Chapter 2 Greenhouse gas inventory information 57 2.3 National system for preparing the UK GHG inventory 58 2.7 Comparison of Seventh and Eighth National Communications 70 2.8 Indirect greenhouse gases 73 Chapter 3 Policies and Measures 75 3.4 Domestic climate legislation and targets 77 3.5 International commitments 79 3.6 Summary of policies and measures 83 3.7 Cross-cutting measures 148 3.9 Fuel supply and hydrogen 160 3.13 Natural resources, waste and F-gases 202 3.14 Greenhouse Gas Removals 219 3.15 Innovation for net zero 222 3.17 Green jobs, skills and industries 237 3.18 Public Embedding Net Zero in government 248 3.20 Empowering the public and business to make green choices 273

4.3 O verall projections of GHG emissions 2 82 4.4 P rojections by sector 2 85 4.6 T otal effect of policies and measures 2 93 4.7 P rojection methods by sector 2 95 4.9 D ifferences from the last National Communication 30 4 Chapter 5 Vulnerability assessment, climate change impact and 3 07 5.3 A daptation in the UK 30 9 5.4 E xpected impacts of climate change 3 14 5.5 V ulnerability assessment 3 15 5.6 A daptation measures 3 16 Chapter 6 Financial Assistance and Support for Technologies 3 39 6.3 O verview of UK support, approach and channels 3 41 6.4 UK I nternational Climate Finance 3 44 6.5 e chnology development and transfer 3 58 6.7 A ccelerating the alignment of finance flows and raising ambition 3 63 6.8 Mo nitoring and evaluation, lessons learnt and transparency 3 64 Chapter 7 Research and Systematic Observation 3 69 7 .4 S ystematic observations 3 97

Chapter 8 Education, training and public awareness 405 8.3 Education and training 406 Annex 1: UKs Fifth Biennial Report to the UNFCCC 417 2. Information on GHG emissions and trends 417 3. Quantified economy-wide emissions reduction targets 420 4. Progress in achievement of quantified, economy-wide emission reduction target 426 6. Financial Assistance and Support for Technologies 453 Annex 2: Common Tabular Format Tables (CTF) supporting the UK’s fifth biennial report to the UNFCCC Annex 3: Global Climate Observing System (GCOS) Implementation plan - submitted separately to the UNFCCC in December 2022* Annex 4: UK GHG Inventory tables Annex 6: List of Global Warming Potentials of greenhouse gases used in Annex 7: Reporting under Article 7, Paragaph 2 783 *Annex 3 is available on gov.uk ( and-fifth-biennial-report-under-the-un-framework-convention-on-climate-change) and at

The UK is committed to tackling climate change. In our COP Presidency year, we are at the forefront of galvanising international action to combat this urgent In November 2021 the UK hosted COP26, the crucial UN climate change conference. 197 Parties from around the world agreed the Glasgow Climate Pact - an historic agreement which keeps alive the possibility of limiting the rise in global temperature to 1.5°C. COP26 helped to close the ambition gap, with net zero commitments now covering 90% of the world’s economy – up from 30% when the UK took on the COP26 Presidency. But we know that we must all do more to keep 1.5°C alive. The devastating impacts of climate change are already being felt around the world. If we do not keep the possibility of limiting the rise in global temperature to 1.5°C within reach, we risk many of these impacts intensifying. The window of time we have left to act is closing fast. This is all the more pressing given the current context of rising global energy prices, provoked by surging demand after COVID-19 and the Putin regime’s illegal, brutal and unprovoked invasion of Ukraine. These crises should increase, not diminish, our determination to deliver on what the world agreed in Glasgow and to double down on domestic energy security. The UK has ambitious climate targets. We were the first major economy in the world to legislate to reach net zero by 2050. Our Nationally Determined Contribution (NDC) pledges to reduce greenhouse gas emissions by at least 68% by 2030 on 1990 levels. And last year we set the UK’s world-leading sixth Carbon Budget into law, for the period from 2033 to 2037 and including international aviation and shipping, which will take the UK more than three quarters of the way to reaching net zero by 2050. Our 25 Year Environment Plan also sets out a range of goals and commitments for nature which can help us mitigate and adapt to climate change, including a commitment to creating or restoring 500,000 hectares of wildlife-rich habitat in England, for example. We have also committed to increasing tree planting rates from 13,290 hectares across the UK in 2020/21, to 30,000 hectares each year by the end of this Parliament (2024). But commitments and ambition are not enough. Real world action must follow. 10 8th National Communication That’s why in our Net Zero Strategy we set out policies and proposals to decarbonise all sectors of the UK economy to meet our 2050 net zero target. For example, we will end the sale of new petrol and diesel cars by 2030, and from 2035, no new gas boilers will be sold. The British Energy Security Strategy, published earlier this year, builds on this plan. By 2030, we could see 95% of our electricity come from low carbon sources as we aim to accelerate our deployment of wind, solar, nuclear and hydrogen. This could amount to £100 billion of private sector investment into new British industries including offshore wind and supporting around We are also supporting developing countries and have doubled our International Climate Finance Commitment to £11.6 billion between 2021-2025, which also includes a commitment of at least £3 billion to climate change solutions that protect and restore nature and biodiversity.
At COP26 the UK made several further climate finance commitments, including the Clean Green Initiative (CGI), which will help to scale up public and private investment in quality, sustainable The UK also launched the Breakthrough Agenda, a commitment to work together internationally this decade to accelerate the development and deployment of the clean technologies and sustainable solutions needed to meet our Paris Agreement goals, ensuring they are affordable We know we are already making good progress. Between 1990 and 2019, we grew our economy by more than three-quarters and cut our emissions by over 44%, decarbonising faster But we also know we must build on the success of COP26 and keep up momentum at home and abroad to deliver on our commitments. So we will continue to monitor and report on our progress. Our response to the Climate Change Committee’s 2022 progress report later this year will form part of our commitment to update annually on our progress to net zero, and as we conduct the first Global Stocktake of the Paris Agreement, this communication will contribute to a common understanding of progress to date and the road we still have to travel. It has never been clearer that net zero means security, prosperity and a cleaner, safer future for The Rt Hon Kwasi Kwarteng MP, Secretary of State for Business, Energy and Industrial Strategy & The Rt Hon Alok Sharma MP, COP26 President

