Energy Act 2008

Source: IEA/IRENA Renewables Policies Database
Last updated: 7 November 2019

Introduced in January 2008, the Energy Bill became law on 26 November 2008. The Act contained the legislative provisions required to implement UK energy policy following the publication of the Energy Review 2006 and the Energy White Paper 2007.     

This policy is driven by the two long-term energy challenges faced by the UK: tackling climate change by reducing carbon dioxide emissions, and ensuring secure, clean and affordable energy.

Key areas:  

    • Strengthens the regulatory framework for offshore gas supply infrastructure to enable private sector investment
    • Creates a regulatory framework to enable private sector investment in Carbon Capture and Storage projects
    • Strengthens the Renewables Obligation to drive greater and more rapid deployment of renewables in the UK
    • Strengthens statutory decommissioning provisions for offshore renewables and oil and gas installations to minimise the risk of liabilities falling to the Government
    • Improves the offshore oil and gas licensing regime in response to changes in the commercial environment and enable the Department for Business Enterprise and Regulatory Reform to carry out its regulatory functions more effectively
    • Ensures the operators of new nuclear power stations accumulate funds to meet the full costs of decommissioning and their full share of waste management costs
    • Introduces amending powers such that Ofgem is able to run the offshore electricity transmission licensing regime more effectively

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