The House of Lords has passed an amendment to the Energy Security Bill that grants Ofgem, the UK’s energy regulator, with a net zero mandate.

This move will give Ofgem the power to prioritise the country’s transition to net zero emissions by 2050 and ensure that the energy sector aligns with the government‘s ambitious climate goals.

But what does the industry think about it?

Nathan Bennett, Head of Public Affairs at RenewableUK, said: “Reforming Ofgem’s mandate to consider net zero in every decision takes is long overdue.

“We are glad that the House of Lords has listened to calls from across the energy sector to make this vital change and hope that MPs will support it when the Energy Bill goes back to the Commons in the weeks ahead.”

Lawrence Slade, Chief Executive of the Energy Networks Association, said: “Yesterday’s vote in the Lords reinforced the shared view of industry and civil society, that we must have a regulator which is fully aligned with net zero.

“As we build the energy system of the future, it’s critical that we all pull in the same direction to secure the scale of investment needed in everything from heat pumps to hydrogen and turbines to pylons.”

Ruth Herbert, Chief Executive at the Carbon Capture and Storage Association, commented: “We are delighted to see that the House of Lords voted in favour of updating Ofgem’s duties to include a specific requirement to have regard to meeting the UK’s net zero target.

“The CCUS industry has been pushing for this amendment alongside other low-carbon energy trade associations – working together to ensure the regulator is empowered to put net zero at the heart of their decisions.

“This amendment will be particularly critical for CCUS, to enable the roll-out and expansion of significant carbon infrastructure this decade – to ensure we can meet the Government’s ambition of capturing and storing 20-30 million tonnes of carbon dioxide per year by 2030 which will be essential if we are to remain on the path to net zero.”

Article source: https://www.energylivenews.com/2023/04/19/industry-reacts-to-energy-bills-amendment-to-give-ofgem-net-zero-mandate/