Various energy conservation measures are taken in the United Kingdom.
Much of the emphasis in energy debates tends to focus on the supply side of the issue, and ignore the demand. A number of commentators are concerned that this is being largely overlooked, partly due to the strength of the energy industry lobby. Energy conservation also has great potential, and may be able to significantly cut the size of the supposed energy gap, if early and concerted action is taken.
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Along with road transport, domestic housing and energy use is currently one of the major obstacles to achieving carbon reduction targets. Housing currently accounts for just over 30% of all carbon dioxide emissions in the UK, and by 2010 the emissions from housing are expected to have risen 18.5% above 1990 levels.[1] This rise is projected to continue beyond 2010. Action is being taken on new buildings through 2006 changes to the Building Regulations, and on existing housing through the Carbon Emission Reduction Target.[2]
In the housing sector, consumer electronics and IT products are an area where energy use is expected to continue to rise rapidly. In the decade from the mid 1990s to the mid 2000s electricity consumed by such goods rose by 47%. By the early 2010s it is expected to have risen again by over 80%.[3] It was estimated that, in 2004, at least 8% of domestic electricity was used by items in standby mode, representing 360 kW·h and 42 kg of carbon emissions for each household.[4]
Consumption of electricity by all domestic appliances (including cooking and lighting) rose by 123% between 1970 and 2003, and by 223% when cooking and lighting are excluded.[5]
Transport continues to grow as a significant user of fuel in the UK, and along with housing, this continues to be one of the major challenges to achieving the Government's carbon reduction targets.
By 2003 the amount of fuel used by transport had risen by around 60% since 1970. While oil is the main energy source, electricity and LPG make up a small percentage. Carbon emissions from transport have almost doubled over this period. Increasing car usage, increasing engine sizes, and levels of congestion are some of the problem areas, as is increasing air travel.
Efforts to reduce emissions of nitrogen oxides, sulphur dioxide and particulates from diesel vehicles have actually led to an increase in fuel consumption and carbon dioxide emissions. Current technology should allow further reductions in emissions without increases in fuel consumption, and hopefully future technology will allow fuel consumption, and therefore CO2 emissions, to reduce.
The basis of Vehicle Excise Duty (VED), also known as "road tax", was changed so that cars registered on or after March 1, 2001 are taxed according to the VED band that they fall into. VED bands are based on the results of a laboratory test, designed to calculate the theoretical potential emissions of the vehicle in grammes of CO2 per kilometre travelled, under ideal conditions.[6] This has encouraged a 21% increase in the ownership of diesel cars, which produce lower CO2 emissions, but increase particulates. Company Car Tax was also revised to reflect both the list price and CO2 emissions.
A voluntary scheme to display Fuel Economy Labels on new cars was introduced during July 2005, including information on Vehicle Excise Duty and likely fuel costs [9]. The scheme brings the UK into line with European Directive 1999/94/EC,[7] and aims to influence the behaviour of both consumers and manufacturers.
During the 1990s the Fuel Price Escalator was used to raise road fuel tax in an attempt to reduce vehicle usage and cut emissions. The mechanism was abandoned in the wake of the 2000 fuel protests. In the December 2006 Pre-Budget Report[8] the Government announced a rise in fuel tax, and stated that fuel prices should rise each year 'at least in line with inflation'.
From 2008, a Renewable Transport Fuel Obligation is being introduced, under which petrol and diesel are likely to be blended with 5% biofuels by 2010. It is anticipated that this will cut carbon emissions in the transport sector by between 2% and 3%.
The 'Low Carbon Vehicle Partnership'[9] is pursuing the goal that new cars should produce no more than 100 g/km of CO2 by 2012. It also works in on reducing carbon emissions from commercial vehicles and in the area of alternative fuels.
Although 7.5% of freight within the UK is moved by coastal shipping and on inland waterways (in tonne kilometres, excluding crude oil from the North Sea), this is largely limited to stone, aggregates and refined petroleum. A series of reports have discussed the financial and environmental advantages of increasing this proportion. Compared to road transport, carbon emissions are around 80% less and nitrogen dioxide about 35% less.[10]
As a result the issue is receiving more attention with, for example, British Waterways considering the potential for developing inland container ports. Blocks to the regular movement of containers include the lack of regular shipping services by reliable shippers of adequate size, and the additional handling costs involved.[11]
In some areas, including London, investment is being made in the canal infrastructure in order to boost freight transport,[12][13] and action is being taken to protect the remaining wharves on the Thames.[14]
Air transport is currently taxed through Air Passenger Duty.
Carbon emissions from international aviation are currently excluded from UK and international carbon reduction targets. Due to the current and projected rise in passenger numbers, the sector is expected to become a major source of emissions in the future. In 1998, 123.9 million international passengers were carried through UK airports (159.1 million in total, including domestic aviation). Due to the expansion of airport capacity envisaged by the Department for Transport's white paper The Future of Air Transport, it is forecast that 470 million passengers are likely to be carried by 2030.[15]
Using the Department for Transport's 'best case' emission forecasts, in their August 2006 report the Environmental Audit Select Committee expect that the sector will account for 24% of the UK's emissions in 2050, compared to around 5% in 2006.[16] In addition, due to a variety of altitude-related factors, carbon emissions from aviation are considered to be between 2 and 4 times as damaging as emissions at ground level.[17] The Select Committee have called for a number of actions to combat this projected emissions increase, including the taxation of aviation fuel, the imposition of VAT on international air tickets, and a rise in Air Passenger Duty.[16]
Compared to 1990, energy use by industry had fallen by over 5% by 2004.
The highest profile initiative to cut carbon emissions is the European Union Emission Trading Scheme, which is operated in the UK under the 'Greenhouse Gas Emissions Trading Scheme Regulations'. Under Phase I of the scheme, the UK was allocated an allowance of 736 million tonnes of CO2 for the period 2005-2007 (i.e. an annual average of 245.3 million tonnes).[18] An annual average of 246.2 million tonnes has been set for the Phase II period (2008–2012).[19]
Other measures affecting industry include the Climate Change Levy.