The proposals for national policy statements on energy - Energy and Climate Change Contents


Memorandum submitted by Natural England

  1.  Natural England welcomes the preparation of the National Policy Statements (NPS) for energy to guide decisions on major energy developments in England (and Wales).

    — The transition to a low carbon economy is imperative, to address both anthropogenic climate change and long term energy security. We recognise the critical role that the energy NPSs will play and support the strategic lead that Government is providing.

    — It is vital that a clear statement of the national need for additional energy generation and supply capacity is set out, which identifies the role of different types and scales of infrastructure and technology in decarbonising the UK energy system and maintaining affordable supplies.

    — It is equally important that NPSs set out how that additional capacity will be provided for in ways that contribute to sustainable development.

    — We advise that the energy NPS should, in parallel with an improved regulatory framework, provide stronger signals to the market, decision-makers and other stakeholders as to the sustainable and diverse energy mix that is required.

    — We also advise that decision-making for major energy infrastructure should include a sound understanding of where it is needed and best located to maximise benefits and minimise costs. This requires clearer guidance on co-ordination with spatial plans and strategic assessments of need and capacity.

    — We recommend a number of improvements to the text of the NPS to ensure that the natural environment is properly considered in the siting, design and assessment of major energy schemes, so that balanced, sustainable, judgements can be reached.

INTRODUCTION

  2.  Natural England is a statutory body created in 2006, charged with the responsibility to ensure that England's unique natural environment is protected and improved. Natural England's purpose is to ensure that the natural environment is conserved, enhanced and managed for the benefit of present and future generations, thereby contributing to sustainable development.

  3.  In our capacity as a statutory adviser to Government, we offer advice on the making of national public policy through our analysis, evidence, and lessons drawn from delivery experience. As an NDPB, we then implement national public policy throughout its own activities via the development of organisational policy (specific to the activities of Natural England), guidance for local delivery, and forward programmes of evidence gathering.

  4.  Energy developments of all types can have significant impacts on the natural environment, particularly on sites of international and national nature conservation importance, on our most valued landscapes, and our collective ability to adapt to climate change.

  5.  It is, therefore, imperative that impacts are fully assessed, avoided wherever possible, appropriately mitigated and, as a last resort, compensated for.

  6.  Based on the evidence from case work, Natural England believes that our future energy needs can be met in a manner that is consistent with the protection and enhancement of the natural environment. It is important that we do so, to enable society and the environment upon which the economy depends, to adapt to the challenges of climate change.

  7.  As a statutory consultee Natural England will be fully engaged in the new infrastructure planning regime at project level to ensure that environmental impacts are fully addressed and opportunities to secure enhanced resilience of the natural environment are maximised, as an integral part of the provision of major infrastructure. A clear and robust NPS is fundamental to ensuring sustainable decisions on major infrastructure projects by the Infrastructure Planning Commission (IPC) and the effective engagement of all stakeholders in the process.

  8.  Natural England's comments on the draft National Policy Statements for energy can be summarised as follows:

GOVERNMENT POLICY AND NEED FOR NEW INFRASTRUCTURE

  9.  The energy NPSs restate the Government's existing policy for the market to decide what energy infrastructure is brought forward within the framework of strategic interventions by Government. We therefore recommend that the NPS should provide a clearer strategic steer to energy companies, the IPC, and other stakeholders on the evolution of the energy mix and that the regulatory framework enhances such a steer. The strategic direction given should be linked to the achievement of outcomes described in the Low Carbon Transition Plan. While we recognise that there is a need to retain some flexibility in the precise mix, and the NPS rightly sets out a strong case for the need for all types of energy generation as part of diverse mix, the NPS should prioritise low carbon technologies if national and international targets on climate change are to be achieved. The Committee on Climate Change have made clear that electricity generation will need to be completely decarbonised (not "largely", as stated in the NPS) by the 2030s if we are to meet the 2050 target of 80% GHG reduction.

