The revised draft national policy statements on energy

Book excerpt: £200 billion of new investment in energy infrastructure is needed by 2020 to cope with rising demand and meet targets on renewable energy and climate change. The six draft National Policy Statements (NPSs) are designed to speed up the planning process for major energy projects to help facilitate this investment, but the new drafts do not prioritise low-carbon generation and renewables over conventional capacity. New Government rules on energy policy could lead to a second 'dash for gas', delaying critical investment in renewables and other low carbon technologies and making the UK's climate change targets impossible to achieve. And development of too much gas capacity could crowd out opportunities for renewables to form a substantial component of the UK's energy mix. The Committee is also sceptical about the ability of the Government to deliver its aims on nuclear power. Ministers told the Committee that the NPSs should enable the development of 16 GW of new nuclear plant by 2025. That is two new nuclear plants each year. The MPs call for more clarity in coordinating developments, and stress that political certainty is essential for investors having to make decisions with planning horizons sometimes over several decades. It raises concerns about the level of investment uncertainty created by giving Ministers the ultimate power to decide on planning decisions and the Government should publish criteria against which the Secretary of State should exercise their discretion.