Following the Labour Party’s recent General election triumph, Ed Miliband has outlined Labour’s main aims for the UK energy sector.
Appointed as the Secretary of State for Energy Security and Net Zero by Prime Minister Sir Kier Starmer, Milliband detailed key priorities for making the UK a clean energy superpower.
He explained: “Our department will be at the heart of the new government’s agenda, leading one of the Prime Minister’s five national missions to make Britain a clean energy superpower with zero carbon electricity by 2030, and accelerating our journey to net zero.”
Coupled with Labour’s ambitious plans for electric vehicles, targeting the UK energy sector will be vital in achieving climate ambitions.
Six priorities for the UK energy industry
Miliband explained that the new Labour government’s mission is to make the UK energy independent, reduce energy bills, create goods jobs, and address the climate crisis.
To achieve this, he has noted the following six priorities:
- Boost energy independence and cut bills through clean energy by 2030
- Establish Great British Energy
- Upgrade UK homes and mitigate fuel poverty through the Warm Homes Plan
- Support consumers by reforming the UK energy system
- Create well-paid jobs in the energy sector
- Spearhead international climate action
Labour’s Manifesto details key strategies to achieve these goals.
Labour’s clean power vision
Labour aims to collaborate with the private sector to significantly expand renewable energy by 2030: doubling onshore wind, tripling solar power, and quadrupling offshore wind.
Investment will also focus on carbon capture, hydrogen, and marine energy, alongside ensuring long-term energy storage. An Energy Independence Act will guide these efforts.
Nuclear energy commitment
Labour pledges to secure the nuclear sector by extending the life of existing plants and advancing projects like Hinkley Point C and Sizewell C.
New nuclear initiatives, including Small Modular Reactors, will enhance energy security and create skilled jobs.
Gas and North Sea transition
A strategic reserve of gas power stations will be maintained for supply security. The transition in the North Sea will be managed responsibly, honouring the offshore industry’s history and workforce, particularly in Scotland and the North East.
Existing oil and gas fields will be managed for their full lifespan without revoking licenses, while no new licenses will be issued for exploration, coal, or fracking.
Great British Energy initiative
Labour will establish Great British Energy, a public company to drive clean energy investment, funded with £8.3bn.
It will support technologies and local energy projects, creating jobs and supply chains across the UK, with a focus on Scotland as a clean energy hub.
Energy market reform
Labour plans to overhaul energy market regulation, reducing standing charges and ensuring higher performance standards.
Strengthening the national grid will be a priority to facilitate clean power generation and industrial electrification.
Job creation and industry support
Labour’s National Wealth Fund will invest in key sectors like ports and hydrogen, fostering high-quality jobs and supporting industries like automotive and steel.
A British Jobs Bonus will reward clean energy developers for creating good jobs and robust supply chains.
Warm Homes Plan
Labour will invest £6.6bn to enhance energy efficiency in five million homes, reducing bills and fuel poverty.
The plan includes grants, low-interest loans, and partnerships with local governments to support insulation, solar panels, and low-carbon heating.
Accelerating to net zero
To make British businesses competitive, Labour will lower electricity costs and support energy-intensive sectors in decarbonising.
A carbon border adjustment mechanism will protect UK industries and align with climate goals.
Financial institutions will be mandated to develop transition plans in line with the Paris Agreement, positioning the UK as a leader in green finance.
Labour’s first move will be establishing Great British Energy, setting the foundation for the UK’s transition to a clean energy future.
