Energy and Climate Change written question – answered at on 28 February 2011.
To ask the Secretary of State for Energy and Climate Change what assessment he has made of the likely effects of the proposed changes to the electricity market on the ability of the UK to attract investment in demand-side measures.
The proposed reforms to the electricity market, and in particular the capacity mechanism, will encourage demand reduction measures (negawatts) to compete on an equal basis with supply side generation. We have no specific estimate for the level of investment that will be made in demand-side measures, but the EMR reforms will support demand-side investment as a proportion of the estimated £110 billion capital required to support new generation by 2020.
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