Going green is not just good for the planet, it could help us out of recession

The link between the earth warming and increased greenhouse gas emissions from human activities has been established beyond all doubt. That means tackling climate change is the most serious environmental challenge we face in the 21st century.

By Paul GolbyLast Updated: 6:30PM GMT 18 Jan 2009

We need to find new and innovative ways of producing energy if we are going to ensure the UK has a sustainable mix of energy resources. For the economy, there are a number of opportunities, and we need to develop the right policies to put Britain in the best position to attract green collar jobs and services.
As the head of E.ON in the UK, I need to provide customers with an affordable, reliable and low-carbon supply of electricity but also to look at alternative sources of low-carbon sustainable energy.
In the spring of 2004 I met Sir David King, the then chief scientific adviser to the Government. One of the issues we discussed was the fact there was no forum for the private and public sector funders of energy to discuss the most challenging issues we faced. A little over a year later, the Energy Research Partnership (ERP) was established to help the UK to become a leader in the development of innovative new technologies.
One reason for creating the ERP was the perceived lack of co-ordination on energy policy and, in particular, research, development and deployment. A strategic vision that crossed sectors and technologies was missing.
However, since the ERP was formed we have seen an unprecedented shift in energy and climate-change policy, together with a worldwide consensus that we need to reduce our carbon dependency significantly.
While there are those who say it is for industry to fund research and drive policy, I believe it needs to be both the public and private sectors, working hand in hand.
It is clear that, even in the short time it has been in existence, ERP has built relationships to drive the greater co-ordination of funding between Government and industry, with its members forming part of the core group that established the Energy Technologies Institute, a public-private partnership with funds of up to £1.1bn over 10 years.
We can't afford not to make the shift to greener technologies and investment in that sector could even help us pull out of the recession. It is clear, however, that we need to ensure that our future energy sources are based around three vital key criteria: security, lower carbon and price. All three are vital if we want to maintain a competitive economy and to avoid fuel poverty.
The International Energy Authority has recently predicted that over $30 trillion (£20.5 trillion) will need to be invested in energy technologies over the next 20 years to put us on the path to just a 50pc reduction in greenhouse gas emissions. Rather than regard this as a risk, we should see this as an opportunity.
Innovations in low carbon technologies will pay off as global regulation drives out high carbon technologies over the next few decades. Equally, innovations in energy efficient buildings, in transport and in heat and electricity generation will offer opportunities to companies, and brings benefits to society.
ERP will shortly be publishing a comprehensive assessment of energy technologies, identifying those which have the greatest potential to deliver the UK's energy policy aims. This will, I believe, be a vital blueprint for the future as we look to drive down carbon emissions in the UK and, hopefully, across the world.
This month I will be stepping down as co-chair of the ERP and handing over to Nick Winser of National Grid. I believe that the status of energy research in the UK is now in much better shape than ever before and testament must go to both my private sector colleagues and those in government and the research councils.
Climate change and energy policy simply cannot be tackled solely by politicians; it will take Government and industry working together. When we achieve this, we have the opportunity to make a difference for the benefit of all. We have the innovation, let's see the action.
Paul Golby is the CEO of E.ON UK and is stepping down as co-chair of the UK's Energy Research Partnership this month.