Earth is home to 8.7 million species

There are approximately 8.7 million different types of plant and animal on Earth but 90 per cent of them have yet to be discovered, according to new estimates writes the Daily Telegraph's Nick Collins.

Previous guesses had put the total number of different species at anywhere between three million and 100 million, but a new calculation based on the way in which life forms are classified puts the estimate at the lower end of that scale.

The list of known species currently stands at about 1.2 million, but experts said that advances in technology meant that the remainder could be found and classified within the next century.

The study was undertaken by researchers from the Census of Marine Life, a ten-year project involving 2,700 scientists from more than 80 countries aimed at assessing the diversity of life in our seas and oceans which concluded in October 2010.

Since the 18th century species have been officially classified under a pyramidlike system, with each placed in a series of related groups. For example humans are categorised in the same order as chimpanzees, the same class as dogs and cats and the same overall kingdom as all other animals.

By analysing the rate at which the more generic groups, such as mammals and fish, break down into smaller ones scientists were able to predict the number of species at the lowest level despite not having found them yet.

When tested against well-known groups like mammals, birds and fish, the method accurately predicted the number of individual species, study leader Dr Camilo Mora said.

The formula predicted there are 7.77 million species of animal, of which fewer than one million have been catalogued, 298,000 species of plants, and 611,000 species of fungi on the planet.

Dr Sina Adl, one of the researchers, said: "If we really want to understand how our environment works we need to have a sense of what the species in it are and how they interact.

"If we have been trying to manage the environment with only 10 per cent of its species known, then it is no surprise that we are not doing a very good job."

Most of the species which have been found are vertebrates, like mammals and birds, while many of the 7.5 million undiscovered species lurk in the seas and in the soil around us.

Scientists currently discover about 15,000 new species each year, meaning it would take almost 500 years to classify every plant and animal on the planet at the current rate, but technological advances could see the work completed sooner.

In a commentary accompanying the study in the Public Library of Science Biology journal Lord Robert May, of Oxford University's zoology department, said: "My optimistic guess would be around a century to complete our assessment of the diversity of life on earth."

Funding a Green Future 2012 to support Climate Week

We are delighted to announce that next year's Funding a Green Future will be supporting Climate Week 2012, which runs between 12-18 March 2012.

Climate Week is a supercharged national campaign to inspire a new wave of action on climate change.

Culminating in a week of activities and events, Climate Week showcases the practical solutions to climate change being developed in every sector of society. By highlighting real examples, the campaign aims to inspire thousands more, renewing our ambition to create together a more sustainable, low-carbon future.

The UK’s first Climate Week in March 2011 saw nearly half a million people participating in over 3,000 events in Britain’s biggest ever environmental occasion. Events were run by schools, businesses, charities, government, local councils, trade unions, community groups and others. There were more than 1,000 pieces of media coverage, and over a quarter of British adults were aware of Climate Week.

To find out more about Climate Week visit http://www.climateweek.com/

Cycling worth £3bn a year to UK economy

A Report by the London School of Economics says industry employs 23,000 and generates £500m for the state annually, as manufacturers see sales rise by 28%

 

 

Cycling generates nearly £3bn a year for the UK economy, according to a report from the London School of Economics. The figure includes £51m in revenue for British manufacturers from the 3.7m cycles sold in 2010 – a rise of 28% on 2009.

The gross cycling contribution of £2.9bn for the economy takes into account factors such as bicycle manufacturing, cycle and accessory retail and cycle-related employment.

Commissioned by the broadcaster Sky and British Cycling, the report said every cyclist in the UK has a "gross cycling product" of £233 annually.

Employing around 23,000 people, the UK cycling sector made a £500m employment contribution in 2010, including more than £100m in income tax and National Insurance contributions last year, the report said. A total of 208m cycle journeys were made in 2010, with a net addition of 1.3m more cyclists taking to their bikes compared to the previous year, bringing the total to 13m.

Of these new cyclists, half a million are now cycling regularly. New cyclists alone contributed £685m to the UK economy, with existing regular cyclists representing a total market value of £635m. The report also showed that regular cyclists take 7.4 sick days per year, compared with 8.7 sick days for non-cyclists.
It added that a 20% increase in cycling by 2015 would save the economy £207m in reduced traffic congestion, £71m in lower pollution levels and £52m in NHS costs.

Dr Alexander Grous, of the LSE, who conducted the research, said: "The good news is that structural, economic, social and health factors seem finally to have created a true step-change in the UK's cycling scene."

The transport minister, Theresa Villiers, said: "The government is committed to encouraging cycling as a healthy and enjoyable way of getting around. It helps reduce congestion, gives children more opportunities for exercise, and it can play a part in the fight against climate change.

Stewart Kellett, British Cycling's recreation director, said: "This report is further evidence that when more people get involved in cycling there are measurable benefits to the individual, their family, their employer, the environment and the economy as whole."

