National Grid requires £30 billion investment to support transition to electric vehicles

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Britain’s electricity grid is facing significant challenges in meeting the 2030 ban on sales of new petrol and diesel cars due to its slow upgrade pace, warns Sir John Armitt, the Government’s infrastructure tsar. He emphasizes that the current grid lacks the capacity to provide the required electricity for the switch to electric vehicles (EVs). To address this issue, Armitt suggests investing up to £30 billion in grid upgrades by the end of the decade. However, he worries that the cost would ultimately be passed on to consumers through higher bills or taxes. Moreover, the installation of more miles of cables, electricity substations, and pylons needed to expand the grid’s capacity is getting delayed due to the outdated planning system in the country.

These concerns have raised issues about the potential impact on rural areas as the government implements net-zero ambitions. Ministers are currently considering planning reforms that could enable infrastructure projects to be fast-tracked, potentially overriding local communities’ objections. Armitt points out that the transition to renewable energy sources further exacerbates the grid upgrade challenge since energy generated through technologies like offshore wind needs to be transported onshore.

Responding to these concerns, the Daily Mail has launched a campaign urging ministers to reassess the 2030 ban. This ban is designed to accelerate the adoption of EVs and support the country’s efforts to achieve net-zero emissions by 2050. Despite these discussions, Armitt remains optimistic about the achievability of the 2030 target but recognizes that challenges related to grid upgrades could derail the progress.

Armitt highlights the issue of charging infrastructure for EVs, specifically the government’s plan to install 300,000 on-street chargers by 2030. While promoting their installation, Armitt points out the importance of ensuring sufficient electricity supply to these chargers. He suggests that the grid needs to be smarter and more distributed, especially when relying on renewable energy for generation. The National Grid has indicated the necessity for substantial investment to increase its electricity carrying capacity, but progress has been hindered by the time-consuming planning consent process.

Addressing the broader conversation on decarbonization technologies, Lord Bamford, chairman of JCB, expresses astonishment that the government is primarily focusing on pure EVs while neglecting other net-zero alternatives. JCB has developed a hydrogen-fuelled combustion engine for its diggers, which could be adapted for cars. The use of hydrogen, similar to how motorists currently use petrol, could eliminate the need for extensive additional infrastructure. However, the UK has invested significantly less in hydrogen technology compared to other countries, with only 15 hydrogen filling stations compared to Germany’s approximately 100.

The conversation around sustainable fuels and their potential for reducing emissions is gaining traction in the UK. Biofuels generated from waste products and synthetic fuels derived from de-fossilized carbon dioxide sources are seen as viable alternatives. A poll conducted by Survation for the Daily Mail indicates that only 29% of the public would feel confident buying an electric car as their sole vehicle based on the current charging infrastructure, while 39% would not feel confident.

To achieve the government’s target of 300,000 chargers by 2030, an average of 110 chargers per day would need to be installed over the next decade. However, the current installation rate is only around 34 chargers per day. At the beginning of April, there were 40,150 council and privately installed chargers across the UK. Publicly available chargers are crucial to meeting the target, especially considering that around 40% of households lack off-street parking options.

In conclusion, the slow upgrade pace of Britain’s electricity grid poses a significant challenge for achieving the 2030 ban on petrol and diesel cars. Grid upgrades require substantial investment, and the planning consent process is causing delays. The insufficient charging infrastructure for EVs and the focus on pure EVs, ignoring alternative technologies like hydrogen, are also concerns. Sustainable fuels are gaining attention as emissions-reducing alternatives. To meet the government’s 2030 target, the installation of charging infrastructure needs to accelerate significantly. The Daily Mail’s campaign urges ministers to reassess the ban, taking into account the challenges associated with upgrading the grid and providing sufficient charging capacity.

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Shreya Gupta
Shreya Gupta
Shreya Gupta is an insightful author at The Reportify who dives into the realm of business. With a keen understanding of industry trends, market developments, and entrepreneurship, Shreya brings you the latest news and analysis in the Business She can be reached at shreya@thereportify.com for any inquiries or further information.

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