
- •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

ANNEXES
ANNEX A: Organisations visited
Review criteria
The Shared Goals, which were adopted by the International Energy Agency (IEA) Ministers at their 4 June 1993 meeting in Paris, provide the evaluation criteria for the indepth reviews (IDRs) conducted by the IEA. The Shared Goals are presented in Annex C.
Review team and preparation of the report
The review team visited London from 14 to 18 May 2018, met with government officials, regulators, stakeholders in the public and private sectors as well as other organisations and interest groups. The discussions helped the team identify the key challenges facing energy-policy makers in the United Kingdom. The report was drafted on the basis of these meetings, the government’s initial submission to the IEA energy policy questionnaire and several updates since the review visit.
The IEA and the peer review team are grateful for the co-operation and assistance of the many people it met throughout the visit. The review team wishes to express its gratitude to the hosts at the Department Business Energy and Industrial Strategy: Mr Pete Betts,
Director for International Climate and Energy, and Mr Dan Dorner, Head of International Energy Unit. Special thanks for the organisation of the review on the government side go to the UK Foreign and Commonwealth Office and BEIS staff, Ms Julie Evans and Ms Julia Nolan, Head of International and EU energy diplomacy, for their professional support and excellent management of the entire review process, notably the organisation of the review week in London, the peer review and the launch of the report.
IEA member countries and observers
Mr John Rampton, New Zealand (team leader)
Mr Kevin Brady, Ireland
Mr Stanford Harrison, Australia
Mr Alberto Fernandez Fernandez, Belgium
Mr Fredrik Norlund, Sweden
Mr Bas Heijs, The Netherlands
Dr Jan Horst Keppler, OECD Nuclear Energy Agency
International Energy Agency
Mr Aad van Bohemen
Mr Peter Fraser
Ms Sylvia Beyer
Ms Elena Merle-Beral
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ANNEXES
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ANNEXES
The review was co-ordinated by Sylvia Beyer with the invaluable assistance of Elena Merle-Beral who supported the review as consultant and prepared the chapters on climate, on energy efficiency and on renewables. The chapters on general energy policy, on electricity, and on technology research and development were drafted by Sylvia Beyer who also oversaw the entire report. The chapter on nuclear energy was drafted by Dr. Jan-Horst Keppler, OECD/NEA and the chapter on natural gas by Mr Peter Fraser, IEA head of gas, coal and power. The chapter on oil was prepared by Ms Maki Yamaguchi, IEA.
The report benefited from the guidance of the team leader Mr John Rampton and IEA head of energy policy and security division, Mr. Aad van Bohemen. Valuable insights and comments were provided by the review team members and the IEA staff, including Mr Enrique Gutierrez Tavarez, Ms Szilvia Doczi, Mr Carlos Fernandez, and Mr Jason Elliott.
Special thanks go to the IEA Secretariat with regard to the data, editing and publication. Importantly, the report has benefited from the support of timely and comprehensive data, including from the IEA energy statistics and energy balances, as prepared by Ms Selena Lee, Mr. Remi Gigoux, and Mr. Oskar Kvarnström.
Mr. Oskar Kvarnström and Mr. Bertrand Sadin ensured the preparation of the design of figures, maps and tables. Mr. John Ormiston carried out the editing of the report. The author thanks the IEA Communication and Digital Office (CDO), in particular Mr Jad Mouwad, Ms Astrid Dumond, Ms Isabelle Nonain-Semelin and Ms Therese Walsh who ensured the report’s production and launch.
Organisations visited
Association for Decentralised Energy
Centrica
Centre for Sustainable Energy
Citizens Advice
Committee on Climate Change
Consumer and Market Authority
Department of Energy Business and Industrial Strategy
Department for Transport
EDF
Energy Technologies Institute
Energy Saving Trust
E3G
Green Alliance
Her Majesty’s Treasury
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National Grid
Ofgem
Oil and Gas Authority
Office for Low Emission Vehicles
Oxford Institute of Energy Studies
Renewable UK
UK Business Council for Sustainable Energy
UK Energy Research Centre
University College London
University of Cambridge
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IEA. All rights reserved.