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Policy & regulation

Latest updates and analysis on how government and regulators' decisions will impact the sector 

Editor's picks

Natwest CEO to chair energy efficiency taskforce
Alison Rose, the chief executive of Natwest, has been announced as the co-chair of the government’s Energy Efficiency Taskforce. The group, which will be jointly led by energy minister Lord Callanan, has been tasked with helping to reduce national energy consumption by 15% over the next seven years through insulation measures, boiler upgrades and other energy efficiency initiatives.
News
UK faces £62bn green investment shortfall
The investment climate for low carbon generation has “deteriorated significantly” in recent months, with the UK facing a potential £62 billion shortfall over the next decade, industry experts have warned. A report published by Energy UK states that without “rapid government intervention” the UK’s energy security and net zero targets will be undermined due to a lack of private sector investment, with “crippling consequences for the country”.
News
£250m water pollution fines ‘still on the table’
Government is still pursuing hefty fines of up to £250 million as a deterrent to polluters, Therese Coffey confirmed. The Defra secretary demanded detailed plans on how water and sewerage companies intend to address each combined sewer overflow in their region as the sector works to minimise the risk of harm from discharges.
News

Featured

Exorcising the ghosts of BEIS
The formation of a new energy security and net zero department has been welcomed by the utilities sector but will it actually prove to be an improvement on its sprawling and ineffective predecessor? David Blackman asks whether a standalone energy department risks being sidelined and if net zero really will be at the heart of its mandate.
Analysis
Capacity Market changes set out exit strategy from gas
The government’s proposals to align the Capacity Market with the UK’s net zero target have been welcomed as a sensible pathway away from unabated gas generation. However, experts tell Utility Week this commitment must be matched by a concerted push to ramp up low-carbon flexibility.
Analysis
What’s wrong with Ofgem?
The controversy over forced installations of prepayment meters has sparked renewed questions over whether Ofgem is failing to enforce its own rules. Former senior partner Maxine Frerk details her concerns around whether the regulator is listening to the wrong voices.
Opinion

Latest in Policy & regulation

Hydrogen ‘mixed messages’ undermine boiler scheme
Government "mixed messaging" and "misinformation" about hydrogen’s future role in home heating is unhelpful because the fuel is "not a serious option in the short to medium-term", peers have warned. A Lords committee concludes that the uptake for the Boiler Upgrade Scheme has been undermined by government messaging on hydrogen.
News
Bevan calls for fact-based water debate
In his final water-related speech as head of the Environment Agency James Bevan called for a debate about rivers and pollution based on facts, rather than "wild assertions, myths and outright untruths". He said every person has a role to play to improve the water environment but said water companies and farmers as "the main polluters" need to address culture and behaviour change as well as invest in assets and infrastructure.
News
Ofgem seeks alternatives to forced PPM installs
Ofgem is exploring options to reduce the need for prepayment meters to be installed in consumers’ homes following the recent outcry over alleged supplier malpractice. Meanwhile the regulator’s chief executive Jonathan Brearley has called for installations to be reversed and compensation offered where rules have been broken.
News
UK low-carbon investment set to be blown off course
With economic and political headwinds threatening the UK’s transition to net zero, Energy UK fears that the country is set to lose out on £62 billion of low carbon investment over the next decade. Yet the trade body believes it is not too late for the government to act. Writing for Utility Week, policy experts Adam Berman and Mark Williams outline a series of measures they believe the UK will need to make the market sufficiently attractive for investors.  
Opinion
Hinkley C’s £6bn cost hike tests UK’s nuclear resolve
A further £6 billion cost increase at Hinkley Point C will test the government’s commitment to funding future large-scale nuclear projects, according to energy industry experts. EDF has admitted that construction of the 3.2GW power plant is now estimated to cost as much as £32.7 billion.
News
‘Archaic’ Treasury rules threaten heat pump rollout
Around two thirds of the £150m allocated this year by the government for its flagship home heating upgrade scheme looks set to be clawed back under “archaic” Treasury rules, a leading figure in the heat pump sector has warned.
News
January sees record EBSS redemption rates
More than £7 billion from the Energy Bills Support Scheme (EBSS) has been provided to 98% of eligible households, with January seeing a record number of prepayment meter (PPM) vouchers redeemed. To date 76% of all EBSS vouchers have now been redeemed.
News
Weekend press round-up: Japanese owners put SES Water up for sale
The Japanese owners of SES Water are reportedly putting the business up for sale due to their reluctance to inject fresh equity into the highly-geared company. Meanwhile, Grant Shapps, head of the newly-formed Department for Energy Security and Net Zero, discusses his plans to make British energy the cheapest in Europe. This and more in Utility Week’s latest round-up of the weekend’s papers.  
News
Solar target would swallow less land than UK’s airports
Meeting the government’s target for a fivefold increase in solar generation by 2035 would require less new land than that currently covered by the UK’s airports, according to backers of solar power. Solar Energy UK has presented figures MPs in a bid to counter concerns that valuable agricultural land will be swallowed up in order to meet increased solar generation.
News
Unspent boiler upgrade money will be lost, minister admits
The energy minister has admitted that underspends on the £150 million budget this year for the Boiler Upgrade Scheme (BUS) will be lost and cannot be carried over. The latest figures from Ofgem show the total value of BUS vouchers issued by the end of January was just under £50 million - with only two months remaining for the first phase of the initiative. 
News
How smart are Britain’s energy tariffs?
With energy emerging as a kitchen table issue, smart tariffs offer a way for households to save money on their bills, while contributing to the creation of a secure, decarbonised electricity system. But suppliers face numerous challenges in unleashing their full potential, including outdated systems and markets that fails to properly reward households for their flexibility. Tom Grimwood examines the current state of the market for smart tariffs and remaining barriers to their widespread adoption.
Analysis
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