  10.  The UK does not have the same range of levers on the provision of energy which some other EU nations hold. Consequently, Government, and OFGEM, need to establish mechanisms which regulate the market sufficiently well to correct actual or potential market failures, particularly those which might lead to low carbon or renewable energy being put at a competitive disadvantage compared to high carbon, unsustainable sources. OFGEM's current review of its regulatory regime provides an ideal opportunity to achieve this.

  11.  Without the right regulatory mechanisms, working in tandem with national policy and guidance to facilitate the delivery of a diverse and sustainable energy mix, we are concerned that existing interventions will not reduce greenhouse gas (GHG) emissions and secure affordable supplies as quickly and sustainably as is necessary.

  12.  We would also welcome a clear statement that fossil fuel generation without Carbon Capture & Storage needs to be phased out in the next decade, and increasingly replaced with low carbon and renewable alternatives in order to ensure that the UK meets its legally binding carbon budgets and tackles anthropogenic climate change. Investment in fossil fuel and nuclear power must not lead to any diminution of investment in renewables, other low carbon energy, or greater energy efficiency.

  13.  We appreciate that the primary purpose of the NPSs is to guide decision-making on large scale energy projects and therefore the focus is on new large scale, centralised generation and distribution.

  14.  Nevertheless, NPSs will have a role in guiding decisions on smaller scale schemes. We recommend that it should communicate greater ambition on the contribution of energy efficiency, demand management and distributed generation to national, regional and local objectives.

  15.  These alternatives can reduce (but not avoid) the need for large scale, centralised infrastructure and, generally, be delivered more quickly and at less expense to society and the environment.

RELATIONSHIP WITH SPATIAL PLANNING

  16.  Whilst we appreciate that, with the exception of the Nuclear NPS, the energy NPSs are not locationally specific, energy planning is an integral part of spatial planning at regional and local level, contributing to meeting wider needs for development and delivering sustainable communities. Planning and decision-making for major energy infrastructure must therefore be properly co-ordinated with spatial planning, on- and off-shore so that we ensure that we make best use of our land and seas. We believe that the NPS should include clearer guidance on the spatial dimensions of future major energy developments and how effective co-ordination is achieved.

  17.  In the absence of co-ordination and alignment with spatial plans (Regional strategies and Local Development Frameworks and Marine Spatial Plans) and strategic assessments of capacity and need, there is a risk that the investment decisions of promoters and IPC decision-making will be made in isolation and result in sub-optimal outcomes in respect of the natural environment as well as energy security, emissions reductions and wider social and economic objectives.

  18.  In some places, such as the Severn estuary and other our coasts and estuaries, it is likely that a number of NSIPs will be proposed and the need for a strategic spatial approach is especially apparent where this is the case.

  19.  In 2008, Natural England recommended that Government undertake a strategic assessment of the capacity for renewable and low carbon energy to underpin the setting of regional targets for any one type of technology or source. The departments for Community and Local Government and Energy and Climate Change have since embarked on a developing a robust method for undertaking strategic capacity assessment, with English administrative regions to carry out detailed capacity assessments and use these to inform the setting of new regional targets (to 2020), and on which to develop policies. We recommend that the NPS refers the IPC and promoters to this initiative as one means of helping to facilitate spatial integration. Better co-ordination with spatial plans and strategic assessments will also improve IPC accountability and public/community engagement with, and acceptance of, NSIPs and provide greater certainty for energy companies.

RELATIONSHIP WITH OTHER DOCUMENTS

  20.  The NPS should more clearly identify how it should be used by the Marine Management Organisation and regional and local decision makers to guide decisions on energy developments falling below the Nationally Significant Infrastructure Project thresholds and associated development.

  21.  It is important the suite of NPS can be easily read as a package and implemented consistently. As currently drafted, there are inconsistencies in the wording of generic issues between the energy and the ports NPS, and between the various energy NPSs. The NPSs would benefit from improvements in the consistency and wherever possible should use the same wording.

