Britain will end up importing electricity from polluting power plants in Europe instead of generating it from cleaner and newer plants at home unless it phases out its carbon tax, Policy Exchange has warned. In a report, the influential think-tank urged the Chancellor to resist calls from manufacturers who want the levy scrapped now and instead keep it until the early 2020s, to ensure that it leads to the closure of the UK’s dirty old coal-fired power plants in favour of new gas plants. But once the coal plants have shut, by the mid-2020s, Policy Exchange argues the tax will serve little purpose and would simply encourage Britain to import more power from dirtier plants in Europe where carbon taxes are lower. This could actually increase overall European emissions, while also pushing up UK electricity bills, it warned.
Telegraph 18th Nov 2016 read more »