Introduced by Ed Davey Relates to Energy Act 2010 | Royal assent 18 December 2013 | |
 | ||
Long title An Act to make provision for the setting of a decarbonisation target range and duties in relation to it; for or in connection with reforming the electricity market for purposes of encouraging low carbon electricity generation or ensuring security of supply; for the establishment and functions of the Office for Nuclear Regulation; about the government pipe-line and storage system and rights exercisable in relation to it; about the designation of a strategy and policy statement; about domestic supplies of gas and electricity; for extending categories of activities for which energy licences are required; for the making of orders requiring regulated persons to provide redress to consumers of gas or electricity; about offshore transmission of electricity during a commissioning period; for imposing fees in connection with certain costs incurred by the Secretary of State; and for connected purposes. Territorial extent England, Wales, Scotland | ||
The Energy Act 2013 is an Act of the Parliament of the United Kingdom, relating to the energy sector. It succeeded the Energy Act 2010. The Act focuses on setting decarbonisation targets for the UK, and reforming the electricity market. The Act was intended by Secretary of State for Energy and Climate Change Ed Davey to "attract investment to bring about a once-in-a-generation transformation of our electricity market".
Contents
History
The Energy Bill was introduced by the government in the House of Commons for first reading on 29 November 2012, and passed a vote at third reading with cross-party support on 4 June 2013. The Bill received Royal Assent on 18 December 2013.
Aims
The Act aims to maintain a stable electricity supply as coal-fired power stations are retired. This includes facilitating the building of a new set of nuclear power stations and the establishment of a new regulator, the Office for Nuclear Regulation.
The Act proposes a delay in setting decarbonisation targets under the Climate Change Act 2008, until 2016. Businesses and analysts have criticised the uncertainty this causes for investors, notably Balfour Beatty and Ernst & Young. Conservative MP Tim Yeo and Labour MP Barry Gardiner tabled amendments to the Bill to reinsert a 2030 decarbonisation target for the power sector by 2014.
The Act also enables the government to privatise the Government Pipelines and Storage System.