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Utility Week 13th December 2019

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UTILITY WEEK | 13TH - 19TH DECEMBER 2019 | 9 Review of the year Winds of change A renewables record was set in the third quarter of the year when electricity from British wind farms, solar and biomass plants overtook fossil fuels to provide 40 per cent of the nation's electricity mix – the • rst time since the UK's • rst power plant • red up back in 1882. Battle for the planet The war for the world began in April 2019 and utilities found themselves right at the heart of the drive for net zero carbon emissions by 2050. The target from the government's independent adviser on climate change, later enshrined in legislation by Theresa May's administration, upped the stakes for an industry that will need support from government across the piece if it is to help enable the ambition to end the use of petrol and diesel cars and natural gas boil- ers by 2035. The world-leading move by government, viewed as one of the few positive legacies for the Brexit- embattled May's term in oˆ ce, has transformed the conversation throughout the utilities sector. The Brexit factor Despite the political froth and posturing, the close of 2019 sees an industry, and country, still awaiting clarity on the UK's withdrawal from the EU. The much-trumpeted deadline for departure, 31 March, came and went – with all eyes now on the end of January 2020. Meanwhile, industry has been getting its ducks in a row, from stockpiling strategic materi- als to boost resilience in the event of supply chain disruption, to considering how to deal with worst-case scenarios. Concerns abound about the need for "constant vigilance" to anticipate any issues that Brexit is likely to throw up, not least over the future of UK emissions trading arrangements. Access to interconnectors, including a number of proposed projects which are playing an increasingly important role in the UK's energy mix, also remains uncertain. There is, however, con• dence that established exchanges of electricity and gas will continue, albeit less eˆ ciently. continued overleaf ☛ In June, Ørsted installed the last turbine of Hornsea One, the largest offshore wind farm in the world with a capacity of 1.2GW. When all four Hornsea sub-zones are built it is envisaged it will have a total capacity of 6GW. "And that, ladies and gentle- men, is the jaws of death – the point at which, unless we take action to change things, we will not have enough water to supply our needs." Environment Agency chief executive Sir James Bevan, made headlines in the rst half of 2019 when he warned England could be just 25 years away from having insu• cient water to meet demand. "[A new father who had been told] the baby they thought was beautiful was ugly." Former Thames Water chief executive Steve Robertson describing how he felt when the company's request for £10.9 billion to run and improve the network was rejected by Ofwat. Industry still awaits imminent news of his successor. Sir James away from having insu• cient water to run and improve the network was rejected by Ofwat. Industry still awaits imminent news of his successor. "We need to take risks to reach net zero" Sir John Armitt, chair of the National Infrastructure Commission

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