Ian Austin MP, vice-chairman of the all party parliamentary cycling group, said: "This important report shows that encouraging greater participation in cycling can bring not only social but economic benefits for Britain."

Article orginally appeared on the Guardian's website

Energy-saving light bulbs leap in price

The cost of energy saving light bulbs is rising sharply ahead of the European Union ban on the traditioanl 60-watt bulbs. First the European Union banned the sale of traditional 100-watt light bulbs in favour of "energy-saving" alternatives.

By Edward Malnick, the Daily Telegraph

Frosted-style bulbs, too, disappeared from British shop shelves on orders from Brussels.

Now, at the end of this month, comes the biggest reform of all, when all production of basic 60-watt light bulbs will cease. Once stocks run out, householders will have to rely on low-energy Compact Fluorescent Lamps (CFLs) instead.

Whilst the new-style lights last longer and use less electricity, critics complain that they are less bright.

And with just weeks to go before the September 1 switch date, consumers have suffered another blow: the cost of CFLs is soaring.

Manufacturers have blamed recent price rises on the growing cost of raw materials required to make the bulbs, and say there are further increases to come.

In a second, parallel move, the price of the traditional-style 60-watt bulbs has also gone up sharply as the date approaches for their manufacture to cease.

A similar pattern was observed in 2009, when the price of 100-watt bulbs increased sharply just before they went out of production – at a time when some shops and consumers were stockpiling the old-style bulbs.
Giles Chichester, the Conservative energy spokesman in the European parliament, accused manufacturers of "exploiting a market opportunity" by raising the price of 60-watt bulbs.

The EU announced in 2008 that it would phase in a ban on the manufacture of old-style incandescent light bulbs, used since Victorian times, as part of its drive to save energy and cut carbon emissions.

However, the CFLs that are replacing them contain small quantities of expensive rare earth elements. Makers say that growing demand for the substances, particularly in China where they come from, has forced prices upwards.

One major wholesaler, Sparks in north London, said the price charged by its supplier for an 11-watt CFL had risen from £1.39 in June to £1.67 today, an increase of 20 per cent.

For consumers, the price of a Philips 11-watt CFL at Argos has risen from £3.99 in September 2009 to £4.99 last week, a rise of 25 per cent. At Sainsbury's, the cheapest energy-saving bulb is now £2, up from £1.21 for the same bulb two years ago – a rise of 65 per cent.

In letters sent to lighting suppliers and seen by The Sunday Telegraph, manufacturers say they expect even more increases later in the year. The sales director of Sylvania, one of Europe's largest bulb-makers, told his customers that China's near-monopoly over the key raw materials lay behind the increase.

He wrote: "At the end of last year, the Chinese government decided to reduce the export of rare earth elements to protect their fast-diminishing reserves. This has resulted in limited availability of phosphors in 2011 and a steep increase in price."

Duncan Chamberlain, the trade commercial manager of Philips, wrote: "Philips Lighting expects that further price increases may be necessary during the course of 2011." The price of traditional 60-watt bulbs has doubled since the EU announced its ban in 2008. One manufacturer which charged 16p in 2008 now charges 33p, and at Sainsbury's the price per bulb has gone up from 70p to £1.

James Shortridge, managing director of the Ryness lighting shop chain, said that such sharp increases in wholesale prices were last seen around the time that the 100W bulb was banned in September 2009.
He told The Sunday Telegraph: "When the 100W ban came in, the last orders we placed were 30 per cent higher in cost than the previous ones. Their production plant did not suddenly leap in cost from one month to the next, it's just a case of 'These are the last orders, we are going to take what we can for it.'"

Whereas 11-watt CFL bulbs are marketed as being the "equivalent" of a traditional 60-watt bulb, tests conducted by this newspaper have shown they produce less than 60 per cent of the illumination.
Consumers were encouraged to accept the new-style bulbs with a Government scheme – now ended – which saw them sold for as little as 10p at supermarkets and DIY stores, thanks to subsidies provided by energy giants in return for points towards carbon reduction targets.

The Energy Saving Trust's website states that the price of their recommended light bulb starts from between £1 and £2. However, consumers will struggle to find CFLs manufactured by the leading brands recommended by the Trust at this price.

Mr Shortridge said that not a single manufacturer sells the energy saving bulbs for less than £1.80, which are in turn being sold to customers for over £2. Consumers have been warned that cheaper, non-branded alternative bulbs have been known to explode and to break light fittings.

Sustainable Procurement

What is sustainable procurement?

Sustainable procurement is an approach to buying products and services that takes into account the economic, environmental and social impacts of what you buy. Looking for Carbon is about supporting action on climate change and therefore this guide focuses on the environmental impacts of procurement and particularly reducing carbon emissions in the supply chain. The aim is to explore how sustainability considerations complement other key business criteria such as cost, value-for-money and stakeholder preference.

