Commenting on the Energy Security Strategy Stephen Phipson, CEO of Make UK said:
“The energy security strategy is the bold, ambitious plan that we need to thwart our dependency on volatile oil and gas prices while firmly marching towards net zero. Exploiting domestic resources is a short-term necessary evil, but undoubtedly the acceleration of the introduction of clean energy is the right way to go.
However, these projects cannot be delivered quickly and at a time of spiralling energy costs and a myriad of other financial burdens on business, industry desperately needs urgent action on the part of Government to reduce energy prices in the short term.
Make UK has already called for a reduction in the carbon price via the cost control mechanism within the UK ETS, the removal of the additional Carbon Price Support tax that only UK customers pay and that Government consider removing the Climate Change Levy – all of which would drive down energy costs now.
While the energy Intensive Industries energy compensation scheme is welcome, it still falls short of helping the bulk of the sector. Additionally, smaller companies are desperate to implement low carbon measures but have their hands tied by the current costs. The manufacturing industry has a key role to play in this transition and is ready to go. But it will need support to unlock its full potential and clear all the barriers to allow it to invest in switching to clean energy sources.”