- PM and President Biden create a brand new high-level bilateral group to concentrate on vitality safety, effectivity and affordability
- The enterprise will give additional high-level political backing to our accelerated vitality transitions and Internet Zero commitments
- Over the approaching 12 months, US goals to greater than double the quantity of gasoline exported to the UK in 2021 to safe provide and cut back worth volatility
The UK and US will work collectively to extend vitality safety and drive down costs, as a part of an initiative introduced by the Prime Minister and US President Biden right this moment (seventh December).
Below the brand new ‘UK-US Power Safety and Affordability Partnership’, the UK and US will drive work to cut back international dependence on Russian vitality exports, stabilise vitality markets and step up collaboration on vitality effectivity, nuclear and renewables. The initiative can be steered by a brand new UK-US Joint Motion Group, led by senior officers from the UK Authorities and the White Home.
This new partnership follows the Prime Minister and President Biden’s assembly on the G20 Summit in Indonesia, the place they agreed to take ahead work to handle our short-term vitality wants and spearhead efforts to hurry up our vitality transition.
Putin’s conflict in Ukraine has brought about a global spike in vitality costs. To assist take care of the ensuing rise in the price of residing, the group will work to make sure the market delivers sustained will increase within the provide of Liquified Pure Gasoline (LNG) to UK terminals from the US and can collaborate on vitality effectivity measures.
As a part of this, the US will try to export at the very least 9-10 billion cubic metres of LNG over the subsequent 12 months through UK terminals, greater than doubling the extent exported in 2021 and capitalising on the UK’s main import infrastructure. This can be good for each UK and European companions as we glance to replenish gasoline storage subsequent 12 months. To fulfil this shared goal, each governments will work to proactively determine and resolve any points confronted by exporters and importers.
The group may even work to cut back international reliance on Russian vitality by driving efforts to extend vitality effectivity and supporting the transition to wash vitality, expediting the event of fresh hydrogen globally and selling civil nuclear as a safe use of vitality.
The Prime Minister mentioned:
Collectively the UK and US will guarantee the worldwide worth of vitality and the safety of our nationwide provide can by no means once more be manipulated by the whims of a failing regime.
We have now the pure assets, business and modern pondering we have to create a greater, freer system and speed up the clear vitality transition. This partnership will deliver down costs for British shoppers and assist finish Europe’s dependence on Russian vitality as soon as and for all.
The partnership will construct on the work of the UK-US Strategic Power Dialogue led by vitality ministers, with a concentrate on gasoline provide, vitality effectivity, civil nuclear and clear vitality.
On civil nuclear, the partnership will promote nuclear vitality as a protected and dependable a part of the clear vitality transition. This consists of deepening international collaboration on nuclear fuels and superior nuclear applied sciences.
The partnership may even drive worldwide funding in clear vitality applied sciences, from offshore wind to carbon seize. This may complement the work the UK and US are doing along with G7 companions to help using clear and sustainable vitality in growing international locations by the Simply Power Transition Partnerships.
In tandem with shoring up safety of vitality provide, the group will change finest apply and work on measures to extend vitality effectivity and cut back demand for gasoline. It’s already estimated that there may very well be an 8% discount in demand for gasoline within the UK this winter. The Joint Motion Group will discover coverage options to reinforce this effectivity, constructing on UK Authorities initiatives such because the Assist to Warmth Programme.
The initiative will pursue modern vitality options, such because the decarbonisation of the aerospace business and growth of sustainable aviation gas applied sciences, collaborative efforts on electrical autos, and Power Sensible Home equipment.
We may even proceed our shut collaboration on Carbon Seize Utilization and Storage, and progress the Clear Hydrogen Mission. The UK and US are already co-leads of the Hydrogen Breakthrough Agenda, a flagship initiative to push ahead clear hydrogen internationally.