THE NATURAL ENVIRONMENT AND SUSTAINABLE DEVELOPMENT

  22.  The NPS addresses a wide range of impacts relating to the natural environment. Major energy projects will have significant impacts on the natural environment and it is imperative that these impacts are properly assessed and avoided and mitigated wherever possible. Appropriately sited and designed energy projects can also deliver benefits for the natural environment, such as increased ecological resilience.

  23.  Natural England considers that, as currently drafted, the NPS does not clearly set out the Government's environmental objectives (beyond those for tackling climate change). The natural environment is largely treated as a range of impacts to assess and overcome.

  24.  We advise that it highlights the importance of our wildlife, habitats and landscapes, particularly designated areas, the ecosystem services which the environment provides, and the need for conservation and enhancement of the natural environment. The role of protected areas and a healthy natural environment in providing resilience to climate change impacts, in particular, should be more clearly recognised.

  25.  Stronger guidance to the IPC and promoters is required on the need to integrate (not automatically trade-off) social, economic and environmental objectives and that additional capacity should only be provided where it can meet sustainable development objectives. Our engagement as a statutory consultee on planning case work provides clear evidence that energy developments can be compatible with environmental protection and enhancement. The energy NPSs should also identify the need for NSIPs to deliver appropriate enhancement, as well as protection, of the natural environment and to become exemplars in sustainable development.

ASSESSING IMPACTS OF PROJECTS

  26.  The NPS would benefit from clearer and more consistent guidance on the weight that the IPC should afford adverse impacts. The NPS sets out a robust case for the urgent and significant need for additional generation and supply capacity and the benefits it brings, but there is little to indicate what types or level of adverse environmental or social impacts might outweigh the need and benefits. As currently drafted some passages give the impression that it will be difficult for adverse impacts to outweigh benefits. Greater weight should also be given to steering major development away from designated areas.

  27.  We support the aim to incorporate existing national planning policy, where relevant, within the NPS, but there are inconsistencies between the treatment of environmental impacts in the NPS and the current suite of Planning Policy Statements. The impacts sections of the NPS, in particular the landscape and biodiversity impacts, should be strengthened to fully comply with Government planning policy set out in Planning Policy Statements and other Government objectives.

  28.  We are pleased that cumulative and long term impacts are mentioned in the assessment principles, but we advise that there is a need for greater consideration of the cumulative impacts of energy and other potential infrastructure developments where they are likely to be concentrated in particular areas (eg the Severn Estuary and parts of the East and North West coasts).

NUCLEAR NPS (EN-6)

  29.  If in order to provide energy security and a low carbon economy to 2030 nuclear power needs to be part of the energy mix we advise that the NPS states that its proportion should be reduced with growing deployment of renewable technologies in 2020-40 and that it should, therefore, be viewed as a bridging technology, not a permanent solution.

  30.  We accept that a need for new nuclear power stations can be demonstrated, but question the conclusion that all nine sites in England listed in the NPS are needed, since the number of reactors that might be built at each site is unknown. It would better for the Government to set out how much new nuclear generating capacity it believes is needed rather than the number of sites.

  31.  We emphasise that Government should satisfy itself that the programme for managing radioactive waste is based on sound evidence regarding the short and long term risks posed, is considered as a national not just a local issue, and that the regulatory framework delivers the highest possible safety standards.

  32.  Natural England has provided technical environmental advice throughout the Strategic Siting Assessment of nominated sites, particularly with regard to the environmental assessments (HRA and AoS). Overall we agree with the conclusion that nine of the 10 sites nominated in England should be listed in the NPS as "potentially suitable" and progress to the application stage. All of the nominated sites are close to internationally protected nature conservation sites, and many face significant challenges in respect the evolution of our coastline. Final decisions on the suitability or acceptability of these sites should, therefore, only be made after full and detailed environmental impact assessment and "appropriate assessment" under the Habitats Regulations has taken place at the project level.

