Decarbonising the UK’s Electricity Grid: From Community Energy to Global Security

Reliance on gas for electricity generation in the UK is a central concern for the Bath MP. She notes that the UK’s dependence on gas is environmentally and economically untenable.² Using gas for electricity generation contributes significantly to the UK’s greenhouse gas emissions.³ This undermines efforts to meet the nation’s target of Net Zero emissions by 2050.

The UK’s reliance on imported gas exposes it to fluctuations in the global energy market. This subjects households to higher energy costs, worsening the symptoms of the cost of living crisis. Wera Hobhouse has noted to Ministers that this dependence leaves the UK in the hands of the volatile global fossil fuel market, as seen with the Russia-Ukraine war.⁴ Even households that have switched to renewable electricity suppliers are indirectly affected by rising gas prices. This is where gas still plays a significant role in the energy mix.⁵

In July 2024, Wera Hobhouse hosted over a hundred industry experts, civil servants, and MPs, to the Parliamentary reception for The Parliamentary Renewable & Sustainable Energy Group (PRASEG). At the event, Wera led calls for renewable innovation and the need to deliver a just transition. Previous governments have failed to match the pace required to meet current UK targets.⁶ Wera understands the importance of greater ambition and investment in renewables to realise a green and secure market.

Solar panels convert sunlight into electricity via photovoltaic (PV) cells that generate an electric current when exposed to sunlight.

Solar power is a key area of significant growth. In 2021, solar energy provided almost 5% of the UK’s total electricity supply.⁷ However, the Bath MP has emphasised to Ministers that this figure has the potential to be much higher. The potential for rooftop solar in particular, remains largely untapped. Wera advocates for policies that would incentivise homeowners and businesses to install solar panels. This aims to decentralise electricity generation and put power in the hands of its consumers.

In 2023, Wera visited Beechen Cliff School with Bath & West Community Energy to hear about how their rooftop solar installation is set to save them approximately £50,000 a year, enough to hire a new teacher.

Large-scale solar farms, which can even operate subsidy-free,⁸ also present an opportunity for further expansion.

Yet in 2022, only 0.7 GW of solar capacity was deployed in the UK, far short of the 4.3 GW per year required to meet our target of 70 GW by 2035. The Bath MP has consistently called for more government support to accelerate solar deployment to address this gap.

Wind rotates a turbine’s blades, spinning a generator to produce electricity.

Wind power is another key component of the UK’s renewable electricity strategy. Wera Hobhouse has long-been a strong advocate for onshore and offshore wind development. She was particularly vocal during the de-facto onshore wind ban of the previous government. Onshore wind is typically more cost-effective than offshore wind. Though planning and regulatory barriers have slowed its growth in recent years.⁹ The new Labour government has since lifted restrictions. They also oversaw record breaking Contracts for Difference (CfD) rounds earlier this year. The auctions support renewable energy projects by guaranteeing a fixed price for the electricity they generate. In 2023, Allocation Round 5’s (AR5) budget was cut by 28% compared to Allocation Round 4 (AR4). It fell from £285 million to £205 million.¹⁰ Wera Hobhouse raised concerns about the implications of the cut to the then Energy Minister Graham Stuart to ensure that the CfD rounds were bringing the most value possible to both the planet and the consumer. Meanwhile, offshore wind has the potential to generate large amounts of electricity and is supported by Wera. Unlike traditional offshore wind farms floating wind farms can be located far out at sea. Here, wind speeds can be higher and more consistent. Wera Hobhouse has argued that floating offshore wind could generate enough electricity to meet a significant portion of the UK’s energy needs¹¹ and has called to make this a reality.

Tides rotate a turbine’s blades, spinning a generator to produce electricity.

Tidal Stream also saw its ring-fenced budget in the 5th CfD Allocation Round cut by  half. The UK is home to the world’s second largest tides, harnessing their power at least 11% of our current electricity demand.¹² It is also projected to be cheaper than new nuclear power and could save £1bn per year for UK households by 2035.¹³ It could also boost the UK economy by £1.4bn by 2030 and support thousands of new green jobs.¹⁴

Wera Hobhouse has been at the forefront of uniting industry and Parliamentarians on this issue. She hosted a roundtable with the Marine Energy Council in the House of Commons last year. The group discussed the potential to harness wave power and the possibility of co-locating wind and wave power.

Recent research shows that co-locating wave and wind energy will deliver a saving of up to 12% in the Levelised Cost of Energy (LCOE) for both projects.¹⁵

Nuclear, while providing a low-carbon source of electricity, demands high building costs. This means it is often a costly alternative to renewables. Wera has criticised previous governments’ reliance on nuclear power, pointing to the potential costs for consumers.

The Sizewell C nuclear project, for example, is expected to add approximately £12 per year to household energy bills during its construction.¹⁶ The Bath MP has argued that greater investment in renewables earlier could have mitigated the need for such costly projects.

Wera Hobhouse notes that to meet our renewable electricity targets on time, we have to bring individuals along with us by showing them its benefits. Community energy is a promising answer to this challenge, offering tangible and immediate economic benefits while paving the way to Net Zero.

Wera has highlighted the success of community energy initiatives in her own constituency, such as Bath and West Community Energy, which has raised £11 million from local investors and contributed to local projects aimed at reducing fuel poverty and promoting sustainability.¹⁷

Not only do these projects provide clean energy, but they also create jobs, support local economies, and increase public buy-in for renewable technologies. Wera Hobhouse has consistently called for enabling mechanisms to unlock the potential of community energy and accelerate its contribution to the UK’s electricity generation. Recently, she challenged Ministers on the lack of provisions for supporting community energy projects in Labour’s Great British Energy Bill.

The transition to renewable electricity also requires significant upgrades to the UK’s electricity grid. Wera frequently emphasises that the current grid infrastructure is not equipped to handle the expected doubling of electricity demand by 2050. This is driven in part by the electrification of transport and heating.¹⁸

A major challenge for new renewable projects are long wait times for grid connections, particularly for offshore wind projects. Nearly 100 GW of electricity from offshore wind farms is currently awaiting grid connections. Some developers have faced delays of up to 13 years.¹⁹ Wera has called for investment in grid infrastructure to overcome these bottlenecks and ensure that renewable electricity can be delivered to consumers efficiently.

Additionally, she has raised concerns about the potential environmental impact of grid upgrades. National Grid’s visual impact program aims to reduce the impact of overhead power lines on sensitive landscapes. She notes this is a positive step, but that there is room to establish greater assurances. Namely that grid expansion is both environmentally responsible and acceptable to local communities.

Additionally, she has raised concerns about the potential environmental impact of grid upgrades. National Grid’s visual impact program aims to reduce the impact of overhead power lines on sensitive landscapes. She notes this is a positive step, but that there is room to establish greater assurances. Namely that grid expansion is both environmentally responsible and acceptable to local communities.

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