Coal-fired investment is not needed for energy security
A report commissioned by environmental groups WWF and Greenpeace argues that if the
government is serious about renewables and energy efficiency then there is no need to build major
new power stations in order to keep the lights on. The report was conveniently released as climate
campaigners converged at E.ON’s Kingsnorth coal-fired plant in Kent over the weekend for their
annual Climate Camp, with the proposed carbon capture ready coal plant at the site considered to
be the benchmark for a new generation of coal-fired capacity.
The report, from independent energy consultancy Pöyry, finds that if the government is able to
meet both its EU 2020 renewable energy targets and its own targets to reduce energy demand
through increased efficiencies, then major new gas or coal-fired generators would not be needed
to ensure that Britain can meet its electricity requirements up to at least 2020. The report also
concludes that a strong drive for energy efficiency and renewable energy can reduce emissions and
assist energy security.
The findings of the report contradict the views of the department for business, which reasons
that new fossil fuel generation capacity, such as E.ON’s proposed carbon capture coal project at
Kingsnorth, would be needed to plug an impending energy gap. According to the report’s analysis,
if Britain delivers on its renewable energy promises, and acts successfully to improve energy
efficiency in line with its National Energy Efficiency Action Plan, there would be no energy gap to
plug. And it adds that this strategy would also reduce the UK’s CO2 emissions by up to 37% by 2020.
Pöyry explained that the report considered six scenarios for meeting Britain’s commitments to
deliver on the binding 2020 EU renewable energy commitments and for future electricity demand
(drawing on both EU and UK targets for energy efficiency), and assessed whether any additional
capacity from conventional sources such as coal and gas would be needed to secure the UK’s
electricity needs. Its conclusion was that there would be no role for such plants, even taking into
account the very few days when there is little or no wind. It said these scenarios represent a radical
shift away from the ‘business as usual’ pathway (under which new power stations may indeed be
needed), but argued that such a radical shift is precisely what is required by the government’s oft-
stated renewables and efficiency ambitions.
WWF noted that last year both Tony Blair and Gordon Brown made high-level commitments leading
to a proposed target for the UK to generate about 15% of Britain’s total energy from renewable
sources by 2020. It is widely accepted that to meet this will require at least 35% of Britain’s
electricity to need to come from renewables by 2020. WWF said that the six scenarios considered
in the report reflect several credible ways of meeting that target under different levels of electricity
demand and differing contributions from onshore and offshore wind, biomass, and marine and
solar power.
In all six of the scenarios considered, it said, there was no need to build any major new fossil-fired
capacity to ensure that the UK could meet its electricity needs to 2020. In just one scenario was
there a slight dip below the 20% margin of spare power capacity, and this was only short-lived,
with “experts” stating this could best be dealt with using either demand side management or by
installing small top-up peaking plant.
And in the period after 2020, when more of the UK’s existing coal and nuclear plants are due to
close, the report observes that a number of further options could be deployed including highly
efficient industrial combined heat and power plants, further roll-out of renewables and, potentially,
carbon capture and storage provided this technology has been shown to be technically and
economically viable.
Commenting on the report, Keith Allott, head of climate change at WWF-UK said it should be
good news for the government, explaining: “If it gets real on its targets on renewables and energy
efficiency then we can keep the lights on, reduce our reliance on expensive fossil fuel imports
and dramatically cut our carbon emissions. But a green light to Kingsnorth would at a stroke
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undermine the government’s other policies on climate change and Gordon Brown’s promise of a
clean energy revolution.”
Condemning the plans for new coal-fired plant, the head of Greenpeace’s energy and climate team,
Robin Oakley, said: “Coal is the single most climate-wrecking form of electricity generation. The
only reason anyone is even considering building Britain’s first coal-fired power station in decades
is the claim that we need it to keep the lights on. E.ON’s spin machine and the Labour government
have teamed up to hoodwink the public into believing it, but this report busts their argument wide
open.”
LINK:
http://www.ilexenergy.com/pages/230_%20 ... he%20UK%20
meeting%20its%202020%20Renewable%20Energy%20target%20v1.0.pdf
COMMENT: Cynics will suggest there is little value in commissioning a report whose conclusions
are radically different from their views. There is, of course, no suggestion that this is the case with
Pöyry being a highly respected energy consultancy. But
the findings of this report are strongly
guided by market “ifs.” If 35% of the UK’s generation capacity is provided by renewables by 2020
then arguably the report’s findings are valid. But such a scenario is by no means certain given the
UK’s poor planning record and would also seriously undermine supply diversity, particularly if the
majority of this renewable capacity is wind power. The findings of this report do not alter our view
that investment in clean coal is essential to Britain’s future energy security.