The end of coal…
The 30 September 2024 is a key milestone in the UK’s commitment to reduce its contribution to climate change as the UK closed its final coal-fired power station in Ratcliffe-on-Soar, Nottinghamshire.
This marks the end of 142 years of using coal for energy generation in the UK, an era which began in 1882, with the opening of the world’s first public coal fire station at London’s Holborn Viaduct power station, built by Thomas Edison’s Edison Electric Light Company. Coal is the largest contributor to global temperature rise and puts out the most carbon dioxide per unit of energy.
Coal was a driving force in the industrial revolution in Britain, and by the 20th century, nearly all the electricity produced in Britain was generated by non-renewable energy, in particular burnt fossil fuels such as coal. Decline of coal use began in the mid-80s, when the closure of 20 pits was announced, launching the year-long miner’s strike led by communities where the coal industry was central to their livelihood. The era of privatisation of national industries was impending, and within the next 20 years nearly all of the UK’s deep coal mines were shut down.
Direction of travel
Climate Change Act 2008:
In 2008, with the enactment of the Climate Change Act[1], the government established its first legally binding climate targets and set itself novel ‘carbon budgets’, creating a legal duty to decrease carbon emissions. In their first report, The Committee on Climate Change, established by the Climate Change Act, set the expectation that ‘coal-fired power stations will not be able to generate unabated beyond the early 2020s’.[2]
More recently, the Climate Change Act 2008 (2050 Target Amendment) Order 2019 established the first (ever) long-term, legally binding framework to tackle the dangers of climate change. It set statutory climate change projections and carbon budgets. A key provision is the setting of legally binding targets for greenhouse gas emission reductions in the UK to 100% by 2050 (‘Net Zero’), which increased from the 80% in the Climate Change Act.
Following these statutory reforms, removing coal from the UK’s power supply was seen as critical from an environmental and legal perspective. Plans for new coal plants proposed in 2020 were met by strong opposition from environmental advocates – who managed to halt those plans. Phasing out coal power plants was considered critical to meet climate objectives.
Paris Agreement 2015:
The Paris Agreement 2015 mandated an 80% cut overall in six greenhouse gases including carbon dioxide emissions by 2050 – raising questions over the future of coal generation, which produces double the carbon emissions of newer gas power plants. This triggered the Government’s decision to end all coal-fired power generation by 2025 (which was brought forward to October 2024 in 2021).
To paint a fuller picture of the progress that was made in the direction of renewables, in 2010, renewables generated just 7% of the UK’s power, and by the first half of 2024, this had grown to more than 50% - a new record. The growth of renewables has been so successful that the target date for ending coal power was brought forward a year, marked by the closure of Ratcliffe-on-Soar.
Unlocking onshore wind 2023 broke records for the number of new wind installations worldwide, and simultaneously, the milestone of 1’047’288 Megawatts of installed capacity for global wind was met.[3]
Another significant step this year, launched by the new labour government, has been the amendment of the National Planning Policy Framework to lift the ‘de facto’ ban on onshore wind. This is intended to pave a simpler path for new wind projects and propel the journey towards the 100% reduction target by 2050.
In addition, on 12 November 2024, the Prime Ministerannounced new UK climate change target for 2035 under the Paris Agreement. The government has followed the October 2024 recommendation of the Climate Change Committee (CCC) and is committing to a 2035 target of reducing territorial greenhouse gas (GHG) emissions by 81% compared to 1990 levels. The target does not include international aviation and shipping emissions, as this is not required by the United Nations Framework Convention on Climate Change (UNFCCC).
Caselaw
Recent cases evidence how the Courts are aligned with the direction of travel, ensuring a consistent approach and joint effort in tackling climate emergency.
Finch
In June 2024 the Supreme Court handed down a landmark judgement on R (on the application of Finch on behalf of the Weald Action Group) v Surrey County Council and others [2024] UKSC 20 confirming an environmental impact assessment for the project which did not include an assessment of the downstream greenhouse gas emissions from the combustion of fuel, rendered the decision to grant planning permission for oil production unlawful.
Our July article considered the implications of this decision and we are now starting to see how it is being dealt with more widely.
Friends of the Earth
In September 2024 the High Court handed down its first judgement dealing with the application of the principles set out in the case: Friends of the Earth v SoS for Levelling Up, Housing & Communities & others; South Lakeland Action on Climate Change v SoSLUHC & others [2024] EWHC 2349 (Admin). The judgment is important because it is the first judgment to consider and apply the Supreme Court decision in Finch and it relates to the quashing of planning permission for the Whitehaven coal mine granted to West Cumbria Mining Limited, which was purported to be a ‘net-zero’ coal mine and produce coal solely for the steel industry.
The background facts of the case are detailed and involve opposition dating back to 2020 to stop Cumbria County Council’s plans to open a large underground metallurgical coal mine, excavating coal for use in the steel production.
