We need mass-electrification to hit net zero
The transition to net zero will contain foreseeable and unforeseeable challenges. The need for increased grid capacity falls firmly in the former. Under this Conservative government, not only is the grid holding back renewable deployment, it is now putting house building at risk.
A lack of grid capacity at a national, transmission level means that £200bn of renewable projects are currently awaiting connection to the network. Meanwhile, a lack of grid capacity at a local, distribution level means that in west London, for example, housebuilders are facing waiting times of up to ten years for connecting new developments to the electricity network.
Decarbonisation efforts in recent years have focused on transitioning from fossil fuels to low carbon generation, leading the government to place much of its focus on relieving capacity at the transmission level. Increasingly however, net zero is something which will come into the home and directly impact our daily lives: how we heat our homes, how we drive to work, and how we use energy. This demands a broader view of the energy network and considers action to unlock capacity at both the transmission and distribution level.
Aspiring homeowners and homeowners alike are paying the cost of the government’s neglect in addressing grid capacity issues. Upstream constraints, exacerbated by underinvestment from the UK’s distribution network operators, endanger the delivery of housing that is desperately needed across the UK.
It is no secret that the UK is facing an acute housing crisis. The Conservatives are not only failing to deliver the 2019 Manifesto pledge to build 300,000 homes a year, but the houses that are being built are not net zero ready. Ministers inaction has placed us in a situation where the delivery of high quality, low carbon homes has completely stalled.
Naturally, the Conservative Party could have moved quickly to reduce the demand of new homes on the energy grid. The Government however is behind schedule in publishing its technical consultation on the Future Homes Standard, which would mandate low carbon heating and electric vehicle (EV) charging in new homes. With their dither and delay on this policy, the government creates further uncertainty for industry and does nothing to lift the strain on the electricity grid.
In addition, the Conservative government’s failure to deliver real progress on energy efficiency means that opportunities to deliver demand reduction, lower bills and alleviate the demand on the local grid have been missed.
By neglecting the issue of grid capacity planning, the Conservative Party has jeopardised the timely delivery of new homes and put the net zero agenda at risk.
The transition to net zero depends on mass-electrification in our daily lives. So, what would the Liberal Democrats do differently?
First, we would undertake an emergency programme to insulate all Britain’s homes by 2030, cutting customer bills, reducing energy usage, and mitigating the impact of existing homes on the energy grid.
Second, we would reform the energy network to permit local energy grids, enabling homes to be proactive in the energy system by generating their own renewable energy through community energy projects. Alongside this, a new Net Zero Delivery Authority would facilitate the devolution of powers and resources to local governments to implement the net zero agenda. Establishing local energy governance and planning arrangements that align energy and local planning regimes would facilitate investment in grid capacity at the distribution level, ensuring that appropriate network infrastructure is in place to deliver homes and community energy projects.
Third, we would appoint Community Energy and Warm Home Tsars in central government. These appointees would champion the delivery of these policy areas, ensuring they are implemented at pace and to the benefit of the consumer, rather than sitting and languishing as they have under the Conservative Ministers.
Finally, expediting the delivery of market mechanisms that encourage consumers to adopt smart technologies is essential. Smart technologies, such as EV charging infrastructure and heat pumps, play a vital role in reducing peak energy usage and demand requirements for new homes. By embracing these innovations and incentivising their adoption, we can reduce strain on the grid, fostering a more efficient and sustainable energy system.
Delivering growth and advancing the net zero must be central priorities for the next government. Conversations around housing and grid capacity can no longer be siloed. Grid constraint is a barrier to net zero and a barrier to growth. This Conservative government has made it clear they have run out of ideas to deliver either.
Wera Hobhouse is the Liberal Democrat MP for Bath and Chair of the Eating Disorders All-Party Parliamentary Group.