The UK is committed to meeting its reporting obligations under the United Nations Framework Convention on Climate Change (UNFCCC) and places huge value on transparency and accountability. Showcasing the positive action that countries are taking to fight climate change builds trust, and honest appraisals of progress highlight where more needs to be done. This is critical to driving increased ambition and meeting our shared goals under the Paris Agreement. This report constitutes the UK’s Eighth National Communication and Fifth Biennial Report under Article 12 of the UNFCCC, Article 7 of the Kyoto Protocol and decision 2/CP .17 of the Conference of the Parties. It provides an overview of action to address climate change in the UK – including progress made at home and abroad to reduce greenhouse gas emissions and adapt to the effects of a changing climate, covering the period between 1990 – 2020. The UK has been leading the way in tackling climate change. We played an important role in securing the historic Paris Agreement in 2015, and in November 2021 the UK hosted COP26, resulting in 197 Parties agreeing the Glasgow Climate Pact to limit the rise in global temperature to 1.5°C. 90% of the world’s economy is now covered by net zero commitments. The UK is also world-leading in its ambition. The UK’s Nationally Determined Contribution (NDC) commits the UK to reduce greenhouse gas emissions by at least 68% by 2030 on 1990 levels and we are actively considering how to revisit and restrengthen our NDC, in line with the Glasgow Climate Pact. The UK also has legislated to reach net zero by 2050 and last year the UK put into law a world-leading target to reduce greenhouse gas emissions (including international aviation and shipping) by approximately 77%1 by 2035 compared to 1990 levels. The devolved administrations of Scotland, Wales and Northern Ireland contribute to the UK’s overall climate objectives and have their own targets, as outlined throughout this report. The UK is making good progress. In 2020, UK greenhouse gas emissions were 49.5% lower than 1990 levels. The UK over-achieved against the first (2008-12) and second (2013-17) carbon budgets by 36 MtCO2e and 384 MtCO2e respectively. Performance against the third carbon budget (2018-22) will be assessed in 2024, though latest reporting shows emissions 1 Our ambitious future targets for carbon emissions have not changed - Carbon Budget 6 remains as it was set in law in 2021, with a limit on emissions of 965MtCO2e over 2033-37. At COP26, an international decision was taken on which set of Global Warming Potentials (measures of the global warming effect of each greenhouse gas) would be adopted going forwards. This decision has the effect of changing our backwards- looking emissions figures compared to our previous assumptions, which means the percentage reduction between 1990 and 2035 has changed slightly, from 78% to approximately 77%. 12 8th National Communication below the average level required in each year from 2018 to 2020. The devolved administrations of Scotland, Wales and Northern Ireland contribute to the UK’s overall climate objectives as outlined throughout this report. The main body of this report – the Eighth National Communication - is structured into 8 chapters which are summarised below. The UK’s fifth Biennial Report is attached in Annex 1 and presents information on the UK greenhouse gas inventory, covering emissions estimates for the period 1990-2020, and the national system established to produce and quality assure the inventory. The related Common Tabular Format is provided in Annex 2. By prior agreement, Annex 3 will be submitted later in 2022 and will comprise of the UK Report on national activities with respect to the Global Climate Observing System Implementation Plan. Annexes 4-6 contain summary reports of greenhouse gas inventory tables, mapping between inventory and supplementary information required under Article 7 , paragraph 2, of the Kyoto Protocol within this National Communication is provided in Annex 7 . Chapter 1: National circumstances Chapter 1 presents a brief description of the UK’s national circumstances and how changes in national circumstances affect greenhouse gas (GHG) emissions over time. In • The UK population was 67.1 million in 2020, which was 9.8 million (17%) more than in 1990. The UK population is predicted to rise to 71 million by 2045-46. • The UK has a maritime, moist, temperate climate which is heavily influenced by the Atlantic Ocean and the Atlantic jet stream. UK national temperature records show a clear increasing trend in temperatures in all seasons over the last 140 years, which evidence shows is overwhelmingly a result of human activities, in particular emissions of greenhouse gases.
• UK GDP fell by 9.3% in 2020. The economy has since returned to growth, with GDP in Q1 2022 0.7% above pre-Covid levels. • Final energy demand in 2020 was met almost entirely by petroleum (39%), natural gas (34%) and electricity (20%). • In 2020 43% of total production came from primary oil, 30% from natural gas, 1% from coal, 10% from other renewables (bioenergy and waste) and 15% from Chapter 2: Greenhouse Gas Inventory Chapter 2 presents information on UK GHG emissions and the National System established to produce and quality assure the UK GHG inventory. In • In 2020, UK greenhouse gas (GHG) emissions on a UNFCCC basis2 were 409.5 million tonnes of carbon dioxide equivalent (MtCO2e) – 49.5% lower 2 The UK’s ratification of the UNFCCC has been extended to the Overseas Territories of Bermuda, the Cayman Islands, the Falkland Islands and Gibraltar; and the Crown Dependencies of Guernsey, the Isle of Man and Jersey and the UK reports an inventory on this basis. 3 Greenhouse gas emissions are expressed throughout this document as million tonnes of carbon dioxide 2e). Gases other than CO2 are expressed in terms of carbon dioxide equivalent by multiplying their emissions by their global warming potential (GWP). GWPs are taken from the 4th Assessment