In the context of assumed commitments to phase-out coal mines, the decision was made by the Government in 2022[4] to open the first new coal mine in 30 years on the basis that the economic benefits would outweigh the unacceptable environmental impacts. This is the decision that was challenged by Friends of the Earth and taken to the High Court.
The focus of the High Court challenge was on the issues around EIA assessment, substitution and reliance on carbon offsetting:
- In terms of EIA assessment, Holgate J directly applied Finch, ruling that the Secretary of State decision had been unlawful given that it was plain that the GHG emissions from combustion were significant likely indirect effects of the project and that the Secretary of State was obliged to take into account such environmental information before making the decision to grant planning permission for the coal mine.
- In relation to substitution, one of the arguments put forward by the West Cumbria Mining supporting this project was that the mine would be carbon neutral due to the coal produced replacing the coal otherwise supplied from US coal mines to the UK. However, this had been inadequately evidenced and the Secretary of State failed to provide a thorough assessment and demonstrate how the GHG emissions had been balanced out;
- Finally, in relation to carbon offsetting from mining, West Cumbria Mining argued that the emissions, once offset, would represent 0% of the UK’s national carbon budgets. The High Court agreed with the Claimants in that domestic legislation in relation to carbon accounting does not allow offsets from outside the UK.
As a general conclusion, this judgment also considered that there was no need for new coal mines, as the UK intended to move away from coal-powered steelmaking.
This judgment shows that the rationale behind the Finch decision was not a one off, and has been followed by a consultation launched by the Offshore Petroleum Regulator for Environment and Decommissioning[5] (OPRED) on draft supplementary environmental impact assessment (EIA) guidance for assessing the effects of scope 3 emissions on climate from offshore oil and gas projects published on the 30 October.
This consultation closes on the 8 January 2025 and seeks views on the proposal to supplement OPRED’s existing EIA guidance. Following the close of consultation the Government will review responses to inform the updated guidance which is expected to come out in “Spring 2025”.
Repurposing sites and skills
Many of the largest coal-fired power stations in Britain have been repurposed to assist with alternative power sources. This makes use of the existing grid connection and materials that already exist on the site, such as cement. For example, the disused coal-plant in Ferrybridge, Yorkshire, is now a battery storage site. A Battery Energy Storage System (“BESS”) can be used to store energy from renewable power, which proposes a cleaner future for these sites. Not all sites are suitable for BESS, and if a site is far away from residential neighbourhoods it may be more suited to being repurposed as a wind farm.
As for Ratcliffe-on-Soar, there have been various ideas on how it should be re-purposed ranging from housing a prototype fusion reactor, producing low-carbon hydrogen, a zero-carbon hub, a renewable power source, or a BESS as seen in Ferrybridge.[6]
What’s Next
Coal, oil, hydrogen and gas derive benefits from their constant availability, whilst renewables such as wind and solar can be limited by weather conditions. Enhancing the ability to store the energy produced by renewables at peak times is an important step for the viability of renewable power.
In 2023 batteries played only a minor role in balancing supply and demand on the grid, with gas plants far more dominant. This will need to change as gas and oil are displaced in the transition to renewables. There is already some forward planning in place to support that shift, with the recent introduction of the National Grid ESO ‘Open Balancing Portal’, which has increased the use of battery storage.
Government strategies lay out an expectation for 10 GWh of battery energy storage by 2030, which will provide important signals to the market. The government also consulted this year on introducing support for longer duration energy storage – which will help further displace fossil fuel use – using a similar policy mechanism to the support for offshore wind that allowed it to grow rapidly over the past decade.
Similar to the phase-out of coal, displacing gas (and oil) use will require long-term policies to encourage the deployment of new clean power. While the government is targeting a 2030 clean power sector through large increases in wind and solar capacity, achieving this ambitious target means increasing the number of projects in development, reducing development delays and ensuring community support.
In the early months of 2025, the UK will be advised on the Seventh Carbon Budget, determining the legal limit for UK net emissions of greenhouse gases from 2038-2042. Additionally, the government will soon announce investment in carbon capture and storage projects, including HyNet and East Coast Cluster, which will help to meet this target.
For advice on energy projects, please contact Alex Minhinick or Leticia Mandra in our Planning & Compulsory Purchase team.
[1]Climate Change Act 2008
[2]How the UK transformed its electricity supply in just a decade | Carbon Brief
[3]WWEA Annual Report 2023: Record Year for Windpower (wwindea.org)
[4]Called-in decision: at former Marchon Site, Pow Beck Valley and area from the former Marchon Site to St Bees coast, Whitehaven, Cumbria (ref: 3271069 - 7 December 2022)
[5] OPRED is part of the Department for Energy Security and Net Zero
[6]Ratcliffe-on-Soar, the UK's Last Coal Power Station, to Close (terrafirmaenergy.com)