  33.  We support the Government's conclusion to exclude Dungeness from the list of potentially suitable sites in the NPS, due to the extreme difficulty associated with mitigating and compensating for the environmental impacts on a rare, internationally important shingle habitat, and in view of the long term sustainability of this coastal site.

TECHNOLOGY-SPECIFIC ENERGY NPSS

  Our main comments on EN2-6 can be summarised as follows:

  34.  In our view the Fossil Fuels NPS provides adequate guidance to the IPC and promoters, but there should be a stronger commitment and clearer timetable in EN-1 regarding the need to phase-out fossil fuel generation in the next decade.

  35.  We advise that the Renewable NPS should require the IPC to consider the sustainability of biomass feedstocks. We are not confident that sustainability standards are robust enough through the Renewables Obligation Certificates process, as suggested in the NPS.

  36.  We support the application of the Holford rules in identifying routes for power lines as set out in the Electricity Networks NPS, but would like to see greater emphasis on the need for strategic planning for electricity networks, which fully considers the need to avoid designated areas wherever possible and minimise environmental impacts. There is a particular need for careful planning and clear guidance for the landfall of offshore cabling.

  37.  Natural England would expect electricity networks to avoid protected sites and landscapes wherever possible. Where impacts are unavoidable, undergrounding should be given serious consideration. The section on undergrounding of power lines in the Electricity Networks NPS should be strengthened to avoid giving the impression that financial considerations will, almost invariably, outweigh the need to avoid adverse environmental impacts.

APPRAISAL OF SUSTAINABILITY

  38.  The Appraisal of Sustainability (AoS) for EN-1 needs to give consideration to a wider range of reasonable alternatives. It is recognised that an AoS/SEA of a plan that does not contain location specific proposals is going to be less detailed than one that does. However the alternatives selected within the AoS for the Overarching Energy NPS do not allow for a reasonable comparison and the objectives are too narrowly defined to identify which alternative policy options are environmentally desirable. We recommend using the approach in the Nuclear NPS AoS, the first two stages of which are applicable to a non-location specific NPS.

  39.  The AoS also needs to place greater emphasis on the wider policy framework within which the proposals will be delivered. This is particularly relevant for identifying indirect, cumulative and additive effects. The AoS should consider the implications of other current and forthcoming NPS, the Marine Policy Statement, development plans and other proposed infrastructure developments.

  40.  Detailed amendments are required to the AOS to enable Natural England, as a statutory adviser on SEA, to determine if the selected policy options are the least environmentally harmful, and the identified impacts, mitigation measures and monitoring requirements are correctly set out.

HABITAT REGULATIONS ASSESSMENT

  41.  We appreciate the difficulty of carrying out the Habitats Regulations Assessment (HRA) of strategic high-level plans but feel that the HRA of EN1-5, as currently drafted, lacks rigour. We generally support the conclusions of the HRA of EN-6 (nuclear).

  42.  The Habitats Regulations Assessments for both EN1-5 and EN6 have concluded that it cannot be excluded on the basis of objective evidence that there will not be an adverse impact on the integrity of sites protected by the Habitats Regulations; Natural England supports this conclusion. The HRAs also conclude that there are no feasible alternative solutions and Imperative Reasons of Overriding Public Interest (IROPI) exists. We recommend inclusion of a clear statement, in both the HRAs and the NPS themselves, that the findings of no alternative solutions and IROPI only apply to the NPS, and not to individual applications.

  43.  The IPC will be a competent authority for the purposes of the Habitats Regulations and will therefore have to ensure that it correctly applies the tests within the Habitats Regulations when considering applications for development consent. EN-1 directs the IPC to consider a narrow range of alternative solutions and to assume that need has already been demonstrated. This risks guiding the IPC to decisions that do not meet the requirements of the Habitats Regulations.

January 2010





 
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