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100613

registered interest
date	23/10/2014
answering body	Department for Energy and Climate Change
answering dept id	63
answering dept short name	Energy and Climate Change
answering dept sort name	Energy and Climate Change
hansard heading	Electricity Generation
house id	2
legislature	25277 pref label House of Lords
question text	To ask Her Majesty’s Government what are the relative current delivered costs of electricity delivered to users in the United Kingdom produced respectively by nuclear fusion, offshore electricity, solar photovoltaic, gas and coal.
tabling member printed	Lord Hunt of Chesterton
uin	HL2344
answer	answer is ministerial correction date of answer 04/11/2014 answer text <p>DECC’s most recently published figures for the levelised costs of electricity generation for different technologies are available in the DECC Electricity Generation Costs (December 2013) report:</p><p><a href="https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/269888/131217_Electricity_Generation_costs_report_December_2013_Final.pdf" target="_blank">https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/269888/131217_Electricity_Generation_costs_report_December_2013_Final.pdf</a></p><p>Table 1 below is taken from this report, and shows a range of levelised cost estimates for nuclear offshore wind, solar photovoltaic, and gas projects commissioning in 2014 and 2020 at technology specific hurdle rates (pre-tax real). Estimates are not published for nuclear projects commissioning in 2014, or coal projects without carbon capture and storage commissioning in 2014 or 2020 given there will be no new projects commissioned in this timeframe. DECC does not publish cost estimates for nuclear fusion.</p><p><strong><em>Table 1: Levelised cost estimates for different technologies, technology specific hurdle rates, sensitivities around high/low capital costs</em></strong></p><table><tbody><tr><td><p>£/MWh</p><p>£2012</p></td><td><p>Projects commissioning in 2014,</p><p>£/MWh</p></td><td><p>Projects commissioning in 2020,</p><p>£/MWh</p></td></tr><tr><td><p>Nuclear</p></td><td><p>n.a.</p></td><td><p>79 – 102</p></td></tr><tr><td><p>Offshore wind Round 2</p></td><td><p>131 - 168</p></td><td><p>105 – 135</p></td></tr><tr><td><p>Offshore wind Round 3</p></td><td><p>144 - 189</p></td><td><p>115 - 152</p></td></tr><tr><td><p>Large scale solar PV</p></td><td><p>114 - 131</p></td><td><p>83 - 94</p></td></tr><tr><td><p>CCGT (gas) *</p></td><td><p>73 - 76</p></td><td><p>79 - 83</p></td></tr></tbody></table><p><em>* CCGT: Combined Cycle Gas Turbine</em></p><p>The levelised cost of a particular generation technology is the ratio of the total costs of a generic plant to the total amount of electricity expected to be generated over the plant’s lifetime (per megawatt hour). Levelised cost estimates are highly sensitive to the assumptions used for capital costs, fuel and EU ETS allowance prices, operating costs, load factor, discount rate and other drivers and this means that there is significant uncertainty around these estimates. Estimates of levelised costs differ from the retail electricity prices that are paid by consumers (i.e. on delivery of electricity).</p> answering member printed Baroness Verma question first answered 04/11/2014 15:14:30 answering member 3790 label Biography information for Baroness Verma attachment 1 file name Electricity Generation Costs Report December 2013.pdf title Electricity Generation Costs Report December 2013
tabling member	2543 label Biography information for Lord Hunt of Chesterton

100658

registered interest
date	23/10/2014
answering body	Department for Energy and Climate Change
answering dept id	63
answering dept short name	Energy and Climate Change
answering dept sort name	Energy and Climate Change
hansard heading	Electricity Generation
house id	2
legislature	25277 pref label House of Lords
question text	To ask Her Majesty’s Government, given the requirements of the Climate Change Act 2008, how they will ensure that all new and refurbished power generating capacity in the United Kingdom is contributing towards the meeting of carbon targets; and how they will ensure that higher carbon infrastructure is not being locked in that will make the meeting of carbon targets harder and more expensive in the future.
tabling member printed	Baroness Worthington
uin	HL2389
answer	answer is ministerial correction date of answer 05/11/2014 answer text <p>The Climate Change Act established a legally binding target to reduce the UK’s greenhouse gas emissions by at least 80% below base levels by 2050. The Act introduced a system of carbon budgets which provide legally binding limits on the amount of emissions that may be produced in successive five-year periods, setting the UK on a least cost trajectory to 2050.</p><p>A comprehensive package of policies has been put in place to meet future carbon budgets, which includes reducing the carbon intensity of power generation.</p><p>Electricity market reform (EMR) provides support for all low carbon technologies including nuclear, Carbon Capture Storage and renewables. The EMR delivery plan also provides an outlook to 2030 illustrating different scenarios for power sector decarbonisation consistent with our carbon plan and budgets.</p><p>This approach increases energy security and minimises costs to taxpayers and consumers, while reducing emissions.</p> answering member printed Baroness Verma question first answered 05/11/2014 14:26:05 answering member 3790 label Biography information for Baroness Verma
tabling member	4235 label Biography information for Baroness Worthington