Green Stimulus: As part of the fiscal stimulus, the Government is accelerating and providing additional resources worth £535 million to promote its environmental objectives and support low-carbon growth. This stimulus will help to sustain and expand the estimated 350,000 jobs in the UK low-carbon sector. The stimulus comprises:
£100 million of new funding for Warm Front on top of £50 million spending on the programme brought forward now to support the economy. This stimulus will help around 60,000 households in total cut their energy bills through insulation and improved heating systems.
£60 million to provide 16,000 social houses with energy efficiency and heating measures as part of an accelerated Decent Homes programme.
Auctioning allowances in Phase II of the EU ETS: The UK held the first ever auction of carbon allowances under Phase II of the EU Emissions Trading Scheme (EU ETS) on 19 November. Four million allowances were sold raising over £54 million. The EU ETS caps emissions from power generation and heavy industry and covers around half of UK carbon dioxide emissions.
Supporting low carbon technology and infrastructure: Today, the Secretary of State for Energy and Climate Change has confirmed that the Government is committed to retaining the Renewables Obligation for large-scale renewable electricity and will extend it by a further ten years to at least 2037. This will ensure that investors can plan with confidence for the future, making renewable electricity more viable.