Sustainable procurement means looking at the impacts of the product or service on the environment over its entire lifecycle from creation to disposal. Taking paper as an example, you would assess whether the paper is made from virgin pulp or a form of recycled product, whether it is from a sustainable source, the production process, how it is packaged, how it is delivered to you and whether you can recycle it.

The benefits

Taking sustainability into consideration in purchasing decisions is not merely about being seen to be green, there are many potential business benefits. Recent CIPD research reveals that more than 50 percent of people would prefer to work for a company with a strong environmental policy and clients are increasingly asking their legal advisers to demonstrate their green credentials. Being ahead of the game can give firms competitive advantage, but equally, as more firms build environmental considerations into the procurement process it will drive suppliers to develop more, better and cheaper low-carbon products and services. So it really is a win-win situation.

Business case	Example
Reduced exposure to reputation risk	Strengthened brand, enhanced community relationships, etc
Competitive advantage	Both public and private sector clients assess law firms on environmental credentials
Cost savings	Lower consumption of energy and other resources
Attract and retain talent	Employees are increasingly concerned with firms' environmental credentials
Anticipating legal obligation	Being ahead of the game on legislative requirements to reduce carbon consumption

Invitation - Low Carbon Construction, 14th September 2011, UEA

Invitation In the first of a regular series of events on low carbon construction Promoted by UEA’s Low Carbon Innovation Centre and InCrops Enterprise Hub we focus on PassivHaus developments in the region.  These events will be of interest those involved in construction. PassivHaus principles are a key methodology for building low carbon homes, resulting in minimal heating demand. The PassivHaus standard can help achieve high levels of the Code for Sustainable Homes, BREEAM and significantly reduce heating bills. This event considers the issues around design and performance. 14 September 10:00 -13:00, Sportspark UEA, Norwich The event is FREE to attend. Registration If you would like to attend please contact Julia O’Rourke, InCrops events co-ordinator: j.orourke@uea.ac.uk, tel.: 01603 591765. Please state your preference if you wish to go on one of the tours.

Programme Registration and coffee from 10:00. Presentations to start at 10.30. Hear about BREEAM, the Code and PassivHaus -Jennifer Hardi, Low Carbon Futures and Refurbishment at Building Research Establishment (BRE) UEA Exemplar Building: PassivHaus, BREEAM and bio-based materials -Ben Binns, InCrops Enterprise Hub Wimbish PassivHaus Project: the Vision -John Lefever, Regional Head of Development,  Hastoe Housing Low Carbon Construction and Performance: the Wimbish PassivHaus project -Martin Ingham, Associate Consultant, Low Carbon Innovation Centre 12.15 Questions and discussion - close at 13:00 Optional extra: Tour of Thomas Paine Building and UEA Biomass Power Plant . Places strictly limited to 10 per tour – please book and state your preference. Click here for more information about this event.



Enabling the Green Economy

The government's vision that sets out the policy landscape over the next decade must specify actions as well as warm words

 

The notion that climate change can present business opportunities is old news. The debate is moving on. With unprecedented private and public sector funds pouring into environmental projects around the world, business leaders are asking which country is leading the green economy race and which markets offer the most attractive returns at least risk.

While the UK's economy has strong green foundations on which to build, it is rapidly losing ground to developing nations and other competitors. This trend is directly related to aggressive regulatory and fiscal policy packages that countries are putting into place, such as China's new five-year plan that seeks to underpin a "clean revolution" in its economic development.

Ministers recognise that the UK must do better and have recently announced a plethora of policies aimed at taking the handbrake off. These include reforms to the energy market and frameworks to incentivise energy efficiency in homes and businesses.

However, in the global sprint towards sustainability, legislation alone will not be enough. In a recent report the Aldersgate Group sets out the case for a comprehensive green growth strategy. The report argues that the strategy should include robust regulation to reduce polluting activities and policies that address market barriers (such as access to bank finance and reforming planning laws). It also argues there should be incentives to accelerate growth in dynamic sectors where the UK has the skills base and know-how to succeed on the global stage.

The central message is that green growth is not just about boosting traditional environmental technologies but the transformation of the whole economy.

Policy-makers increasingly recognise that green growth is relevant to all industries. This will be reflected in the next few days when the government publishes its vision, entitled Enabling the Transition to a Green Economy, for how it can work together with business. Aimed at corporate decision-makers, it will set out the policy landscape over the next decade, including the likely economic impacts and implications.

At its heart, the vision seeks to boost the confidence of senior business executives to invest in going greener. This should be welcomed and is a step in the right direction. Businesses are increasingly perplexed by the wide range of overlapping regulations, perverse incentives and endless acronyms. A beginners toolkit will help time-pressured sustainability professionals get their heads round the green policy labyrinth and help sell business strategies to the board.

