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UK Proposal to Cut Energy Use

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11:4006 December 2012

Proposals to dramatically reduce electricity demand across the whole UK economy will be published by the Government today.

Cutting the amount of electricity used in Britain’s homes, businesses and industry can be much cheaper than paying firms to supply it; saving money through lower bills and reducing the need for new generation capacity.

Just a 10 per cent reduction in electricity demand could produce savings of around £4 billion in 2030, which would more than compensate for the cost of making efficiency investments upfront. A 10 per cent reduction in demand would also cut 4.5 megatonnes of carbon, equivalent to that produced by one large city in a year, and save an amount of electricity comparable to that generated by five power stations in a year.

Leading the way on efficiency also makes good business sense, helping to put the UK at the forefront of the growing global market for energy efficiency goods and services and driving growth in green jobs.

Energy Secretary Edward Davey said: “The Coalition Government is absolutely determined to help cut energy bills for consumers, reduce costs for businesses and bring down our emissions. We need to make our energy supply fit for the 21st century, and in a world of rising gas prices we must power our homes and businesses in a much more efficient way.

The Green Investment Bank will support access to finance for investment in green infrastructure, and in time, energy audits required under the EU Energy Efficiency Directive will help businesses become even more energy savvy.

The electricity demand reduction consultation will close on 31 January 2013 and the Government will outline final details on the way forward for electricity demand early next year.

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