Following the latest report by Green Alliance, the importance of ongoing collaboration between the
EU and UK (Post-Brexit) on energy and climate policy has been highlighted. The organisation Ė which promotes sustainable development with environmental considerations at its core Ė has warned that failed co- operation could result in complications to the UKís emissions reductions and this could precipitate increased energy costs in the region.
What are the potential impacts?
According to the report, there are five main risk areas which put the potential post-Brexit energy
market disruption into hard focus. This includes disruptions to predicted savings in reduced wholesale prices and the Irish energy market if the UK leaves the EUís internal energy market,
delivery on carbon budgets, and the maintenance of favourable finance terms through the European Investment Bank for the UKís renewable energy industry.
To date, the UKís participation in the EUís energy union has been geared towards encouraging
interconnectedness and strengthening the internal energy market by establishing cross-border links for "secure, affordable, and climate-friendly energy". With these interests remaining the same, Green Alliance has urged continued collaboration on energy and climate as the way forward, maximising the benefits of low carbon trade for long-term energy security in the UK.
In identifying what positive outcomes would look like for the UK energy and climate policy, it has
been proposed that the Paris Agreement be central to future collaboration between the UK and EU on energy and climate change. This would be in keeping with the collective commitment to emissions reduction and would provide a model for co-operation which is aligned with the UKís support of the EUís energy union efforts. In addition to this, it is recommended that the UK remain aligned to the EUís standards and environmental principles and the maintenance of barrier-free trade through continued access to the internal market for electricity and gas.
Furthermore, the UK would need to strive to adhere to EU rules and standards, especially in areas
covered by the Paris Agreement, to maintain the UKís low carbon competitiveness and ability to trade smoothly within the industry. A re-think on the hard line adopted on the role of the European Court of Justice in order to reap the benefits of high levels of co-operation.
Looking ahead to life after Brexit
Looking out to the future beyond Brexit
The UK needs to confront challenges in terms of investment, growth, and meeting carbon budgets
head-on in order to maintain its reputation as a champion for climate change. This will be best achieved by a commitment to nurturing abiding co-operation with EU and global nations to allow the energy market to thrive within this post-Brexit landscape.
Learn more about the factors that determine energy prices here.