UK energy efficiency policies set to drive foreign investment

The Government has said that the Green Deal together with its wider energy efficiency policy is set to create the right market conditions to promote foreign investment. This could make the UK a leader in energy efficiency innovation.

Energy Minister Greg Barker said:

“We want the UK to become the most exciting place in Europe to develop energy efficiency products. If you combine what we are doing with the Green Deal with other energy efficiency drivers that we are putting in place such as 'demand reduction’ and 'demand response’ measures that will be created by legislation in the new Energy Bill, I think you are going to see companies wanting to come here."

Barker has said that there are encouraging signs the Green Deal will encourage major companies to have their energy efficiency products tested at the UK national measurements standards body, the National Physical Laboratory. In particular the Government is hoping to catch the eye of Dow Chemical, the US multinational chemical company, with their CEO having had significant discussions with the Government on the same during the 2012 Olympics.

Barker continued:

“It is that spirit of innovation that we want to see ahead of mass deployment. I think you are going to see the UK become a petri-dish for innovation. It is a chicken and egg situation. First of all we have to create the market”.

The Green Deal is officially launched on 28 January 2013 but Barker said that there will be a significant amount of progress to be made before the UK has a fully established market. He said:

“This is not going to be like a huge share offering, completed in the first couple of weeks, it is going to continue through the year growing, building week to week, month to month and season to season, even year to year. This is going to build and build right through the decade."