Nevertheless, actions speak louder the words. Regulation is required to address market failures where actors who damage the environment do not bear the costs of that damage. What matters is the effectiveness and ambition of environmental policies rather than raising awareness about them.

The biggest test of the vision will be whether it can genuinely increase policy certainty. Will it provide businesses with the confidence to accelerate the greening of their operations? Can it reassure investors that there won't be some nasty policy shocks or ministerial U-turns in a few years time? What can be put in place now to ensure that the next government wont change course?

Above all, the vision must play its part in a broader green growth strategy that is the envy of the world. This is vital if the UK is going to gain share in emerging markets and build competitiveness through adopting more resource efficient practices. Get this right and the prize is more jobs and greater prosperity in a resource-constrained world.

This article first appeared on the Guardian Online on 4th August 2011 and was written by Andrew Raingold. Andrew is executive director at the Aldersgate Group, an alliance of leaders from business, politics and society that drives action for a sustainable economy and he gave a talk at Southend on Sea Borough Council's 'Funding a Green Future 2011'.

Temperature-Regulating Building Material sucks up excess Heat

BY Ariel SchwartzTue Aug 2, 2011

Simply set your walls to your desired temperature and sit back as they cool your room.

These days--apparently realizing that paying for heating and cooling costs money--building owners take energy use seriously: extensive insulation, natural light and cross-ventilation, and intelligent temperature controls are just some of the ways that LEED and other energy-efficient buildings keep costs down. Now Chinese researchers have come up with another tool in the energy-saving arsenal: a building material that can release and retain heat on command.

Developed at the University of Nottingham Ningbo China (UNNC), the material can be set to absorb any extra heat in a room--so if, for example, a user decides they want to keep the temperature at 70 degrees, the material can absorb any extra heat above that temperature. This doesn't mean the end of the air conditioner; the device can still help control air movement and humidity. The building material just soaks up extra heat.

"There are quite a few of these materials on the market but they all have limitations. When it comes to releasing the heat in a short period there is a time lag... [and] in the past when we've tried to improve on the thermal response, you lose some capacity to store the original amount of energy," explained project leader Jo Darkwa in an interview with the The Engineer. "The challenge was how to overcome these two barriers, making it more responsive but retaining its original abilities. We’ve been able to do that and manufacture samples at very low cost and using local material."

There are still hurdles to overcome before the material can be commercialized. The temperature at which the material starts absorbing heat is currently set during manufacturing, but the researchers want consumers to be able to set the temperature once the material has already been applied. Simply set your thermostat and watch as your walls absorb heat out of the room.

Once the material is ready to go, it will probably end up in China first. The country is experiencing a massive building boom, and developers in Ningbo (UNNC's home city) are required by the government to include at least one "sustainable" energy technology in all new buildings. A low-cost heat-regulating building material seems as good a choice as any

Renewable Heat Premium Payment Scheme Launched

The Government has launched the Renewable Heat Premium Payment scheme to help householders across the country with funding towards the cost of installing renewable heating systems. The new £15 million initiative, which opens to applications today, will support up to 25,000 installations

Approximately 4 million householders in the UK do not have mains gas and have to rely on more expensive, higher carbon forms of heating, such as heating oil and electric fires. The scheme will mainly focus on these households.

The following technologies will be available through the scheme:

• Ground Source Heat Pump - £1,250 grant (for homes without mains gas heating).
• Biomass boiler - £950 grant (for homes without mains gas heating).
• Air source heat pump - £850 grant (for homes without mains gas heating).
• Solar thermal hot water panels - £300 grant (available to all households regardless of the type of heating system used).

The Government will also provide, for a significant sample of participants, additional meters for their heating equipment.

£3 million of the overall £15 million will be set aside for registered social landlords to improve their housing stock. Details of how to apply for these funds will be announced at a later date.
Householders will need to ensure they have basic energy efficiency measures in place before applying.

Management of the scheme will be undertaken by the Energy Saving Trust and from today an information line and website will go live to provide people with more information. Householders can call 0800 512 012 or visit www.energysavingtrust.org.uk/RHPP

Grants will be available on a first come, first served basis and the scheme will close on 31 March 2012.

Video from Funding a Green Future 2011

The above clip was taken from Southend on Sea Borough Council's Funding a Green Future 2011 - a two day national conference for the public sector designed to provide key information about how they can take a proactive approach to the UK's transition to a low-carbon economy. The event included speakers from the Committee on Climate Change, the Environment Agency, the Carbon Trust, 10:10, the Energy Saving Trust and the event's charity partner Carbon Leapfrog.

The event proved a great success and will return on the 13th and 14th March next year from 'Funding a Green Future 2012'.

Climate Change Timeline

The following information sets out a timeline of key events in the climate change story.

