The UK is pleading for global green investors by encouraging companies to set up manufacturing plants and supply chains, including those who are scared to leave the US by Donald Trump’s actions.
The government has won £300 million for Offshore Wind Farm, the region where the UK holds its lead, and invited banks and major international companies to a 60-country summit this week in London.
Energy Secretary Ed Miliband writes to dozens of global investors citing the UK’s industrial strategy and commitment to the transition to low-carbon electricity by 2030.
“We are looking for opportunities around the world to attract clean energy investments, setting up conversations with businesses in all countries and ensuring that the UK will be the winner in the global race for the clean industry of the future,” a government source said.
International investors flocked to the United States as the Inflation Reduction Act provided billions of incentives for low-carbon technology production under US President Joe Biden.
But insiders in the renewable industry say many companies were surprised by Trump’s actions in promoting fossil fuels by declaring a light corn for wind and solar energy. That leaves some investors rethinking their plans for the US in fear of losing money.
Last week, the Trump administration ordered a halt to work at a new Windfarm off the coast of New York, owned by Norwegian company Equinor. “That kind of thing really bothers investors,” one insider said. “No one knows what will happen next.”
On Thursday afternoon, Keir Starmer will address the Energy Security Summit, which is being held in collaboration with the International Energy Agency.
Starmer said before the start of the summit:
“We are pleased to announce that Ajai Ahluwalia, Head of Supply Chain at industry association Renewableuk,” said: “US companies are already interested in investing in the UK’s rapidly expanding clean energy sector, for example by helping to develop ports for offshore wind industries.
“The global uncertainty caused by President Trump’s ever-changing tariff policies and his opposition to clean energy now means that the UK has greater opportunities than providing a stable and attractive market for international investors in renewable energy.”
Labour has pledged £8.3 billion to Greet British Energy, a national company that co-invests in private sector and clean energy projects in this parliament, which is being questioned as Prime Minister Rachel Reeves steals x on spending.
The US will send high-ranking officials to the summit at Lancaster House in London on Thursday and Friday, but China will skip the event.
Chinese President Xi Jinping attended a small UN online environmental conference with the head of state and the UN Secretary-General on Wednesday, vowing to promote clean energy despite “one-sided protection and protectionism among major countries.”
The renewable energy industry welcomed the government’s measures, but wildlife campaigners raised concerns about changes to the planning system designed to streamline new energy and other developments.
The government presented amendments to the Plan and Infrastructure Bill on Wednesday. This means that there will be fewer consultations during the pre-application stage for “Nationwide Important Infrastructure Projects.”
Matt Brown, the Wildlife Trust’s head of spokesperson, said the move was a “misstep” and called for a rethink.
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“The government is proposing changes through a planning bill that is disastrous for nature, undermining the provision of infrastructure,” he said.
“Removing opportunities for experts to improve proposals early on can lead to inadequately designed infrastructure that will harm valuable natural areas and destroy the much-loved green spaces of the community.”
The campaigners also called for a more focus on the UK domestic energy agenda. Mike Childs, director of science, policy and research for friends on Earth, said it would take much more effort to isolate Doratty’s home and build renewable energy.
“Our country has been held hostage for too long due to the price of dirty fossil fuel yo-yo,” he said.
Workers will face a commitment to oppose the Clean Energy Program and reach net-zero greenhouse gas emissions by 2050 in local elections next week.
Reforms and conservatives are likely to blame net zero for high prices and the steel industry crisis, but experts say these are the result of overreliance on fossil fuels.
Rob Gross, director of the UK’s Energy Research Centre, said that after UK electricity costs cut off their dependence on gas power plants, it will generate the most expensive electricity on the grid and start to fall when setting an overall market price.
“If you look at Europe, and look at the wholesale electricity prices, the people with the lowest wholesale market prices are the ones who are the least dependent on gas for generations. The ones with the highest prices are those who are most exposed to gas production,” he said.
“As reliance on gas for generation has steadily declined as renewable energy share increases, but it will take several more years before we cut the link to price formation.”