• Between 1990 and 2020, carbon dioxide emissions including land use, land use change and forestry (LULUCF) fell by 46.8%. Methane emissions fell by 61.6% and nitrous oxide emissions fell by 57.6%. • Between 1990 and 2020, emissions of fluorinated gases (hydrofluorocarbons, perfluorocarbons, nitrogen trifluoride and sulphur hexafluoride) fell by 25.9%. UK GHG Inventory, 1990-2020. Chapter 3: Policies and measures Chapter 3 sets out policies and proposals in place to deliver on our climate targets, including measures set out in the Net Zero Strategy and the British Energy Security Strategy. • In October 2021, the UK published its Net Zero Strategy4 - a cross-economy strategy which keeps us on our path to net zero, including the action we will take to keep us on track for meeting carbon budgets and our Nationally Determined 4 5

• The UK projects that (joint) emissions of the fluorinated HFCs, PFCs, SF6, and NF3 will be 83% below their 1990 levels by 2040. Chapter 5: Vulnerability assessment, climate change impact and Chapter 5 describes the ways the UK continues to develop its adaptation strategies and plans to deal with unavoidable impacts of climate change and their economic, environmental, and • In 2008, the Climate Change Act created the legal framework for climate change • Since the UK’s 7th National Communication in 2017, the UK government has delivered a full cycle of the adaptation requirements of the Act, • Two comprehensive, nationwide Climate Change Risk Assessments in January 2017 and January 2022, which set out 61 UK-wide climate risks and opportunities cutting across multiple sectors of the economy. The UK government’s independent statutory and advisory body, the Climate Change Committee (CCC), produced the underpinning 2021 Independent Assessment of UK Climate Risk which identified eight priority risk areas for further action • Our second National Adaptation Programme (NAP2) and the Third Strategy for Climate Adaptation Reporting in July 2018. NAP2 sets out the key actions that the government and others will take to adapt to the challenges of climate change in the UK over 5 years in different UK sectors. • Two statutory progress reports on the delivery of NAP2 in July 2019 and June 2021. These review progress in adaptation policy and action and are completed by the independent Adaptation Committee of the CCC. • In addition, the UK has • The UK’s 2018 Climate Projections (UKCP18). These provide an updated assessment of how the UK climate may change in the future. • The first UK Adaptation Communication to the UNFCCC in December 2020, updated in September 2021. This provides a comprehensive overview of domestic and international frameworks and support for adaptation. • The UK is now preparing its third NAP , to be published in 2023. NAP3 will aim to shape a society which makes timely, far-sighted and well-informed decisions to address the risks and opportunities posed by a changing climate. 16 8th National Communication Chapter 6: Financial assistance and support tor technologies Chapter 6 sets out the financial assistance the UK has provided to developing countries to support emissions reductions and increase the resilience of the most vulnerable countries to the • The UK is committed to the collective target of mobilising US$100 billion climate finance a year for developing countries through public and private sources. • The UK met its 2015 pledge to provide £5.8 billion in International Climate Finance (ICF) between 2016/17 and 2020/21. In 2019 the PM made a commitment to deliver £11.6 billion for the period 2021/22 to 2025/26. This commitment is additional to the £5.8 billion spent up to March 2021. British International Investment (BII) (formerly CDC) has also committed to a 30% climate target which is expected to deliver a further £2 billion climate finance over five years. • As first outlined in the 2019 Green Finance Strategy and further reinforced in the Integrated Review of Security, Defence, Development and Foreign Policy, the UK Government has pledged to ensure that all UK Overseas Development Assistance (ODA) is aligned to the Paris Agreement, reflecting the government’s commitment to tackling the causes of climate change and its impacts as a driver of future instability and poverty. In the 2021 Government response to the Dasgupta Review on the Economics of Biodiversity, the UK committed to integrate nature into its ODA, ensuring that all new UK bilateral aid spending does no harm to nature. • The UK is one of the largest contributors to the major multilateral climate funds (Global Environment Facility, Green Climate Fund, Global Green Growth Institute, Climate Investment Funds, with £724 million provided over 2019 and 2020.
