Natural Gas Becomes the New Energy Favorite in the UK

As the UK's six major energy suppliers implement the "dash for gas" policy (dash for gas), the UK's new installed capacity of renewable energy has experienced a serious decline. "The Guardian" said that this move will not only make it difficult to achieve the UK's climate change goals, but also increase the energy bills of ordinary households.

The number of new wind turbines built in the UK this year has dropped by half compared with last year, with 540 MW of new land-based and offshore wind power installed capacity, compared with 1,192 MW of new installed capacity last year. Not only that, new planning is also at a standstill, with only 2,058 MW of wind power plants applying for planning permission this year, compared with 2,080 MW last year. In addition, the installed capacity of wind power plants approved for construction has also dropped from 1,366 MW in 2010 to 920 MW this year.

In sharp contrast, the installed capacity of natural gas power plants currently in the planning stage has reached 30,000 megawatts, and the UK's six major energy suppliers will invest billions of pounds. (1 pound is equivalent to 9.95 yuan)

The British government stated that although natural gas is currently cheaper than renewable energy, the cost of renewable energy is falling steadily; in addition, over-reliance on natural gas is also a major factor in the increase in energy bills. About 60% of the increase in energy bills last year was due to higher costs. of imported fuel.

According to Roland Berger Consulting, UK renewable energy investment dropped from US$11 billion to less than US$3 billion in 2010, a drop of approximately 70%. Although the government has promised to expand renewable energy, set a target of 18,000 megawatts of offshore wind power installed capacity in 2020, and invested US$6 billion in offshore wind power projects, resulting in a slight rebound in the scale of renewable energy investment this year, the overall Still below 2009 levels. The Guardian said that in the next ten years, the UK will need at least 200 billion pounds in funding to create a low-carbon energy sector, but there is still no sign of large-scale growth in financing. (1 U.S. dollar is equivalent to 6.36 yuan)

In fact, wind power accounts for the largest proportion of the UK's renewable energy mix, while other forms of new energy have also suffered setbacks. Solar power companies have had to make massive layoffs as the government halved solar panel subsidies, and in the case of biomass, several planned biomass power plants have been put on hold.

However, at a time when the development of renewable energy is struggling, natural gas seems to be favored by the UK's six major energy suppliers. In the past few years, approximately 30,000 MW of natural gas power plant construction planning applications have been submitted, triggering a boom in the construction of new power plants in the UK.

Because natural gas produces only half the carbon dioxide of coal, some people also call it a "green" fuel. British Energy and Climate Change Secretary Chris Huhne said that as a large number of natural gas power plants are built, the government will introduce new "emission performance standards", which will benefit natural gas but prevent new coal-fired plants. Construction of power plants. Huhn promised that the new regulations would not be reviewed until 2015 to provide a clear investment environment for gas companies.

"The Guardian" stated that Huon's opinion shows the reason behind the British government's encouragement of natural gas power plants-the construction period of new natural gas power plants only takes 18 months. The government is concerned that an "energy gap" could emerge between Britain's energy demand and supply as older coal-fired power plants are set to be phased out over the coming years. Compared with wind power plants and nuclear power plants, natural gas power plants are being constructed faster. Therefore, in order to ensure power supply, natural gas power plants have become the government’s “new favorite”.

According to the UK's newly released carbon plan, further moving away from existing coal-fired power plants is a major factor in ensuring that the UK meets its emissions reduction targets. The UK has set a target of reducing emissions by 34% by 2022 compared with 1990. To achieve this target, the UK will need 40,000 MW to 70,000 MW of new installed capacity. Huhn said that the UK's energy mix depends on the state of the world's natural gas market. If natural gas prices are low, the UK will rely more on natural gas and carbon capture and storage technology, with relatively less demand for renewable energy and nuclear energy.

But overreliance on natural gas also carries risks. High prices on world markets are the main reason for rising energy bills in the UK and will continue to be so as demand increases. Huhn has said the UK needs to abandon its "reliance on fossil fuels" but with a lack of certainty about the future of renewable energy, it would make sense for the government's energy policy to build more gas-fired power plants now.

Industry insiders said that large-scale renewable energy projects currently face difficulties in financing, and planning restrictions are also their "major obstacle." In addition, considering energy security, the UK cannot rely too much on natural gas power plants. Increasing reliance on gas-fired power plants is also not the answer, especially given that the UK’s own gas production is declining.