Utility Week

Policy & Regulation UTILITY WEEK | 31ST JANUARY - 6TH FEBRUARY 2020 | 15 Power to the regions The regions and their utilities will play a major role in the UK's journey to net zero, predicts new chief executive of Siemens UK, Carl Ennis, but a robust regime of local co-operation, central government policy and long-term funding will be vital. Suzanne Heneghan reports. N et zero may belong to the nation, but it will be delivered regionally. This is the emphatic view of the new man at the helm of Siemens UK, Carl Ennis, who also sees a starring role for the North of England in the country's bid to become carbon neutral by 2050. But it will take a collegiate working approach from every stakeholder and genuine stability of policy and funding if we are to get there, he adds. We are speaking shortly before the general election, during which support for regional growth and devolu- tion amidst this historic transition was emerging as a critical theme. Subsequently the poll result, now characterised by the landmark shi„ in voter behaviour particularly in former northern Labour strongholds, has propelled the regions straight to the heart of the country's infrastruc- ture and investment debates. The new government has pledged to deliver on its campaign promises to rebalance the economy and pros- perity, and the regions will be watching. Ennis, who in December succeeded a fellow cham- pion of the regions, Juergen Maier, as Siemens UK chief executive, is a self-confessed "engineer at heart". As such, he has a forensic view of the practicalities involved in achieving this ambitious nationwide clean energy revolution. "I do think it is very important that we address it at regional level. Because that's where the next big chal- lenge lies," he says – shortly a„er appearing on the open- ing panel at a "Northern Powerhouse" energy conference in Hull. The two-day event about the Powerhouse (an initiative launched by former Chancellor George Osborne to forge a collective force of northern cities), brought together local authorities, government, policy leaders and industry to discuss decarbonising energy and clean growth in the North of England. Having worked for 30 years for the global German technology and manufacturing giant – most recently as its UK & Ireland head of products and systems sales for smart infrastructure – Ennis knows only too well that he takes over at a challenging moment. But he appears undaunted, indeed positively excited at the company's role in supporting the country's decarbonisation journey – via its myriad portfolio of energy activity, from wind farm technology to rail electrification. This is a fantastic time to be taking over the reins, he says, with the climate emergency and public demand driving the transition. "We are seeing a democratisation of energy. People are starting to take an interest in where their energy – including for their heat and transport – comes from." Progress That interest on the ground will be critical going forward, believes Ennis, who says that while in some areas – such as the decarbonisation of electricity generation – there has been impressive progress, this has largely come from low-hanging fruit. "There's still a lot more to do with renewables at a decentralised level. That's not to underestimate the value of what we've achieved. But we shouldn't convince ourselves the job is done. Because clearly it isn't." In terms of energy for transport, things are moving quite rapidly from a regional perspective, he says. This includes advances in train electrification and – within the e-vehicle sphere – on e-mobility infrastructure, from domestic all the way up to utility vehicle level. Similarly, on low-emission zones, with intelligent traffic systems within cities providing clean-air solutions. Addressing heat Yet Ennis is concerned at seeing a heat sector that is still lagging other parts of the energy landscape – despite its potentially huge impact on the future electricity system. It is here where regional solutions will make the differ- ence, he believes. "Again, this shows the need to stop thinking about the system as a homogeneous top-down solution. It needs to become a much more localised, bi-directional thing. "The really important message on all of these topics is that, yes, there are things we need to do at regional level for our new infrastructure, but also we've got a very large installed base in terms of heat, energy and transport. "We need to address the decarbonisation of that Interview continued overleaf "I do think it is very important that we address it at regional level. Because that's where the next big challenge lies." This year marks the start of a landmark government shi to level-up the UK's economy and achieve a better sharing of prosperity across the regions, particularly in the North of England. Our new Regional Growth series explores what this will mean for energy and water companies, and forms the 2020 focus of our ongoing New Deal for Utilities campaign, calling for a fairer deal for utility companies and the communities they serve.

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