At the G7 in 2019 the UK announced it will double its contribution to the GCF to £1.44 billion of new funding between 2020 and 2023, making the UK the • At COP26 the UK launched the Clean Green Initiative (CGI) to help developing countries bridge the infrastructure gap, while supporting climate change and sustainable development goals, helping to scale up investment by the private sector. Bold commitments were made at COP26 around key • Protecting £1.5 billion new UK funding over five years for the Global Forest Finance Pledge (part of the £3 billion nature commitment); • Phasing out the UK is the largest contributor to the Climate Investment Funds (CIFs) and further strengthened this position by committing an additional £200 million to the new Accelerating Coal Transitions programme and £150 million to the Renewable Energy Integration programme • Mobilising a new Climate Investment Fund (CIF) Capital Markets Mechanism expected to issue billions of green bonds in the City of London to • Net zero £27.5 million new funding to support the launch of the Urban Climate Action Programme (UCAP);

• Access to The UK pledged £100 million to support the implementation of recommendations from the UK co-chaired Taskforce on Access to Climate Finance to make it faster and easier for developing countries to access finance for their climate plans18. COP26 also saw the launch of the International Just Transition Declaration19 committing to working together to ensure no one is left behind in the transition towards net zero economies. • Since 2011, UK ICF20 investments have helped 88 million people cope with the effects of climate change. Since 2011, UK ICF has also mobilised £8 billion in public and private finance in addition to our ICF spend commitments. Overall ICF provided from April 2011 to March 2021 is expected to avoid or reduce 960 million tonnes of Chapter 7: Research and systematic observation Chapter 7 presents information on the UK’s activities in climate research and observations, including domestic and international activities, as well as information about the roles of government departments and agencies engaged with the climate research agenda. • The UK has an extensive array of expertise, including the Met Office Hadley Centre, the National Centre for Atmospheric Sciences, the National Centre for Earth Observation, the British Antarctic Survey, world-leading UK university research departments and applied and policy-relevant research capabilities within the private sector. The UK also leads and engages in collaborative research efforts with • Research highlights • Publication of the third UK Climate Change Risk Assessment; • Continued work under the world-leading Met Office Hadley Centre Climate Programme, improving the UK’s climate modelling capability and applied services through an extensive programme of research; • UK involvement in the preparation of the Intergovernmental Panel on Climate Change (IPCC) Sixth Assessment (AR6) reports; • Collaborative projects with international partners, such as the Weather and Climate Science for Service Partnership (WCSSP) programmes and Future • UK-funded programmes providing climate information services for domestic policy areas, such as the Climate Services for a Net Zero Resilient World • Significant investment in UNFCCC priority areas including pioneering work on Greenhouse Gas Removal Technologies and their implications; and • Continued participation in the Global Climate Observing System (GCOS), led by the UK Met Office and involving a wide range of UK-based organisations. 18 by%20Fiji%20and,supported%20by%20coherent%2C%20programmatic%20finance 19 20

