Energy White Paper

On 12 July 2011 the Government published its White Paper "Planning our electric future: a White Paper for secure, affordable and low-carbon energy" (the White Paper) as the formal Government response to the Electricity Market Reform consultation in December 2010. This article sets out some of the White Paper's key proposals.

The general message that is delivered in the White Paper is that since the 1980s, the existing electricity market worked well. However, due to the unprecedented challenges faced by the market, wide-ranging reforms are required. The main objective of the reforms proposed in the White Paper is, therefore, to "build an electricity system fit for the future" by ensuring future security of electricity supply, decarbonising the supply and minimising the cost to consumers. This is to be achieved by encouraging cost-effective investment, at the pace required to meet the challenges that the market faces.