emissions performance standards
- •A power market for business and consumers
- •Electricity retail market performance
- •Smart grids and meters
- •Supplier switching
- •Consumer engagement and vulnerable consumers
- •Demand response (wholesale and retail)
- •Security of electricity supply
- •Legal framework and institutions
- •Network adequacy
- •Generation adequacy
- •The GB capacity market
- •Short-term electricity security
- •Emergency response reserves
- •Flexibility of the power system
- •Assessment
- •Wholesale electricity markets and decarbonisation
- •Retail electricity markets for consumers and business
- •The transition towards a smart and flexible power system
- •Recommendations
- •Overview
- •Supply and demand
- •Production, import, and export
- •Oil consumption
- •Retail market and prices
- •Infrastructure
- •Refining
- •Pipelines
- •Ports
- •Storage capacity
- •Oil security
- •Stockholding regime
- •Demand restraint
- •Assessment
- •Oil upstream
- •Oil downstream
- •Recommendations
- •10. Natural gas
- •Overview
- •Supply and demand
- •Domestic gas production
- •Natural gas imports and exports
- •Largest gas consumption in heat and power sector
- •Natural gas infrastructure
- •Cross-border connection and gas pipelines
- •Gas storage
- •Liquefied natural gas
- •Policy framework and markets
- •Gas regulation
- •Wholesale gas market
- •Retail gas market
- •Security of gas supply
- •Legal framework
- •Adequacy of gas supply and demand
- •Short-term security and emergency response
- •Supply-side measures
- •Demand-side measures
- •Gas quality
- •Recent supply disruptions
- •Interlinkages of the gas and electricity systems
- •Assessment
- •Recommendations
- •ANNEX A: Organisations visited
- •Review criteria
- •Review team and preparation of the report
- •Organisations visited
- •ANNEX B: Energy balances and key statistical data
- •Footnotes to energy balances and key statistical data
- •ANNEX C: International Energy Agency “Shared Goals”
- •ANNEX D: Glossary and list of abbreviations
- •Acronyms and abbreviations
- •Units of measure

3. ENERGY AND CLIMATE CHANGE
Projections
The 2017 energy and emissions projections of the United Kingdom show that overall emissions by 2030 are projected to be 50% below 1990 levels in the reference case, which considers implemented, adopted, and agreed policies (UK Government, 2018b). However, as demonstrated in Figure 3.7, these projections are highly uncertain because societal/behavioural trends, breakthrough technologies or other factors could have profound impacts on the energy mix and emissions, but are impossible to fully predict.
Figure 3.7 Uncertainty in projected territorial emissions
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Annual total territorial |
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700 |
emissions, MtCO2e |
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Actuals |
Projections |
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95% confidence range |
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600 |
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2017 reference case |
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500 |
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400
300
200
100
0
2008 |
2010 |
2012 |
2014 |
2016 |
2018 |
2020 |
2022 |
2024 |
2026 |
2028 |
2030 |
2032 |
2034 |
Emissions are projected to decline to around 350 MtCO2e by 2035.
Source: UK Government (2018b) Updated Energy and Emissions Projections 2017, www.gov.uk/government/publications/updated-energy-and-emissions-projections-2017.
The UK government expects emissions in electricity generation to decline steadily (Figure 3.8) with the closure of coal plants, the growth in renewables in the power mix, and eventually thanks to new nuclear generation in the 2030s (with several plants expected under these projections). Increased imports (via interconnectors) are projected until new nuclear capacity comes online. Consequently, emissions from electricity production are projected to fall steadily over the full period to 2035 (BEIS, 2018).
Figure 3.8 CO2 emissions intensity from electricity supply forecast, 2017-35
Emissions intensity, 250 gCO2e/kWh
200
150
100
50
0 |
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2017 |
2019 |
2021 |
2023 |
2025 |
2027 |
2029 |
2031 |
2033 |
2035 |
The CO2 intensity of power generation is projected to fall rapidly from over 200 gCO2e/kWh in 2017 to around 50 gCO2e/kWh by 2035, which will contribute to overall emission reductions.
Source: BEIS (2018), Updated Energy and Emissions Projections 2017, www.gov.uk/government/publications/updated-energy-and-emissions-projections-2017.
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