1824

French physicist Joseph Fourier recognises the importance of the atmosphere in trapping heat and influencing the temperature of the Earth. He is the first person to use the analogy of a greenhouse.

1859

Irish scientist John Tyndall identifies water vapour and carbon dioxide as heat-trapping gases.

1896

Swedish chemist Svante Arrhenius makes the first climate prediction recognising that doubling existing CO2 levels could lead to an increase in global temperature of 5oC and that halving CO2 could lead to an Ice Age.

1958

American scientist Charles David Keeling makes the first direct measurement of atmospheric CO2, on Mauna Loa, Hawaii (316 parts per million). The ‘Keeling Curve’ has since become a crucial tracker of carbon dioxide emission levels in our atmosphere.

1979

The first World Climate Conference voices concern that “continued expansion of man's activities on earth may cause significant extended regional and even global changes of climate”.

1988

The International Panel on Climate Change (“IPCC”) is established by the United Nations to provide policy-makers with a source of information on the causes and impacts of climate change, and adaptation and mitigation options to respond to it. The IPCC is made up of some of the world’s leading climate scientists and advisors.

1990

The First Assessment Report of the IPCC is published: it states that human activities are significantly adding to concentrations of greenhouse gases and global temperatures have risen by 0.5 °C over the previous 100 years.

1997

The Kyoto Protocol sets binding targets for greenhouse gas reductions by industrialised nations of 5% against 1990 levels, over the five-year period 2008-2012.

1998

Globally it is the warmest year ever recorded.

2001

The IPCC states that most of the warming over the last 50 years is likely (greater than 66% probability) to have been caused by man-made greenhouse gases. This is a major turning point in how the world views climate change.

2003

Europe experiences its worst heatwave in 500 years, leading to an estimated 30,000 additional deaths.

2005

The Kyoto Protocol comes into force following its ratification by Russia. Globally it is the second warmest year on record. Global temperatures have risen by 0.74 °C over the last 100 years.

2007

The IPCC (Fourth Assessment Report) describes the warming of the climate system as “unequivocal” (as evident from observations), and most of the recent warming is very likely (>90% probability) to be the result of human activity. Arctic sea ice shrinks to its lowest extent since records began.

2008

CO₂ concentrations stand at 384 part per million, an increase of 37% since the start of the industrial era and higher than at any time in, at least, the last 850,000 years.

2009

The Copenhagen Climate Change Conference took place between 7-18^th December and is the culmination of two years worth of international negotiations to agree a new legally binding global deal to cut carbon emissions.

2025

A global temperature increase of around 0.4 °C above 2005 levels is expected.

Funding a Green Future 2012 dates announced

After the success of Funding a Green Future 2011, Southend on Sea Borough Council is delighted to announce that its second national conference on the UK's transition to a low-carbon economy will take place on Tuesday 13th and Wednesday 14th March 2012.

Funding a Green Future 2012 will again take the form of a two day national conference placing the private and public sector at the forefront of the UK's transition to a low carbon and more sustainable future.  The conference intends to demonstrate how each of us can take a bold and innovative approach to meeting today's pressing environmental challenges while making huge financial savings.

The Council is now in the process of inviting guest speakers and would like to know which organisations and topics you would like discussed at next years conference. After all it is an event for the public sector by the public sector.

Please email adrianharris@southend.gov.uk to put forward your ideas or register your interest to attend by booking your place now at http://fagf2012.eventbrite.com/

You can now view the presentations from last years event by visiting http://www.slideshare.net/ibexearth

First Pictures from Funding a Green Future 2011

Fuel poverty now affects one in five households

Fuel poverty affects one in five households

More than a fifth of all households in the UK were affected by fuel poverty in 2009, government figures have shown.Higher fuel bills meant the number of homes affected rose by one million, or 22%, to 5.5 million, the Department of Energy and Climate Change (DECC) said.

A household is described as being in fuel poverty when it has to spend more than 10% of its income keeping warm. DECC predicts that the numbers for 2010 and 2011 will have increased because of further rises in the price of energy.

DECC stated that "between 2004 and 2009, energy prices increased: domestic electricity prices increased by over 75%, while gas prices increased by over 122% over the same period...and this led to the rise in fuel poverty seen over this period," it added.

