28 October 2010 | Luca Del Buono

 

The UK government is set to maintain its commitment to being one of the "greenest governments ever" by continuing to fund green initiatives such as the Green Investment Bank, nuclear energy, offshore wind manufacturing and carbon capture and storage (CCS) while other areas of funding are drastically scaled back as part of the Comprehensive Spending Review.

Science and the environment have been allowed a £4.6 billion budget which will amount to a cut of less than 10 per cent over four years. From the budget, efficiency savings of some £324 will have to be found.

Chancellor George Osbourne announced the UK to be a world leader in scientific research and that the area should therefore lose as little funding as possible,

"Research and technological innovation will help us with one of the greatest scientific challenges of our times-climate change-and it will support new jobs in low-carbon industries."

The UK government is set to provide considerable funding for the nuclear energy sector. In total, eight sites around the UK are currently being considered as potential sites for the construction of nuclear plants. These are: Bradwell, Hartlepool, Heysham, Somerset, South Gloustershire, Cumbria, Suffolk and the Isle of Anglesey.

Chris Huhne, Secretary of State for Energy used the recent Energy Review to relay details on what exactly will be required from new nuclear developers in terms of clean-up and further commented on the government's policy of no subsidy for nuclear power.

Mr Huhne said, "I'm fed up with the stand-off between advocates of renewables and of nuclear which means we have neither." He continued to emphasise the importance of utilising all available energy sources as a means of ensuring energy security during the coming years.

It has since been suggested the government is considering selling its stake in a company that makes enriched uranium for nuclear power in order to kelp fund the new Green Investment Bank. Announced during last week's spending review, the government has pledged to provide some £1 billion for the bank, which will invest solely in low-carbon technology.

There are, however, complaints that £1 billion of funding is simply not enough. Greenpeace executive director John Sauven said, "If this government wants to live up to its own billing as the greenest ever, this bank must be independent and properly financed. Anything less will dash hopes of a new green economy for Britain, and our chances of tackling climate change and energy security."

Business coalition Aldergate Group has suggested that, by using other sources to build on the £1 billion of direct funding, the bank's capitalisation could soon reach the £4-6 billion recommended by business leaders and independent analysis.

Mr Huhne also succeeded in securing £1 billion for CCS-half the amount he originally bid for. The Department of Energy and Climate Change (DECC) suffered an annual cut in budget of five per cent and promises to reduce resource spending by 18 per cent in real terms and increase capital spending by 41 per cent in real terms.

It has also been announced some £200 million is to be invested in low carbon technologies including offshore wind. The announcement has been backed by trade association RenewableUK, whose £60 million fund to upgrade ports for wind turbine manufacturing has been retained within the £200 million pledge.

 

Author: Tom Watts | Climate Action
Images: Nuon & Berni Beudel | Flickr

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