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Govt unveils energy plan

Govt unveils energy plan
No. 10 and Ed Davey have both hailed a "landmark" deal on energy policy, despite fears that a key climate change target has been put off until 2016.

The decision on the UK’s 2030 carbon emissions target will be postponed until 2016 under plans to be unveiled in next week's Energy Bill.

The Tories and the Lib Dems have also agreed that spending on renewables infrastructure will rise to £7.6bn by 2020.

Energy Secretary Ed Davey said the “durable agreement” would give the certainty needed for investors to inject up to £110bn in infrastructure projects, securing 250,000 British jobs.

Referring to bills going up, a Downing St spokeswoman said:

"The biggest impact is the high price of gas. That’s about 50% of your bill. The smallest impact on people’s bills is green policy…2%. Yes, that will rise to 7% by 2020, but that will be offset by the investment in greener, cleaner energy and, of course, by energy efficiency measures."

This morning Mr Davey admitted there had been hard negotiations within the Coalition on energy policy, but insisted the final outcome was a "clear, united policy".

He also said the increase in people's contributions to the infrastructure would be offset by consumers being less dependent on expensive fossil fuels in coming years.

"But now we have a clear, united policy, and the two parties – Liberal Democrats and Conservatives in Coalition – will be able to deliver something that Labour as one party failed to deliver; and that’s billions of pounds of investment in our energy infrastructure, that’s a huge amount of jobs across the whole country, and that’s the sort of growth that we’ve been looking for," he told Sky News.

Green Box: Govt unveils energy planClick to open

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