Designing a framework for transparency of carbon content in energy products: call for evidence
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Detail of outcome
The government continues to promote a retail energy market which:
- works better for consumers
- is more resilient and investable
- supports wider energy system transformation
It is particularly important for the first and third of these objectives that consumers understand how their choices, including the choice to select a green tariff, can support decarbonisation.
Alongside the publication of this summary of responses, we are publishing a Call for Evidence to look at aspects of the retail market policy and regulatory framework which may be acting as either barriers to innovation itself or to the ability of consumers to access the benefits of such innovation.
In addition, the Review of Electricity Market Arrangements (REMA) continues to develop proposals for reform to electricity market arrangements ahead of a second consultation in autumn 2023. This includes considering the role of government in the market for Power Purchase Agreements.
We are also now undertaking a broader review of the Renewable Energy Guarantee of Origin (REGO) scheme, exploring how it can further benefit the production of renewable electricity in the UK. If changes to the ‘green tariffs’ framework are to be taken forward, they will be aligned to appropriate future policy work streams, such as the wider programme of reform to the retail energy market on which we intend to consult later in 2023. Any changes made to ensure consumer choices can continue to support decarbonisation, will be delivered either through reform to the retail energy market or other reform programmes such as REMA.
We received 37 responses to this call for evidence, from:
- suppliers
- generators
- private Individuals
- trade associations
- consultants
- the Electricity System Operator (ESO)
- consumer groups
- third-party intermediaries
Respondents provided helpful evidence about:
- consumer understanding of the existing green tariff framework
- the role of REGOs in supporting the decarbonisation of the energy system
- the ways in which the green tariff framework should evolve over time
Original call for evidence
Call for evidence description
Achieving net zero emissions will require many of us to take actions to decarbonise our lifestyles so it is crucial that consumers are given transparent information on the carbon content of energy products to help guide their choices.
This call for evidence is our first step to help us understand the challenges in this area and consider the case for reforming the regulatory framework which underpins green electricity tariffs and some wider environmental carbon accounting schemes.
Your responses will help inform future policy in this area. We invite evidence and views on:
- the extent to which annualized retrospective renewable energy matching under the current framework acts as a barrier to transparency
- how best the framework could be adapted to enable a customer’s choice to drive additional investment in low carbon electricity generation
- the types of interventions which may help to achieve greater transparency in the framework
- the role of other forms of low carbon power in future framework developments
- opportunities for innovation that can accommodate flexibility technologies in the future framework
We welcome views and information from anyone with an interest in this policy area, such as:
- suppliers
- generators
- regulators
- consumers
- consumer groups
- industry
- researchers and innovators
- academics
- investors
- local authorities
- think tanks
Following the launch of this call for evidence we will host an engagement event on MS Teams to outline our thinking and provide an opportunity for discussion. This will be held in mid-September. If you would like to register your interest to attend, please send your details to greentariffs@beis.gov.uk.
Read the BEIS consultation privacy notice.
Please don’t send responses by post to the department at the moment as we may not be able to access them.
Documents
Last updated 24 July 2023 + show all updates
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We have published a summary of responses.
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First published.