Energy Supply
The Government's Renewable Energy Strategy outlines its plans to decarbonise the UK's energy supply by sourcing 15% of all energy from renewable sources by 2020 and by providing incentives to invest in renewable electricity, heat and transport fuel. In addition most electricity generation is subject to emissions caps and carbon pricing via the EU Emissions Trading Scheme.
For energy intensive operations, including fossil fuel electricity generation, the EU Emissions Trading Scheme (EU ETS) puts a cap on carbon dioxide emissions and creates a market and price for carbon allowances.
The Renewable Energy Strategy defines how the UK aims to increase the amount of energy it sources from renewables from 1% to 15% of total energy use by 2020.