The following links are to news stories that feature related stories to this article:

British Gas, owned by Centrica, is putting up its domestic gas and electricity prices from 18 August.
Gas bills will rise by an average of 18% and electricity bills by an average of 16% - http://www.bbc.co.uk/news/business-14077651

Read how Chris Huhne set out the government's plan for cutting the UK's carbon emissions, while keeping the lights on, at a price people can afford. Plus: all the reaction with Damian Carrington's live blog -

http://www.guardian.co.uk/environment/damian-carrington-blog/2011/jul/12/electricity-reform-energy-nuclear-carbon

Big changes in the way Britain organises its electricity production were announced yesterday to meet the triple challenge of climate change, high bills for householders, and security of energy supply -

http://www.independent.co.uk/environment/climate-change/government-unveils-plan-to-cut-fuel-bills-2312643.html 

Energy Prices in need of reform by Chris Huhne

Energy prices: without reform, we’ll all be in the dark

By Chris Huhne (the article first appeared in the Daily Telegraph on 11th July 2011)

There is, as the managing director of Centrica said last week, “never a good time to raise prices”. Last week, the UK’s biggest energy company raised its gas prices by 18 per cent, and its electricity prices by 16 per cent. Centrica were following hot on the heels of Scottish Power with similar increases.

Winter may seem a long way off, but consumers are already feeling the chill as food and fuel prices erode household spending power. With 99 per cent of Britain’s energy supplied by just six companies, do not expect to find an easy escape.

Clearly, we must act. The first step is to understand the problem. Price hikes do not happen in a vacuum. They are symptomatic of fundamental ills in our energy system. Left untreated, they will return to damage our economy again and again.

Our fossil fuel habit leaves us hostage to global energy markets. The days of North Sea self-sufficiency are long gone. Today, we rely on imported fossil fuels to provide a third of our energy; in less than 15 years, it will be half.

This would not matter so much if we had a balanced energy portfolio where nuclear and renewables smoothed out volatile gas prices. But we are 25th out of 27 European countries for renewables, and have not built a nuclear power station since 1987.

 

Most of our electricity comes from gas-fired power stations, and 60 per cent of the world’s proven gas reserves are in Russia and the Middle East. Domestic bills track global prices. When wholesale gas prices rise, so does the cost of living in Britain.

Our ageing power stations also need replacing. Demand for electricity could double by 2050, as we opt for electric vehicles and heating. If we do not do something now, supply will not keep up and the lights will go out.

A quarter of Britain’s capacity will need replacing before the decade is out, as old coal and nuclear plants come to the end of their useful lives. It would not be safe, efficient or legal to prolong them.

Ofgem estimates that we need £110 billion of electricity investment by 2020. That is £30 million a day for 10 years – double the investment rate of the previous decade. It is the equivalent of 20 new power stations, together with the infrastructure to connect them to the grid.

This money has to come from somewhere. Not even the big six energy suppliers are big enough for the challenge. We need new blood in the electricity market. But businesses are not charities; they will not invest without a realistic expectation of return.

Inevitably, that will mean higher bills. If we were to leave the market as it is today, annual household electricity bills would rise by about the same amount as last week’s increase – about £200 higher by 2030.

What can be done? In the short run, we want consumers to take control. Energy companies must at present give consumers 30 days’ notice of price rises – rather than waiting more than two months before informing consumers that they are paying more for their energy. Ofgem calculates that consumers can save up to £200 a year by shopping around for the best deal. And just last month, I wrote to energy companies to ask them to provide better billing, letting customers compare their energy use – and the savings if they switched to cheaper tariffs.

For the most vulnerable consumers, such as the poorest pensioners, we are giving extra help. Our social discounts increase by 67 per cent compared with Labour. Nearly a million pensioners will benefit by £120 a year.

But we must also address the underlying problems of fossil fuel addiction and chronic dithering over investment. That is why the Coalition will today set out the most significant reform of our electricity market for 30 years. It will deliver secure, affordable energy for generations to come.

First, we will ensure the security of our energy supply by changing the way we contract for our back-up electricity. A “capacity mechanism” will make certain that when the nation’s kettles flick on at half-time, the system can cope.

Second, Chancellor George Osborne sent a clear message in the Budget that we should rely on clean electricity in future. His new carbon price floor will put a fairer price on carbon emissions and reinforce the underperforming EU scheme. This reduces uncertainty for investors, and provides an incentive to invest in low-carbon generation now.

Third, we will introduce a new system of long-term contracts to remove uncertainty and make low-carbon energy more attractive. Companies will be attracted to build new plants in our market because they will be able to plan for the price they will receive. Under our preferred option, if the market price is too low, they will get a top-up. But the good news for consumers is that if prices go sky-high, companies will pay back the difference.

Fourth, we will set a limit – an Emissions Performance Standard – on the pollution of carbon from new fossil-fuel power stations. This means that no new coal power can be built without a system to capture and store its carbon, but it will encourage new gas plants to keep the lights on in the short term.

Together, these reforms will secure our energy future. They will get us off the fossil fuel hook and on to clean, green and secure energy. Crucially, they will keep bills lower than they would be if we stuck with the existing arrangements.