18 8th National Communication • Between 2015 and 2021, the UK invested approximately £3 billion in research, development and demonstration of low-carbon energy, transport, Chapter 8: Education, training and public awareness Chapter 8 covers actions supported by the UK government, Devolved Administrations and local government in relation to education, training, public awareness and communications on • In April 2022, the UK’s Department for Education published its Sustainability and Climate Change Strategy for education and children’s services, setting out how policies in England can support the vision for the UK education sector to be world leading in sustainability and climate change by 2030. • In 2021, the UK Government published the Net Zero Strategy, which included clear principles on how we will engage the public and support them to • Ahead of COP26, the UK Government launched the ‘Together for our Planet’ campaign which used storytelling, high impact visuals and partnerships to demonstrate to the public the positive impact of tackling climate change. • In December 2020, the UK Government launched the MacKay Carbon Calculator, a simple, user-friendly model of the UK’s energy system. Its purpose is to engage the public by helping them explore the full range of options for reducing greenhouse gas

Chapter 1 National Circumstances The UKs 8th National Communication and 5th Biennial Report detail the action the UK is taking to fulfil its commitments under the United Nations Framework Convention on Climate Change and the Kyoto Protocol. This chapter presents a brief description of the UK’s national circumstances and how changes in national circumstances affect GHG emissions over time. The first commitment period of the Kyoto Protocol required that UK GHG emissions were reduced by 12.5% below base year levels over the 2008-12 period, which the UK achieved. Under the second commitment period (2013-2020), the EU and its Member States (which at that time included the UK), Iceland and Norway have a collective target to reduce emissions by 20% relative to base year levels. The UK left the European Union on 31 January 2020. Under the terms of the Withdrawal Agreement, the UK remains committed to its shared targets and reporting with the EU under the United Nations Framework Convention on Climate Change and the Kyoto Protocol. Information on legal entities authorised to participate in mechanisms under Articles 6, 12 and 17 of the Kyoto Protocol can be found on the UK Emissions Registry website in the Kyoto In June 2019, the UK Government became the first major economy to set a legally binding target to achieve net zero greenhouse gas emissions by 2050.
In December 2020, the UK announced a Nationally Determined Contribution (NDC) under the Paris Agreement which commits to reducing greenhouse gas emissions by at least 68% by 2030 on 1990 levels. The following outlines key developments and trends in national circumstances since publication of the UK’s 7th National Communication. More details are in the rest Population The UK population was 67.1 million in 2020, which was e than in 1990. The UK population is predicted to rise to • Climate The UK has a maritime, moist, temperate climate which is heavily influenced by the Atlantic Ocean and the Atlantic jet stream. UK national e records show a clear increasing trend in temperatures in all seasons over the last 140 years, which evidence shows is overwhelmingly a result of human activities, in particular emissions of greenhouse gases. 22 8th National Communication • Economy and industry UK GDP fell by 9.3% in 2020. The economy has eturned to growth, with GDP in Q1 2022 0.7% above pre-Covid levels. In 2020 43% of total production came from primary oil, 30% from natural gas, 1% from coal, 10% from other renewables (bioenergy and waste) and 15% from primary electricity. Final energy demand in 2020 was met almost entirely by petroleum (39%), natural gas (34%) and electricity (20%). Demand for transport had continued to increase steadily across many modes until 2019. This was followed by a steep decline in 2020 and 2021 due to restrictions introduced during the pandemic. Reflecting the UK’s drive towards net zero, in December 2021, over a quarter of all new cars sold in the UK were battery electric vehicles, comparing to just 2% in 2019. Electric vehicle (EV) charging infrastructure is also becoming more widely available, with around 29,600 public charge points in the UK. Building stock and urban structure 29 million dwellings in the UK, 23.5 million of which in England, 2.65 million in Scotland, 1.4 million in Wales, and around 800,000 in Northern Ireland. There were an estimated 27.8 million households in the UK in 2020, an increase of 5.9% over In 2019 households in the UK produced 26.4 million tonnes of waste, a reduction of 1% since 2015. In 2019, 46.2% of waste from households was recycled in the UK; this is an increase from the rate of 44.5% achieved in 2015. The UK covers over 24 million hectares. In 2021 around 71% of this is used for agricultural use. The area of woodland in the UK at 31 March 2021 is 3.2 million hectares. Of this total, 1.5 million hectares (46%) is in Scotland, 1.3 million hectares (41%) is in England, 0.3 million hectares (10%) is in Wales and 0.1 million hectares The UK Government is the central government of the United Kingdom (UK). The UK Government has responsibility for developing and implementing policy and for drafting laws. The UK consists of England, Scotland, Wales and Northern Ireland, with aspects of government devolved to the democratically accountable governments within each, namely 1, the Welsh Government2 and the Northern Ireland Executive3. The UK Government has overall responsibility for implementation and delivery of the UK’s climate commitments under the UNFCCCC, the Kyoto Protocol, and the Paris Agreement, as well as our targets for net zero by 2050, our domestic carbon budgets, and our 2030 Nationally Determined Contribution. However, all the Devolved Administrations will play a part in this process. The approach taken by each administration will differ, drawing on the range of policies at their disposal. Ministers from all four nations meet bi-monthly at the Inter-Ministerial Group for Net Zero, Energy and Climate Change, to share updates on progress towards delivering climate objectives, and collaborate in areas of shared interest. 3

