Carbon Trust calls for "bold new approach" to cleantech commercialisation

The Carbon Trust claims its analysis quantifies the economic benefits of investing in a range of clean technologies for the first time, which will allow for priorities to made in terms of which technologies to support.

It comes in the same week the Government announced it is to invest £150 million in a UK Innovation Investment Fund which could generate up to £1 billion of venture capital for specific sectors, including low carbon businesses.

It also follows this week’s call by the manufactures’ organisation, EEF, for a £1 billion prize in a race to industrialise low carbon technology.

The Carbon Trust, like the EEF, is clearly concerned that the UK’s strength in technology research does not necessarily progress to commercial production and operation.

It is calling for a much more focused and urgent effort to develop clean technologies to ensure that the UK reaps the commercial as well as the environmental benefits.

Supporting the Carbon Trust’s call for a Clean Tech Revolution, Martin Rees, President of the Royal Society said: “In the past we have let opportunities to capitalise on our scientific leadership slip through our fingers. The US and others are investing heavily in low carbon technologies; we must not fall behind and waste the scientific expertise that we have in the UK."

Today’s recommendations concentrate on the offshore wind and wave market, but a spokesperson said this does not mean the Carbon Trust is proposing support for clean tech should be exclusively directed at wind and wave power. “Going forward there will be other focus points,” she said.

The Carbon Trust’s analysis took the form of an in-depth look at the economic, engineering and commercial potential of six illustrative low carbon technologies, a review of LCT innovation systems in the UK and internationally and a review of industrial policy. The technologies examined were ligno-cellulosic ethanol based on hydrolysis and fermentation (one of a number of advanced processes to produce bio-ethanol), fuel cell micro combined heat and power, solid state lighting and flow cells.

For now though, the Carbon Trust is calling for a package of technology-focused support including investment of up to £600 million in research and development (R&D), removal of regulatory barriers and new incentive mechanisms to accelerate deployment of offshore wind power.

It believes that if its recommendations are followed, the UK could seize 45 per cent of the global offshore wind market by 2020, delivering £65 billion of net economic value and some 220,000 total jobs by 2050.

Similarly, it says Britain could be the ‘natural owner’ of the global wave power market, generating revenues worth £2 billion a year by 2050 and directly employing as many as 16,000 people.

Unsurprisingly, the Carbon Trust’s proposals have been warmly welcomed by the British Wind Energy Association. Its ceo Maria Mcaffery said: “Tailoring UK financial support to specific technology groups, by addressing their entire funding landscape, integrating innovation and business, will allow the UK to cement its position as global market leaders in the green technologies identified.”

“The Carbon Trust's Clean Tech Revolution campaign succinctly highlights what we have already seen,” added David McVeigh, sales and marketing manager, Harland and Wolff Heavy Industries Limited.

“Our investment in this sector has resulted in our busiest activity level for many years, building offshore wind farm foundations such as jackets, monopiles and gravity bases. We continue to invest in R&D, training, facilities and plant in order to take advantage of this escalating opportunity.”