Chris Huhne is Energy and Climate Change Secretary

Powering the UK: why the new electriciy plan is all about nuclear

The UK government has wanted new nuclear reactors for years, but a political contortion means explicit support is impossible. Result: a bewildering maze of measures

By Damian Carrington, the Guardian

Energy in the 21st century is about three Cs: carbon, cost and continuity of supply. But the UK government's major reform of the country's electricity market, due to be published on Tuesday, is fundamentally about only one thing: new nuclear power.

The plans are critically important. They represent a giant intervention in the UK's unusually free market and are intended to deliver the investment needed to meet the three Cs, that a free market would not provide. In other words, it's about keeping the lights on while cutting greenhouse gas emissions at a price that consumers can pay. The UK government decided long ago that new nuclear power stations are essential to deliver this.

In the last few days I have spoken to people in the power industry, energy academics, investors and green campaigners. All agree that the sprawling and complex maze of measures the government proposed has the central aim of getting new nuclear power stations built. Essential background reading on this is an article by Professor Catherine Mitchell at Exeter University, which deftly leads you through labyrinth.

I'll come to what to look out for in tomorrow's plan, but first I want to ask how the UK came to place such a big bet on nuclear? It started a decade ago, when the then Labour government opted for a 2010 renewable energy target of 10% (which was missed) instead of 20%, placing the emphasis instead on nuclear power. Government and the nuclear industry have been in each others pockets ever since, as shown by the shocking collusion to downplay the Fukushima disaster, just hours after it happened.

Fast forward to this government and you have the unhappy coupling of the Conservative's pro-nuclear stance and the LibDem's once stern opposition. The mutant offspring of this was the pledge that new nuclear could go ahead providing there was no subsidy by taxpayers. That political contortion is the direct cause of the complexity of the measures: they have to support nuclear without explicitly supporting nuclear.

Of course, the "no subsidy" claim is ludicrous in principle, given that taxpayers plays the same role for the nuclear industry as they did for the banks: they bail them out when things go wrong, an implicit subsidy.

But it's ludicrous in practice too. One of the measures in the reform package is a minimum (floor) price for carbon emissions, which favours nuclear so clearly as to have prompted a backbench LibDem revolt.

Incidentally, 'subsidy' is defined as "a sum of money granted by the state or a public body to help an industry or business keep the price of a commodity or service low." The fact that renewable energy generators might get a smaller slice of the same pie does not mean it is not a subsidy.

Let me be clear here. There is an argument, made by the government and others, that new nuclear power is absolutely necessary as low-carbon baseload, meaning state subsidies would be justified. If that argument carries the day, so be it. But burying the subsidies in an attempt to hide political embarrassment hinders proper debate.

It's also worth noting that the pro-nuclear carbon floor price was delivered by the government far sooner and at a higher rate than expected. Contrast that with the cut in support for both solar power and marine energy, and the delay in the main energy efficiency policy, the Green deal.

So, what to look out for on the reform plans expected on Tuesday?

What will it cost energy customers? Many existing UK coal and nuclear plants will close this decade, meaning investment in energy infrastructure has to go up from the current £8bn a year to £20bn a year. Much of that cost will be put on household bills. If the cost is high, businesses will worry that unhappy voters will mean future ministers don't stick to their policies, as has happened in the UK and across Europe before. If the cost looks acceptable to bill payers, the plans have a chance.

Who in the UK's big six energy companies is happy? Industry gossip says EDF, the French utility with the biggest stake in new nuclear, got exactly what they wanted in the proposals set out by the government. If EDF, with junior partner Centrica (who run British Gas) like the reform plans, then they are good for nukes. RWE npower and E.on also have bets on nuclear, but also big stakes in coal and gas, as well as high debt and opposition to nuclear at home in Germany. They warned last week that new nuclear stations in the UK could be too expensive for them. SSE has been the most supportive of renewable energy: if they are happiest, renewables have done well.

Is there any obligation to build renewables? Backers of renewables worry that the "contract for difference" option favoured by the government will not support the sector well, compared to the existing system in which suppliers are required to deliver a certain proportion of renewable electricity.

Are there incentives for energy efficiency? Cutting demand through efficiency measures is often cheaper than increasing the supply of low carbon electricity. But some observers worry that there will be few incentives in the reform package, beyond promising to look further at options. The government points to its Green deal: critics say this could have a big impact on gas demand, but not on electricity.

Is there help for new entrants to the market? Energy secretary Chris Huhne promised last week to "break the dominance of the big six" energy companies, which provide 99% of the UK's power. That may be easier said than done.

The one thing every participant in the energy debate will welcome is the end to at least some of the uncertainty about the UK's energy future, which had damaged investment in renewables in particular.

As it stands, it looks like nuclear power will be the big winner from the reform package. It's also likely that the headlines will be dominated by cost, and arguments about whether household bills will be rising by more or less than in a high-carbon scenario.

But will the government spring a surprise? Find out by following me (@dpcarrington) and my colleagues on Twitter, this blog and our news channel.

