Labour's climate measures mainly hot air

After last week's eco-car initiative, Wednesday's Budget will have a green spin. But the Government's low-carbon strategy could be making matters worse, says environment editor Geoffrey Lean
Sunday, 19 April 2009

Britain's economic stimulus measures, promoted by Gordon Brown as part of a "global green new deal", will accelerate global warming instead of curbing it, an investigation by The Independent on Sunday has established.

The investigation also shows that most of the Prime Minister's vaunted green initiatives have not materialised and, in some cases, are likely to set back his professed strategy for "the creation of a low-carbon economy". It has found that, over the past four years, ministers have launched a staggering 91 consultations relating to the issue, while actually doing little.
The revelations come as the Chancellor, Alistair Darling, prepares to unveil what ministers insist will be a groundbreaking green Budget. Yesterday, the Secretary of State for Energy and Climate Change, Ed Miliband, told the IoS that it would represent "a massive greening of the Government".
Last year's Budget, however, was similarly trailed in advance as "the greenest ever", but actually led to a slight fall in the revenue coming from green taxes. And though Gordon Brown promised in 1997 to put "the environment at the core of the Government's objectives for the tax system", income from such taxes fell by 22 per cent during his 10 years as Chancellor.
As the IoS exclusively reported last month, green measures form only 6 per cent of the Government's stimulus package, compared to 13 per cent in Germany, 21 per cent in France, 38 per cent in China and 81 per cent in South Korea. And now a new study shows that the British package will increase rather than reduce emissions of carbon dioxide.
Carried out for WWF and E3G – a respected environmental group – it found that the harmful effects of new spending on roads, which will increase traffic, far outweighed the contribution of extra expenditure on energy saving and rail infrastructure. And it points out that Britain has "yet to include any investments at all dedicated to renewable energy".
Examination of Mr Brown's hyped green initiatives since becoming Prime minister reveals a similarly sorry picture, as the panel (right) shows.
He has repeatedly promised that Britain will increase the proportion of its energy coming from renewable sources to 15 per cent by 2020. But a new study to be published on Tuesday by Cambridge Econometrics is expected to show that, if current policies continue, it will grow from 1 per cent to only 1.5 per cent by then.
The Government has consistently failed to provide incentives that are routine in other countries. Four years ago, it promised to provide £50m to help develop wave and tidal power, an area where Britain has a potential world lead. But the resulting Marine Renewables Deployment Fund has yet to give a penny to support this. Installation of rooftop windmills has been held up through bureaucratic delays over planning issues at the Department for Environment, Food and Rural Affairs. Gordon Brown wrote to one manufacturer last August saying the issue had been resolved, but the hold-up continues.
Homeowners have also been discouraged from installing other renewable energy systems, such as solar electric panels. Just as they were beginning to take off, ministers slashed the level of grants available. They will end such funding for commercial buildings and charities altogether in June.
The Government has promised to introduce "feed-in tariffs", which would pay people for excess energy they produce. But these are not due to come in for a year for electricity and for two years for heat – causing a funding gap that threatens to drive some installers out of business.
There is a similar failure to honour an undertaking by Mr Brown last September properly to insulate six million houses over the next three years. In practice, this would involve providing cavity wall insulation to a million homes. The official Cavity Insulation Guarantee Agency told the IoS last week that filling cavity walls was running at just 500,000 homes a year.
Mr Brown promised to augment a scheme called the Carbon Emissions Reduction Target, under which the big energy companies have to help households save fuel and electricity. But the Government is now threatening to gut the scheme by allowing the companies to get away with simply offering people advice.
He also undertook to tackle fuel poverty. But ministers accept they will fail to meet a legal obligation to end it among vulnerable groups next year, and have cut funds, even as the number of households affected has risen from 4.3 to 5.4 million last year.
Last week's heavily publicised promotion of electric cars follows the same pattern, since the cars for which grants will be available will not be on the market for at least two years.
Meanwhile a study by a consulting firm, JDS Associates, has counted 91 separate consultations concerning sustainable energy launched by the governments in Westminster, Edinburgh and Cardiff between May 2005 and January 2009.
Last night Greg Barker, the Conservatives' energy spokesman, said the investigation showed ministers and civil servants were locked in "mid-20th-century attitudes to producing energy". Simon Hughes, the Liberal Democrat environment spokesman, said the Prime Minister was content to "paint a green picture" without taking practical action.