UK energy secretary Grant Shapps claims that Britain is “a decade ahead of the rest of the world” and does not need to introduce huge subsidies like the US in its push for renewable tech.
In the UK, laws are in place to assure that it becomes net zero by 2050, said Shapps, whereas a bill in the US is yet to pass.
In Shapps's opinion, this lack of legislation is the reason for the inflation reduction act, which provides US$369bln in subsidies for green tech firms.
He argues that because of the UK laws in place the other countries are using these large grants to play catch up.
“Let’s not do this British thing of beating ourselves up. Because we’re ahead,” Shapps said in an interview with Politico.
However, it appears these subsidies could entice UK-based renewable energy companies to move away.
Alan Hollis, boss of homegrown battery maker ATME Power, has threatened to build its new factory abroad unless support in the UK is increased.
The EU is also offering hundreds of billions in subsidies, meaning the UK lags behind the rest of the world, he said.
Hollis added: “I’m hopeful that … any gaps that exist between what is presented as being available from different regions whether that’s across the Atlantic or across the Channel can be closed.”
One of few UK battery makers left, Hollis wants to build his flagship factory in the UK but says he must get help from the government if a £250mln plant in Dundee is to be built.