Former energy secretary urges UK to "re-assess approach" to energy security

Former energy secretary Malcolm Wicks has today issued a clarion call for the UK to accelerate its transition to a low-carbon economy with the release of a major new independent report arguing that the world is on the brink of an unprecedented period of energy insecurity.

In the report, Wicks, who has served two stints as energy secretary and was recently appointed by the prime minister as his Special Representative on International Energy, argues that as North Sea oil and gas supplies dwindle, the UK is moving from a position of relative energy independence to one of increased reliance on imports.

He said that as a consequence the move to a low-carbon economy is as vital to energy security as it is to tackling climate change.

"Energy reserves are concentrated in some of the most unstable parts of the world [and] that's an issue of national security," he said, adding that while there was "no crisis" at the moment, a global economic recovery would result in the resumption of a "global grab for energy" that is likely to see both demand and prices rise.

The report warns that, based on various industry estimates, the UK is expected to import between 45 and 80 per cent of its gas by 2020, and predicts that even if low-carbon policies are successful, competition for fossil fuels is likely to intensify, particularly given International Energy Agency (IEA) estimates that coal, gas and oil will still account for two-thirds of global energy needs by 2030.

It calls on ministers to "re-assess our approach" to energy security and recommends that it moves to accelerate the development of non-fossil fuel energy sources while strengthening links with key energy suppliers.

In particular, the report notes that the wider adoption of electric cars, rail lines and heating infrastructure could increase demand for electricity by 50 per cent by 2050, and as such recommends that the government press ahead with energy efficiency initiatives and set a higher target for the nuclear industry that would see it provide 35 to 40 per cent of our electricity from 2030.

It also urges minister to "keep under review whether further policy instruments may be necessary to direct further investment in capacity towards non-fossil fuel power generation, including wind, tidal and wave".

In addition to measures to bolster low-carbon energy supplies, the report recommends the UK moves now to protect itself against fluctuating fossil fuel supplies by prioritising links with key exporters in the form of Norway, Qatar and Saudi Arabia, considering increases in gas storage capacity, accelerating investment in carbon capture technologies, and setting up a new Office of International Energy to unite all aspects of government working on energy security.

"Complete energy independence is an unrealistic goal but there is much we can do to insulate ourselves from the risks, in a large part by driving our climate policies even further, quicker," said Wick. "We must be far smarter with the energy we use and invest in home-grown energy sources, such as new nuclear and renewables without delay."

The report comes just days after Dr Fatih Birol, chief economist at the IEA, warned that oil supplies could peak within 10 years and that prices are likely to rise sharply as the global economy improves, putting any recovery at risk