Ofgem given legal mandate to support efforts to reach net zero by 2050
Published June 13, 2023
The UK government has given the energy regulator Ofgem a statutory duty to support efforts to reach net zero by 2050.
Until now, Ofgem’s principal objective has been to protect the interests of gas and electricity consumers. This objective has included a general statutory duty to reduce greenhouse gases emissions in the electricity and gas supply.
Now, the government has now amended the Energy Bill to replace the current greenhouse gas emission wording with a specific reference to the Climate Change Act 2008. This means Ofgem is legally required to support efforts to get to net zero by 2050, as required by the Act.
Ofgem must protect existing and future consumers’ interests by supporting “the Secretary of State’s compliance with the duties 1 and 4(1)(b) of the Climate Change Act 2008 (2050 net zero target and five-year carbon budgets).”
The new duty will come into force two months after the Energy Bill gets Royal Assent.