Government reveals energy policy reset

Energy and climate change secretary Amber Rudd has revealed a series of planned reforms to guarantee energy supplies, cut costs and successfully decarbonise the energy sector. 

In a speech billed as a major “reset” of energy policy, delivered on 18 November, Rudd detailed proposals to close all of the UK’s unabated coal-fired power stations by 2025 and to replace them with a new fleet of gas power stations.

Coal is the most polluting source of power in the UK, with many plants ageing and comparatively inefficient. However, government figures show that it still currently meets 29% of the UK’s electricity demand.

Rudd also confirmed that the government would seek to hold three rounds further auction rounds for renewables subsidies, as part of the new “contracts for difference” regime. These auctions will focus on supporting offshore wind development, with the government saying it will provide no further subsidies for new onshore wind projects. 

Rudd said: “Energy security comes first and I am determined to ensure that the UK has secure, affordable, and clean energy supplies that hardworking families and businesses can rely on now and in the future.”