Boost for UK green industries with £960 million government investment

In a landmark move to fortify energy security and propel the United Kingdom into a renewable future, the Government unveiled a comprehensive £960 million investment in green industries in November 2023. This is welcomed news, as in August 2023 the UK’s climate targets were threatened by the National Grid’s lack of capacity, causing £200 billion worth of projects to be stuck on hold as they waited to connect to the UK’s electricity system. The new initiative accelerates grid connections and aims to significantly increase capacity, making the UK a global leader in renewable energy.

Grid revolution

The Chancellor, Jeremy Hunt, and Energy Security Secretary, Claire Coutinho, outlined radical plans to revolutionise the grid, slashing the time to build high-voltage power lines from 14 to seven years. The Connections Action Plan goes even further, reducing the average delay time for projects to connect to the grid from five years to just six months. This overhaul eliminates the 'first-come, first-served' system, streamlining low-carbon investments and bolstering economic growth.

Communities hosting new power infrastructure are set to benefit directly, enjoying lower electricity bills and funds for local projects. The Government's commitment to providing up to £1,000 a year off electricity bills for properties near new transmission infrastructure reflects a dedication to rewarding those at the forefront of the green transition.

Green Industries Growth Accelerator

In tandem with the grid enhancements, the Government has pledged £960 million for the Green Industries Growth Accelerator. This substantial investment will expedite advanced manufacturing capacity in key net-zero sectors, including offshore wind, networks, carbon capture, usage and storage, hydrogen and nuclear. As the demand for renewables grows globally, this financial injection ensures the UK remains an attractive destination for investment, fostering growth and supporting up to 480,000 skilled jobs by 2030.

Stakeholder reactions

Stakeholders from various sectors have expressed optimism and welcomed the Government's bold measures. National Grid, British Chamber of Commerce, RenewableUK, Energy Networks Association and key industry leaders appreciate the accelerated reforms and the intent to create a more efficient, lower-cost energy system. The emphasis on community benefits and incentivising clean energy investments has garnered widespread support.

Looking ahead

Amidst these transformative changes, the team at Control Energy Costs can partner with your business to navigate the evolving energy landscape. As energy and water consultants, we provide tailored utility management and procurement solutions. With sustainability as our guiding principle, we’re ready to guide you through renewable energy options and instigate behavioural changes that align with a greener future.

Contact us to see how we can help.