The government has passed a set of new laws which it says will help ensure affordable energy and assure net zero for businesses via a new tender process which will reduce costs for network operation and development.
The government has said the act will unlock £100 billion private investment in energy infrastructure and jobs growth.
A specific merger regime for energy networks will be created under the Competition and Markets Authority (CMA), which will help minimise the risks of mergers between energy networks having detrimental impact on consumers.
The aim of The Act is to deliver a more efficient energy system in the long term, helping to keep energy costs low by increasing competition in Britain’s onshore electricity networks.
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The move follows recent criticism of the government’s decision to expand North Sea oil and gas drilling, and the Prime Minister’s u-turn on net zero policies.
“The Energy Act is the largest piece of energy legislation in a generation. It will boost investment in clean energy technologies and support thousands of skilled jobs across the country,” said energy security secretary Claire Coutinho.
She continued: “It lays the foundations for greater UK energy independence, making us more secure against tyrants like Putin, and helps us to power Britain from Britain.”
“The Act also supports our new approach to make sure that families don’t feel a disproportionate financial burden as we transition to Net Zero, and forms a central part of our efforts to keep people’s bills affordable in the long-term”.
Minister for nuclear networks added that “the Energy Act is a statement of intent to flourishing British nuclear and low-carbon energy sector”.
“It will help create thousands of skilled jobs and deliver real benefits for people across the UK – from cleaner energy to more affordable bills”.
“The Government has listened to industry and modernised our energy legislation, creating the framework for further green growth”.
