REA publishes report outlining key policies needed to achieve a successful Green Recovery

Government reminded of the enormous opportunities that renewable energy and clean technology can offer

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The REA has published a report setting out renewable energy and clean technology stimulus policies that will achieve a fair and inclusive economic recovery in line with our legally binding Net Zero targets.

The report, published in the same week that the Government announced the first stage of the UK economic recovery, advocates for an economic recovery rooted in green stimulus packages and policies. Addressing demands for immediate action as well as the need for longer term initiatives, the report sets out a variety of timely and costed policies. This includes those designed to bear fruit within 12-18 months as well as longer term options taking place over 18-36 months.

Ahead of the Chancellor’s forthcoming stimulus package next week, the REA is calling on the Government to:

  • Bring forward new renewable power generation capacity and energy storage projects to enable the shift to Net Zero, advising that £2bn funding could deliver an extra 15-20 GW of renewable power
  • Stimulate renewable heat deployment by providing an immediate cash injection into the Non-Domestic Renewable Heat Incentive, extending it for 12 months
  • Commit to low-carbon power and heat generation in new homes and retrofit energy efficiency measure into existing homes,
  • Reform the tax system to enable the low-carbon transition, particularly Business Rates and VAT
  • Adequately Fund Local Authorities to take actions locally to meet Net-Zero, across waste and resources, transport, heat and power with a £2.5 billion Local Low Carbon Transition Fund

The report takes a pan-technology approach to achieving a successful Green Recovery, identifying cross-cutting, high impact policies that are essential to the economic recovery of the UK. Creating low-carbon homes and reforming the tax system alone would create 176,000 new jobs, save consumers £270 on bills annually and generate a net value to the UK economy of £7.5 billion – a 50% increase on the £5 billion pledged for the recovery this week.

Dr Nina Skorupska CBE FEI, Chief Executive of the REA said:

“Renewable energy and clean technology have again and again proven to be versatile, secure and economically beneficial – this needs to be acknowledged and reflected in the post-Covid economic recovery. It is no longer enough to support a Net Zero economy in rhetoric alone, we must ensure that renewables are at the core of the recovery if we are to achieve the just and inclusive society the Government has been referring to.

“The Prime Minister has already outlined the first stage of the recovery package, which was underwhelming and lacked details. This report therefore comes at a timely moment, serving to remind the Government of the enormous opportunities that renewable energy and clean technology can offer them in their bid to deliver a Green Recovery.

“As 2050 approaches, the window to meaningfully address climate change becomes smaller and smaller. We ask the Government to recognise this and adopt the policies outlined in the report during the Chancellor’s update next week.”

Reacting to the report, Doug Parr of Greenpeace said:

“The REA are adding another important and welcome voice to the list of those who advocate cleaner power, warmer homes, electric transport to be a win-win for the economic recovery. And that much of the initiative will need to come from the local authorities who can best manage delivery. Rishi Sunak must take these lessons on board as the recovery package is kicked off next week”

All eyes will now be on the Chancellor next week.


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