UK and France pledge accelerated energy transformation goals

According to the analysis conducted by the Polish Economic Institute, "The British Labour Party, the winner of the parliamentary elections on 4 July this year, announced in its programme a goal of decarbonising electricity production by 2030." The report's authors emphasise that achieving this goal would require a complete departure from burning fossil fuels, from which, in 2023, the United Kingdom generated as much as 40% of its electricity production. In the electricity production structure 2023, gas played the most significant role, constituting 34% of production.

In their study, institute indicates that "The Labour Party announced a fourfold increase in offshore wind capacity (to 55 GW). At least 5 GW of these investments will be floating wind farms." Furthermore, according to the report, "The United Kingdom plans to triple photovoltaic capacity (to 50 GW) and double onshore wind farm capacity (to 35 GW)."

The authors of the analysis refer to research by Aurora Energy Research, which states that "in a similar scenario of electricity transformation, the cost of UK investments in renewable energy during 2025-2030 could exceed €17.5 billion annually."

Institute analysts point to other vital actions in the Labour Party's programme. As they write, these include "accelerating nuclear investments and extending the life of existing plants, allocating an additional €7.6 billion for the thermal modernisation of 5 million households, funding the industry and trade unions with €9.5 billion for local green energy production projects, and doubling the target for installed electrolysers for green hydrogen production (to 10 GW)."

In France's case, as the institute reported, "the New People's Front in its energy programme maintains the declaration of achieving climate neutrality by 2050 but does not provide details on the expansion of new renewable energy capacities." The report's authors indicate that the coalition of left-wing parties wants to prioritise green investments, expand the offshore wind farm and tidal power plant sectors, and halt the privatisation of hydroelectric plants.

As we read in the institute's analysis, "the New People's Front announces support in the thermal modernisation process, the abolition of the 10% energy tax, the cancellation of planned energy price increases from 1 July, and a free unspecified number of kWh for each household." The institute estimates that "without income thresholds, the cost of the French 'first megawatt-hour free' could exceed €7.6 billion, which is over 2% of the French budget."

Analysts point out the lack of a clear position in the New People's Front programme regarding the future of nuclear energy. They write, "This is the result of differences of opinion within the parties that make up this political bloc." The report reads, "The French Communist Party advocates for the development of nuclear energy, while the Socialist Party sees it as necessary but a transitional energy source. On the other hand, Mélenchon's 'Untamed France' party and the 'Ecologists' party advocate for the gradual withdrawal from the use of nuclear power plants by 2045."

Institute emphasises that these parties agree on one postulate - "the reversal of the merger between the Nuclear Safety Agency and the Institute for Radiation Protection and Nuclear Safety." At the end of the report, the authors state that "The ambitious goals of France and the United Kingdom in reducing emissions can become an important impetus for the development of climate policy in Europe."