Chapter 1 National Circumstances 23 The UK Government is split into 23 ministerial departments and 20 non-ministerial departments. Each department focuses on a different aspect of government policy, • The Department for Business, Energy and Industrial Strategy (BEIS) which works e the UK has secure, clean, affordable energy supplies and promote international action to mitigate climate change. onment, Food and Rural Affairs (Defra), which is the UK Government department responsible for policy and regulations on environmental, food and rural issues including domestic adaptation. s Treasury (HMT), which is the UK Government’s economic and finance ministry, maintaining control over public spending, setting the direction of the UK’s economic policy and working to achieve strong and sustainable economic growth. The Prime Minister chairs the Climate Action Strategy Committee (CAS) which determines the UK’s overarching climate strategy, both domestically and internationally. The Climate Action Implementation Committee (CAI) is chaired by the COP President and supports the CAS Committee to operationalise the Government’s climate strategy. This includes delivery of the UK’s COP Presidency, the Net Zero Strategy, and building the UK’s resilience to climate impacts. The Government Priorities Delivery Committee (GPDC) is chaired by the Prime Minister and oversees the progress made on all of the Government’s priorities, including net These Cabinet Committees are supported by a senior official-level climate governance group. This group ensures a whole-of-government approach to climate policy. It brings together the full range of domestic and international policy areas that impact or are impacted by climate. Further information about the UK Government can be found The Northern Ireland Executive’s ‘New Decade, New Approach’ includes a commitment to tackle climate change head-on using a coordinated and strategic approach. The Department for Agriculture, Environment and Rural Affairs (DAERA) has been leading the development of the Green Growth Strategy, on behalf of the NI Executive, collaborating with other departments, local government and key stakeholders from across the business, voluntary and community sectors. The Green Growth Inter-Ministerial Group chaired by the Minister for Agriculture, Environment and Rural Affairs, oversees this work, thus helping to embed Green Growth within future Government policies. The Green Growth Strategic Oversight Group, a group of senior officials from all nine Northern Ireland (NI) Government departments, provides overall strategic direction for the Executive’s Green Growth initiative.
The group resolves any concerns or ambiguity around Green Growth and its fit within the broader suite of Northern Ireland Civil Service policies and strategies ensuring Green Growth messages are clearly articulated and providing leadership for the dissemination of those messages across all NI Government Departments. The Climate Change Act (Northern Ireland) 2022 4 received Royal Assent on 6 June 2022, committing the region to net-zero greenhouse gas emissions by 2050. 4

24 8th National Communication While the Act includes an overall net-zero target for 2050, an amendment agreed by the Assembly at Further Consideration Stage means the level of methane emissions reductions required does not have to be more than 46% lower than the 1990 baseline by 2050. The Act requires the establishment of an independent Northern Ireland Climate Commissioner, whose office will be responsible for oversight and reporting on the operations of the Act. The Act also mandates for the establishment of a Just Transition Commission with responsibility for oversight of the implementation of the “just transition” elements of the Act and provision of advice to Northern Ireland departments on how to ensure that proposals, policies, strategies and plans required under the Act comply with the just transition principle. The Act sets a requirement on all Northern Ireland Executive departments to consider how policies and strategies can deliver towards the legislative targets set under the Act and to exercise their functions in a manner consistent with achieving those targets whilst taking account of social, economic and environmental considerations. This includes the risk of carbon leakage, when developing policies and proposals to be included in five yearly climate action plans. The climate action plans also have to include targets on soil quality and biodiversity as well as annual greenhouse gas and air quality targets. Northern Ireland departments must also develop and publish sectoral plans setting out how the emissions reduction targets for 2030, 2040 and 2050 will be achieved by various sectors. These sectoral plans must include policies and proposals to ensure the emissions reductions targets are achieved, and in addition, the Act also sets specific 2030 targets for renewable electricity consumption and waste. The Scottish Government is the devolved government for Scotland and has a range of responsibilities, including climate change policy. The Scottish Parliament passes laws on devolved matters, which includes a statutory framework for Scotland’s approach to tackling Climate change is embedded across the Scottish Government through a robust ministerial and corporate governance framework. Accountability for climate action is held primarily at Cabinet, led by the Cabinet Secretary for Net Zero, Energy and Transport and supported by the Cabinet Sub-Committee for the Climate Emergency which provides cross-Government leadership, assurance and coordination of efforts.5 At a corporate level, oversight and assurance of climate policy delivery is provided by the Global Climate Emergency (GCE) Board of senior officials, with responsibility to ensure a whole-systems approach to delivering a just transition to statutory emissions reduction targets and strengthening climate adaptation. The GCE Board is overseen by the Scottish Government’s Executive Team and Corporate Board6. Both the GCE Board and Corporate Board include non-executive directors as members. The Scottish Government’s domestic and international response to the climate emergency is coordinated within the Energy and Climate Change Directorate (DECC). DECC, in conjunction with other policy areas such as transport or housing, works to deliver a low carbon society, with sustainable economic growth and reduced greenhouse gas emissions. 5 6

