A Detailed Breakdown of Net Zero Costs
As we discussed in The Costs and Benefits of Net Zero, energy analyst David Turver covered the cost of Net Zero subsidies in his article Subsidies Galore!
He identified a total budget for previous and current subsidies of £328bn and listed the major costs using official data from the UK Government Subsidy Control Transparency Database.
| Scheme | Cost (£bn) | Totals |
|---|---|---|
| Electricity Generation Subsidies | ||
| Contracts for Difference (CfD) | ||
| AR4 | 15 | |
| AR5 | 5 | |
| AR6 item SC11117 | 45 | 65 |
| Feed in Tariffs (FiTs) | ||
| Item SC10220 | 31 | 31 |
| Subsidies to Mitigate Intermittent Renewables | ||
| Capacity Market | ||
| To mid December 2024 | 16.1 | |
| OBR forecast to 2029/30 for 2023/24 | 19 | 35.1 |
| Subsidies for Using Expensive Electricity | ||
| British Industry Supercharger Package for energy intensive industries (EIIs) (Item SC11062) | 51 | 51 |
| The Department for Energy Security and Net Zero | 0.4 | 0.4 |
| Subsidies for Biofuels | ||
| Renewable Heat Incentive (RHI) schemes (Items SC10126, SC10120 and SC10119) | 45 | |
| Green gas | 2 | |
| Teesside CHP biomass plant | 1.1 | 48.1 |
| Subsidies to Make Electricity Generation Less Efficient | ||
| Dispatchable Power Agreement Business Model (Item SC11175) | 30 | |
| Other CCUS related subsidies | 13 | |
| Various hydrogen subsidy schemes | 2.5 | 45.5 |
| Subsidies to Transform Society | ||
| Transforming the automotive industry to deliver an electrified supply chain | 1.3 | |
| Industrial Energy Transformation Fund (IETF) | 0.3 | |
| Various ultra-low emissions bus projects | 0.6 | 2.2 |
We wonder how many people appreciate the extent of these costs which are already adding about £500 to each UK householder energy bill per year and likely to double by 2030 as this article in The Critic explains.
You can watch David being interviewed about this research on the Daily Sceptic:
“I’ve been writing about the costs of Net Zero for years, and even I was shocked at the size of the subsidies it’s been getting. I added it up and got to £328 billion. That’s the equivalent of 3 HS2s – and far less valuable. It’s madness.”@7Kiwi on the Sceptic.
Full episode👇 pic.twitter.com/tEHeHbksID
— Toby Young (@toadmeister) December 17, 2024
The full video in which this excerpt is taken from is here: Episode 23 of the sceptic