CCC: Improved policies needed to hit future carbon budgets

In a progress report to parliament, the CCC stated that under the current rate of progress “future budgets will not be met”, with emissions being reduced by 21 to 23 per cent between 2013 and 2025, rather than the required 31 per cent.

Investment in wind generation under the Renewables Obligation had made “strong progress,” while the report added that the foundations have been laid for the demonstration of carbon capture and storage (CCS).

However, the CCC stated that progress has been “frustratingly slow” with CCS, while it has been “limited” for energy efficiency in the commercial and industrial sectors.

It added that the “previous good work” in the residential energy efficiency sector has fallen away with the introduction of the new policy regime – the Energy Company Obligation (Eco) and the Green Deal – in 2013.

To help the UK meet its future carbon budgets, the CCC recommended an increased ambition for the residential energy efficiency sector, and for commercial energy efficiency policies to be simplified.

The CCC also called on the government to extend the Renewable Heat Incentive beyond 2016 “to reduce policy uncertainty”, and for renewable heat installations to have access to Green Deal finance.

The committee also urged the government to set a 2030 decarbonisation target, and to set out strategies for commercialising offshore wind and CCS.

Lord Deben, chair of the CCC, said: “Climate change demands urgent action.

“We have started on the road and we are being joined by much of the rest of the world.

“However, despite our success, the UK is still not on track to meet out statutory commitment to cut emissions by 80 per cent.

“The longer we leave it, the costlier it becomes.”

Paul King, chief executive of the UK Green Building Council, added: “While government has clearly made good progress on some of its efforts to cut carbon, the CCC exposes the lack of headway on energy efficiency within our buildings, and in particular, an unravelling of the previous good work on home energy efficiency.

“This is ironic given that carbon reduction in buildings is not only the most cost effective way of tacking climate change, but it also protects both households and businesses from soaring energy bills.”