Table C.2: Energy

Programme

Forward timeline

Electricity generation - new nuclear investment

•  End 2011: Generic Design Assessment - interim reactor design acceptances will be issued by the Office for Nuclear Regulation.

 

•  2012 : Department of Energy and Climate Change is engaging with developers and local authorities on community benefit and will bring forward proposals for reform of the community benefit regime to provide greater certainty for all parties.

 

•  2012: To ensure the continuity of all low-carbon development, the Government will work actively with relevant parties to enable early investment decisions to progress to timetable wherever possible.

 

•  2013: Instituting an independent Office for Nuclear Regulation in statute.

 

•  By 2014: As part of the programme of electricity market reform, new long-term contracts (Contract for Difference Feed-in Tariff) will be available for low-carbon electricity generation which will provide clear, stable and predictable revenue streams for investors

Carbon Capture and Storage programme

•  Autumn 2011: Information gained from detailed technical and engineering studies completed as part of first competition made publicly available to help speed up deployment of CCS in the UK and abroad.

•  End 2011: CCS programme being revised to focus on the outcome of achieving cost-competitive and commercially viable deployment of CCS by the 2020s. Department of Energy and Climate Change developing a new streamlined selection process.

•  As soon as possible: Launch of selection process. £1 billion capital available to support projects in the programme.

•  By 2014: As part of the programme of electricity market reform, new long-term contracts  (Contract for Difference Feed-in Tariff) will be available for low-carbon electricity generation which will provide clear, stable and predictable revenue streams for investors

Electricity generation - gas (CCGT) investment

•  As of 18 November 2011, Department of Energy and Climate Change is currently considering 3 CCGT applications (3.3 GW).

•  Department of Energy and Climate Change will continue to progress the remaining S36 applications as quickly as possible within the legal framework

Electricity generation - biomass investment

•  As of 18 November 2011, Department of Energy and Climate Change is currently considering 3 biomass applications (202 MW).

•  Department of Energy and Climate Change will continue to progress the remaining S36 applications as quickly as possible within the legal framework

•  Since Banding Review launched in October,  several projects have made significant progress - for example a 30 megawatt biomass plant  (Blackburn Meadows) commences construction this month, creating 200 jobs during construction and providing power to 40,000 homes

•  By 2014: As part of the programme of electricity market reform, new long-term contracts  (Contract for Difference Feed-in Tariff) will be available for low-carbon electricity generation which will provide clear, stable and predictable revenue streams for investors

Electricity generation - wind energy investment

•  As of 18 November 2011, Department of Energy and Climate Change is currently considering 12 wind (onshore and offshore) applications (3 GW)

•  Department of Energy and Climate Change will continue to progress the remaining S36 applications as quickly as possible within the legal framework

•  The Government is firmly committed to working urgently with industry to resolve radar interference issues holding up wind farm developments, through an ongoing programme of work over 2012, by: working closely with the wind industry to agree a plan of work to develop generic aviation mitigation solutions for defence radar which can resolve objections holding up wind farms in development or awaiting construction (this programme is intended to commence in early 2012); working with wind developers and the civil aviation community to enable the implementation of the range of solutions to mitigate wind farm interference; and addressing barriers to investment in radar by the wind industry

•  The launch of the RO Banding Review in October 2011 will enable projects to move forward

•  By 2014: As part of the programme of electricity market reform, new long-term contracts  (Contract for Difference Feed-in Tariff) will be available for low-carbon electricity generation which will provide clear, stable and predictable revenue streams for investors.

Electricity gas and transmission and distribution investment

•  The Government supports the work of industry and regulators to bring forward investment in the regulated sectors where this can realise savings and help meet future challenges. For example,  Ofgem have approved in principle the £1 billion Western high voltage link from Scotland to England, subject to the completion of certain conditions. Work can start next year for delivery in 2015.

•  2011: gas distribution companies to submit initial proposals to Ofgem

•  2012: transmission and gas distribution companies to submit updated proposals to Ofgem for 2013-21

•  2013: electricity distribution companies to submit initial proposals to Ofgem for 2015-23

Smart meters

•  In 2012, the Government will put in place obligations on energy suppliers to complete the rollout of smart meters by 2019 and is taking forward the procurement of the data and communications services for the smart metering system