Rising Energy Prices and the UK's Energy Landscape

Rising Energy Prices and the UK's Energy Landscape

By Roger Harrabin, BBC Environment Analyst.

 

How will poor people cope with energy bills as the UK strives to meet its EU target of 15% of energy from renewable sources by 2020? It's a question that's been raised by the CEO of Centrica, various economists and anti-green campaigners. And it'll doubtless be asked when the government shortly unveils its Energy White Paper.

But it's not quite the right question - for three reasons.

First because UK energy costs will go up anyway as we replace our ageing fossil fuel power fleet. It is yet another example of how we've been free-loading off the capital investments made unwittingly by our parents and grandparents - and now we have to fork out. This is clearly a problem as uSwitch note that 25% of people already have difficulty paying power bills already.

The second reason why the question is wrong is because no one I know outside government expects the UK to meet the renewables target anyway. My view is that ministers are keeping the target in place because if they drop it the schedule will fall even further behind.

The third reason is that energy prices are based on a complicated mix of factors.

Although an over-hasty rush for renewables will definitely land people with large bills, most analysts seem to agree that a good proportion of renewables in the mix is helpful in the long term. That is because it buffers households against the sort of prices spikes we would likely see if we were over-reliant on gas, which is subject to shocks as diverse as the Middle East Spring and the Fukushima nuclear crisis.

In this way renewable power can be seen as something like a fixed rate mortgage in which you maybe pay more, but you know that you can budget for it on a monthly basis.So, what are the implications for prices in 2020? It's a question I emailed to 30 experts. Perhaps not surprisingly I got very few replies. Most weren't willing to speculate.

Take this response from the veteran energy analyst Walt Patterson: "Everyone will be guessing (about future prices) and their guesses will depend on what they think policy should be. The legendary head of the Irish Electricity Supply Board, Patrick Moriarty, used to say: 'The price of electricity is what the government wants it to be'. That's still true."

But official bodies have to produce numbers - so some figures are available. The Climate Change Committee estimates that bills in 2020 may rise about 25%. The regulator Ofgem has a wide range of figures, largely dependent on the price of gas, stretching from 14% to 52%.

Sam Laidlaw, who runs the energy giant Centrica (which runs British Gas), told the Economist Energy Summit recently that his polling showed consumers weren't willing to face a 50% rise in bills - they would rather risk the lights going off.

It would be a brave government that tested the resolution of the public on future blackouts - especially as we are so plugged into our TVs and computers.But Ofgem tell me that Sam Laidlaw's analysis is somewhat misleading anyway as their 52% top end prediction was only in the case of a sudden price spike - they didn't expect it to continue for any length of time.

But whatever the price rise, it is clear that the government faces continuing controversy over bills, especially if - as widely predicted - its Green Deal for some insulation proves less successful than hoped.The Consumers Association, the charity trading as Which?, will soon be starting a campaign on energy. I'd been told it was a campaign against higher prices but it's more subtle than that. Louise Strong from the association said they wanted to engage the public in more of an open dialogue.

People, she said, wanted to keep the lights on and have low bills, but people were also resisting onshore windmills which would bring them relatively cheap energy. This, Which? says, is a long-term conversation.
In the short-term, it says, there must be more emphasis on helping the growing ranks of fuel poor and they hope the Electricity Market Reform White Paper will take steps in this direction.

The White Paper certainly has many roles to play, including underpinning the government's low-carbon goals with clear signals to the renewable power investors, and to the nuclear industry. It's all a very big ask - and perhaps hardly surprising that most of the experts I've spoken to about the proposed legislation don't have very high hopes.

Introducing the Looking for Carbon Blog

Welcome to the 'Looking for Carbon' Blog, which looks to provide organisations with the latest information about the UK's transition to a low-carbon economy. The blog has been established after the success of Southend on Sea Borough Council's 'Funding a Green Future 2011', a free two day national conference for the public sector on the UK's low carbon future. The Conference featured speakers from the Environment Agency, the Local Government Group, the Carbon Trust, the Committee on Climate Change, 10:10 and the event's charity partner Carbon Leapfrog.

Southend on Sea Borough Council has recently confirmed that it will be hosting its 'Funding a Green Future' conference on an annual basis and next year's event has recently been confirmed to take place during Climate Week on Tuesday 13th and Wednesday 14th March 2012. You can already register your free place by visiting the following link: http://fagf2012.eventbrite.com/

The blog will feature the latest news stories and articles about the transition to the low-carbon economy, which will include information about renewable energy projects/technologies, low-carbon transport, energy efficiency and carbon reduction. There will also be a regular update about Funding a Green Future 2012, and this will include details about speakers, sponsors and our charity partners. It is hoped that the information provided will help to encourage organisations and individuals to embrace the low-carbon transition, reduce carbon emissions and improve the UK's overall environmental performance. 

Enjoy the blog...