Budget: Keep strong CO2 price or risk coal revival, research warns: As Chancellor Philip Hammond readies Budget, Aurora Energy Research analysis reveals potential for adding 10GW of renewables by 2040 if carbon price increases. Maintaining a higher carbon price is key to cost-effectively decarbonising the electricity sector, phasing out coal power, and meeting the UK’s climate change targets, a new analysis by Aurora Energy Research. The findings come as the government, which has pledged to phase out coal-fired power completely by 2025, is said to be considering future carbon pricing options, prompting fears the UK’s carbon price floor could be watered down as part of next week’s Autumn Budget. Aurora argues in new research published today that a reduction in the cost of pollution risks triggering a rival of coal generation, and could undermine the government’s ability to stay on track with its carbon budgets into the 2020s.
Business Green 22nd Oct 2018 read more »