Energy Policy a ''Sticking Plaster'', says Plastics Federation President

In a letter to the Government Energy Secretary, the British Plastics Federation (BPF) has criticised the recently published Energy Statement for failing to provide sufficient power generation capacity to replace the 20% of UK power stations slated for closure by 2020.

BPF President Philip Watkins and his co- signatory, the Federation’s Director General Peter Davis, have fundamental concerns about the security of energy supply to industry and whilst they welcome Mr Davey’s stated ambition to “keep the lights on and bills affordable for customers” they say that the attention paid to capacity replacement amounts to ‘a sticking plaster’.

The Federation represents 450 member firms in the heartland of British manufacturing and commented in detail on key aspects of proposed future policy:

Gas and Gas Storage

According to the Federation another ‘dash for gas’ is a risky medium term solution. Philip Watkins explained that ‘It requires some 40 new gas power plants to be built by 2030 yet we are importing as much as 50% of our gas needs and have the facilities to store only 16 days supply’. 

Nuclear

The BPF says it is concerned at “uncertainty and delay” in the urgent need for 16GW of new nuclear power capacity to replace ageing installations. The Energy Statement failed to provide a timetable for the construction and utilisation of new facilities.

Shale Gas

The BPF supports the Chancellor’s proposal to consult on tax incentives to support shale gas exploration.  Mr Watkins said “Shale Gas can lower energy costs and could well provide plastics raw material feedstocks but we accept that its development will take time”.

The Power in your Bin

Peter Davis commented on the surprising absence of any reference to Energy from Waste in the Policy.  He added ‘Unrecyclable waste can provide 10% of future electricity generating capacity as well as large quantities of heat energy through conversion in energy from waste plants.  Energy from Waste is the power in your bin’.

He said the Federation is ‘urging the Government to provide leadership for the rapid expansion of EfW capacity in the UK and the promotion of its benefits’

In its letter the BPF call called on Mr Davey for a ‘fast tracking’ of planning permission in cases involving new power generation and storage, adding that this also has the benefit of providing new jobs.

Mr Watkins said “The Plastics Industry needs the certainty of affordable power supplies to keep and attract investment in the UK”.

ENDS

For all media enquiries, BPF logos and images, please contact Philip Law, Public and Industrial Affairs Director on 0207 457 5000 or email [email protected]

Notes to Editor :

1. British Plastics Federation (BPF) is the UK trade association for the plastics industry – representing the whole supply chain including polymer producers, distributors, additives suppliers, machinery manufacturers, processors and recyclers.

2. The BPF has expressed similar concerns to the previous Governments Energy Ministers since 2006:  The BPF met Malcolm Wicks MP in 2006, corresponded with Ed Miliband MP in February 2009 and met with Lord Hunt in November 2009.