Memorandum submitted by Greenpeace (CIT
37)
1. Enclosed is our submission to the Energy
Review with a relevant policy annex, our report Decentralising
UK Energy: Cleaner, Cheaper, More Secure Energy For The 21st Century
and a film that Greenpeace has made about decentralised energy,
entitled What are we waiting for? We would like to submit
these as evidence to your inquiry Climate change: citizen's
agenda. In this letter, I will explain briefly how Greenpeace
believes that they address some of the questions you have asked
as part of the inquiry. I have also set out our views on individual
action. For this reason, you may also wish to use this letter
as part of our evidence. We have only attempted to engage on the
areas that we feel that we have expertise on.
2. Greenpeace believes that real scope for
individual and community action is severely limited because of
the centralised energy system and because there are insufficient
fiscal and regulatory measures put forward by the Government to
stimulate the development of product standards and new technologies
that can create meaningful opportunities for individual's to "do
their bit" through their behaviour and consumption choices.
3. Crucially, at the moment in the UK's
big centralised power stations, two thirds of the energy in the
fuels used is thrown away as waste heat before anyone even switches
on an energy efficient light bulb! Any action that individuals
may take to limit their energy demand is drowned out by massive
inefficiencies on the supply side.
4. As our film and the reports that formed
part of our Energy Review submission demonstrate, decentralised
energy (where energy production is close to the point of use)
makes it possible to use both the heat and electricity generated
and more than doubles the efficiency of our power stations. Decentralising
the UK's energy supply could change the consumer's relationship
with energy. This is because consumers can see where and how the
energy gets to them and, with smart metering, exactly how much
they are using and what this is costing them.
5. Making the changes towards a decentralised
system requires Government leadership. In particular, the Government
should:
— Not allow any new fossil fuel generation
without CHP.
— Bring forward new building regulations
to promote decentralised energy including linking to district
heat networks.
— Provide a guaranteed market for decentralised
energy with suppliers being required to purchase surplus electricity
from decentralised generators at rates that will ensure it takes
off.
— Provide tax incentives for decentralised
energy such as stamp duty, council tax or business rates.
— Ensure regional government action
on energy such as developing a nationwide network of biomass and
biogas cogeneration plants.
6. Greenpeace believes that NGOs have successfully
raised awareness of climate change amongst the public and that
there is now popular acceptance of the need for urgent action
brought about through regulation and fiscal measures. The public
wants and expects leadership but the Government is unwilling to
give it. For example, a recent Mori poll, commissioned by the
Aviation Environment Federation showed that more than 70% of people
would back higher aviation taxes if the money raised were spent
on improving the environment. Aviation is an area that the Government
has, according to the Environmental Audit Committee, taken a "fatalistic"
attitude seeming to accept that little could be done to stem the
increase in CO2 emissions due to the rises in travel resulting
from economic growth.
7. Whilst public awareness of climate change
is now high, Greenpeace believes that regulation and fiscal measures
are the only way to change behaviour to a significant degree.
Our Energy Review submission contains policy recommendations in
some detail to this effect. The most effective measures are those
that provide financial penalties or incentives. For example, unleaded
petrol was not widely taken up by consumers until it was made
the same price as leaded, despite Government awareness campaigns
explaining the helath implications. Recent steps by the Government
towards environmental taxation such as increased and graduated
VED have been too little and have come too late. The Environmental
Audit Committee and the Sustainable Development Commission recommended
a top level of £1,800, supported by research demonstrating
that this was the minimum amount sufficient to change consumer
behaviour. The Government's response was to increase the top rate
to £210.
8. Greenpeace believes effective local and
community action on climate change can only come about if there
is large scale reform of the centralised energy system and if
there are sufficient fiscal amd regulatory measures to actually
drive the desired changes in individuals' behaviour and empower
those that want to take action with better, cleaner options to
choose from.
Stephen Tindale
Executive Director
Greenpeace UK
August 2006
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