10. Energy and Climate Change
Climate change is one of the gravest threats we face and urgent action at home and abroad is required. We need to cut carbon emissions, decarbonise the economy and support the creation of new green jobs and technologies—and to fulfil our joint ambitions for a low carbon and eco-friendly economy.

The Government believes that climate change is one of the gravest threats we face, and that urgent action at home and abroad is required. We need to use a wide range of levers to cut carbon emissions, decarbonise the economy and support the creation of new green jobs and technologies. We will implement a full programme of measures to fulfil our joint ambitions for a low carbon and eco-friendly economy.

• We will push for the EU to demonstrate leadership in tackling international climate change, including by supporting an increase in the EU emission reduction target to 30% by 2020.

• We will seek to increase the target for energy from renewable sources, subject to the advice of the Climate Change Committee.

• We will continue public sector investment in carbon capture and storage (CCS) technology for four coal-fired power stations.

• We will establish a smart grid and roll out smart meters.

• We will establish a full system of feed-in tariffs in electricity – as well as the maintenance of banded Renewables Obligation Certificates.

• We will introduce measures to promote a huge increase in energy from waste through anaerobic digestion.

• We will create a green investment bank.

• We will retain energy performance certificates while scrapping HIPs.

• We will introduce measures to encourage marine energy.

• We will establish an emissions performance standard that will prevent coal-fired power stations being built unless they are equipped with sufficient carbon capture and storage to meet the emissions performance standard.

• We will cancel the third runway at Heathrow.

• We will refuse permission for additional runways at Gatwick and Stansted.

• We will replace Air Passenger Duty with a per-flight duty.

• We will introduce a floor price for carbon, and make efforts to persuade the EU to move towards full auctioning of ETS permits.

• Through our ‘Green Deal’, we will encourage home energy efficiency improvements paid for by savings from energy bills. We will also take measures to improve energy efficiency in businesses and public sector buildings. We will reduce central government carbon emissions by 10% within 12 months.

• We will reform energy markets to deliver security of supply and investment in low carbon energy, and ensure fair competition including a review of the role of Ofgem.

• We will instruct Ofgem to establish a security guarantee of energy supplies.

• We will give an Annual Energy Statement to Parliament to set strategic energy policy and guide investment.

• We will deliver an offshore electricity grid in order to support the development of a new generation of offshore wind power.

• We will encourage community-owned renewable energy schemes where local people benefit from the power produced. We will also allow communities that host renewable energy projects to keep the additional business rates they generate.

• As part of the creation of a green investment bank, we will create green financial products to provide individuals with opportunities to invest in the infrastructure needed to support the new green economy.

• We will work towards an ambitious global climate deal that will limit emissions and explore the creation of new international sources of funding for the purpose of climate change adaptation and mitigation.

• Liberal Democrats have long opposed any new nuclear construction. Conservatives, by contrast, are committed to allowing the replacement of existing nuclear power stations provided that they are subject to the normal planning process for major projects (under a new National Planning Statement), and also provided that they receive no public subsidy.

• We will implement a process allowing the Liberal Democrats to maintain their opposition to nuclear power while permitting the Government to bring forward the National Planning Statement for ratification by Parliament so that new nuclear construction becomes possible. This process will involve:

– the Government completing the drafting of a national planning statement and putting it before Parliament;

– specific agreement that a Liberal Democrat spokesperson will speak against the Planning Statement, but that Liberal Democrat MPs will abstain; and

– clarity that this will not be regarded as an issue of confidence.

Immediately related elementsHow this works
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The Coalition: Our programme for government »The Coalition: Our programme for government
Environment »Environment
10. Energy and Climate Change
Approach to nuclear power? »Approach to nuclear power?
A floor price for carbon »A floor price for carbon
Ambitious global climate deal »Ambitious global climate deal
An emissions performance standard for coal-fired power stations »An emissions performance standard for coal-fired power stations
An offshore electricity grid »An offshore electricity grid
Annual Energy Statement to Parliament »Annual Energy Statement to Parliament
Cancel the third runway at Heathrow »Cancel the third runway at Heathrow
Community-owned renewable energy schemes »Community-owned renewable energy schemes
Create a green investment bank. »Create a green investment bank.
Encourage home energy efficiency improvements »Encourage home energy efficiency improvements
Establish a full system of feed-in tariffs in electricity »Establish a full system of feed-in tariffs in electricity
Establish a smart grid and roll out smart meters »Establish a smart grid and roll out smart meters
Increase in energy from waste through anaerobic digestion »Increase in energy from waste through anaerobic digestion
Increase the target for energy from renewable sources »Increase the target for energy from renewable sources
Instruct Ofgem to establish a security guarantee of energy supplies »Instruct Ofgem to establish a security guarantee of energy supplies
Introduce measures to encourage marine energy »Introduce measures to encourage marine energy
Investment CCS technology for four coal-fired power stations »Investment CCS technology for four coal-fired power stations
Reform energy markets »Reform energy markets
Refuse permission for additional runways at Gatwick and Stansted »Refuse permission for additional runways at Gatwick and Stansted
Replace Air Passenger Duty with a per-flight duty »Replace Air Passenger Duty with a per-flight duty
Retain energy performance certificates while scrapping HIPs »Retain energy performance certificates while scrapping HIPs
Support increase in EU emission reduction target to 30% by 2020 »Support increase in EU emission reduction target to 30% by 2020
International »International
Security »Security
Energy and Green Economy Bill »Energy and Green Economy Bill
Climate change »Climate change
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