Chapter 1 National Circumstances 25 Independent advice on climate change policy in Scotland is also provided through key external bodies, including the UK Climate Change Committee7, the Just Transition Commission8, and Scotland’s Climate Assembly9. The Welsh Government is split into 7 ministerial portfolios, each focusing on a different aspect of government policy, including the Minister for Climate Change Overseeing all policy and delivery related to the climate change agenda is Cabinet, where throughout the year they meet to focus on climate change, supported by the senior-official level cross-government Climate Change Portfolio Board. The Portfolio Board has overseen the development and production of the Net Zero Wales plan, published in October 2021 for the Welsh Carbon Budget 2.10 It is beginning to consider the development of the third Welsh decarbonisation plan (for Carbon Budget 3, 2026-2030) whilst working on delivering Net Zero Wales. Sectors will continue to work collaboratively to develop policies and proposals for emissions reductions that tackle existing inequalities, maximise benefits and minimise costs. The Welsh Government has laid the legislative foundations for a cleaner, fairer, stronger Wales, including through the Well-being of Future Generations (Wales) Act 2015 (WFG Act) and the Environment (Wales) Act 2016. Wales has consistently followed the science, starting in 2016 with a target for an 80% reduction in our emissions by 2050. The Senedd became the first Parliament in the world to declare a climate emergency in 2019. In March 2021, the Senedd agreed to set a legally binding net zero target. Choosing to base its ambition on the evidence as Wales tackles the climate emergency, making Wales’ fair contribution to the UK’s obligations under the Paris Agreement. Climate change is at the heart of the Programme for Government11, which sets out the ambitious and radical commitments the Welsh Government will deliver over this Senedd term in order to tackle the challenges faced, set the foundations for future decarbonisation and improve the lives of people across Wales. The Welsh Government will deliver a joined-up system and integrate work, continuing to seek multiple benefits from every action, embedding its response to the climate and nature emergency in everything it does. The Sustainable Development principle in the WFG Act will continue to steer policy responses, looking to the long term; involving people in the decisions that affect them; collaborating with partners to deliver; integrating thinking to drive multiple benefits; and seeking out opportunities to address the underlying causes of change. This section discusses demographic characteristics of the UK, to provide context on the population-related drivers that affect the UK’s GHG emissions.
Unless stated otherwise, the following statistics have been produced from data collected by the Office for National Statistics, who produce the official population estimates for the UK and its 8 9 10 11

26 8th National Communication The total population of the UK was estimated to be 67.1 million in mid-2020, which was is increasing and ageing with the median age in the UK increasing from 35.8 in 1990 to 40.4 in 2020. The population aged greater than 64 years increased from 15.7% in 1990 to 18.6% in 2020. The male to female ratio of the UK population has remained broadly steady between 1990 and 2020 at approximately 49% to 51%, though within these broad percentages the 1990 57,237 27,819 29,419 35.8 20.2 64.0 15.7 2000 58,886 28,690 30,196 37.6 20.3 63.9 15.8 2010 62,759 30,805 31,954 39.5 18.8 64.8 16.4 2015 65,110 32,074 33,036 40.0 18.8 63.3 17.8 2019 66,797 32,978 33,819 40.3 19.0 62.5 18.5 2020 67,0 81 33,146 33,936 40.4 19.0 62.4 18.6 Office for National Statistics, populationestimates/bulletins/annualmidyearpopulationestimates/mid2020 According to ONS projections, the UK is expected to see a continued growth in population, increase equivalent to an average annual rate of growth of slightly over 0.2% between 2020- 21 and 2045-46. Assumed net migration accounts for the projected increase over the next 25 years, with projected annual deaths higher than births for most of this period. ONS note that the projections do not attempt to predict the impacts of the UK leaving the EU or the lasting effects of the coronavirus pandemic. 2020-21 2025-26 2030-31 2035-36 2040-41 2045-46 United Kingdom 67.1 68.3 69.2 69.9 70.4 71 England 56.6 57.7 58.5 59.2 59.8 60.3 Scotland 5.5 5.5 5.5 5.5 5.4 5.4 Northern Ireland 1.9 1.9 1.9 1.9 1.9 1.9 Office for National Statistics, populationprojections/bulletins/nationalpopulationprojections/2020basedinterim

