The UK sets new target for energy efficiency and approves fund for Sizewell C

The British government has unveiled a new target to cut energy consumption of buildings and industry by 15% by 2030. The country plans to spend £6bn (€6.9bn) from 2025-2028, on top of the £6.6bn (€7.6bn) already being provided until 2025. In addition, the government intends to raise the energy profit levy on oil and gas companies from 25% to 35%. The measure will apply from 1 January 2023 until March 2028. A new 45% levy on power producers will also be introduced on 1 January 2023. These two taxes are expected to raise £14bn (€16bn) in 2024. Finally, the government has confirmed the new nuclear power plant at Sizewell C in Suffolk will go ahead, with an initial £700m (€810m) state investment in the plant expected to be signed within weeks.

In July 2022, the government gave its consent for the planned 3.2 GW Sizewell C nuclear power plant to be built in Suffolk County, southeastern England. Negotiations with the British government on raising funds for the project are continuing and a Financial Investment Decision is expected in 2023. The plant is expected to help the UK become more energy independent and meet its 2050 net-zero emission target. The Sizewell C project is currently jointly owned by French utility EDF (80%) and China General Nuclear Power (CGN) (20%). However, the UK decided in June 2022 to buy an option to acquire a 20% stake in the project. In 2021, nuclear represented 6.5% of the UK’s total installed capacity with 6.5 GW and 15% of its power generation with 46 TWh. The country plans to get 25% of its electricity from nuclear by 2050.