Chapter 1 National Circumstances 27 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 Office for National Statistics number of people of that age in the population. The size and composition of the population is determined by the pattern of births, deaths and migration which have taken place in previous years. The main details illustrated by the pyramid for mid-2020 include the eas of the pyramid reflect the high numbers of births in the years after the Second World War (around age 70 to 73) and during the baby The sharp narrowing of the pyramid for people aged between 15 and 20 years is a consequence of low numbers of births just after the tur followed an increase in birth rates peaking around 2008 to 2012. Since 2016, birth rates have fallen more rapidly. Females outnumber males at older ages, reflecting the higher life expectancy of females, though the gap has narr The UK lies between latitude 49ºN and 61ºN and longitude 8ºE and 2ºW, positioned in north-western Europe. The United Kingdom, Crown Dependencies and Overseas Territories together form one undivided realm. The three Crown Dependences (Jersey, Guernsey and the Isle of Man) and the fourteen Overseas Territories (listed below) are not part of the UK and irgin Islands (commonly known as the British Virgin Islands)

28 8th National Communication • Saint Helena, Ascension and T • South Georgia and the South Sandwich Islands eign base areas of Akrotiri and Dhekelia The UK’s climate is maritime, moist and temperate, with a winter mean temperature of 4.1 °C and summer mean temperature of 14.6 °C. The influence of the Atlantic Ocean means that the UK’s annual temperature range is smaller than for more continental countries at the same latitude. Average annual precipitation in the UK typically ranges from approximately 800 mm to 1400 mm, but with significant regional variations with western upland regions experiencing in excess of 2000mm and parts of low-lying south-east England less than 600mm. The UK climate is heavily influenced by its proximity to the Atlantic Ocean and the Gulf Stream/ North Atlantic Drift which brings warm water into high northern latitudes. Prevailing winds are westerly, and UK regional climates vary with distance from the Atlantic as well as with local topography. Continental influences are most strongly seen in the southeast of the country. Variations in the strength and position of the jet stream strongly influence UK weather. Sometimes the jet stream is directed close to or over the country, bringing extended periods of stormy, wet weather. At other times, a blocked pattern steers the jet stream away to the north or to the south, bringing generally settled, dry conditions, either warmer or colder than average. Space heating is required in most buildings throughout the winter months and the use of air conditioning in the summer months is increasing. In the UK, GHG emissions are strongly influenced by weather conditions. In winter, cooler-than-average temperatures increase demand for space heating; and in summer, warmer-than-average temperatures 12 Office

Chapter 1 National Circumstances 29

30 8th National Communication The Central England Temperature (CET) series is the longest-compiled instrumental for the early 21st century has been warmer than the previous three centuries for all Met State of the UK Climate 2021 The UK-wide national temperature series begins in 1884, showing an increase in temperature from the 1970s to the 2000s with the most recent decade (2012-2021) on average 0.2 °C warmer than the 1991-2020 average and 1.0 °C warmer than 1961-1990. All of the ten warmest years recorded for the UK have been since 2002. Evidence from attribution science shows that the increasing trend in temperatures is overwhelmingly a result of human activities, in particular emissions of greenhouse gases. Cold years are still observed despite the warming trend, but they are less frequent and less severe than in the historical 2010 was the coldest year recorded since 1986 and the 22nd coldest in the UK series since 1884. that is most pronounced for Scotland. The most recent decade (2012–2021) has been on average 10% wetter than 1961–1990 and 2% wetter than 1991-2020.
Five of the ten wettest years for the UK have occurred since 2000, in a series beginning in 1836. The largest increases in rainfall have been during the winter season, with the most recent decade (2012-2021) having winters 26% wetter than 1961-1990. This period includes the two wettest winters on record in 2013-2014 and 2015-2016, with winter 2019-2020 as the fifth wettest in a series from 1836. Summers of the most recent decade (2012-2021) have also been 15% wetter than 1961-1990 including the third wettest summer on record in 2012. 13

Chapter 1 National Circumstances 31 This changing trend in rainfall in the UK is a result of both human influence and large-scale natural variability in the climate system, which can occur over time periods of decades. Met State of the UK Climate 2021 Since 1900 sea level around the UK has risen by about 16.5 cm when corrected for vertical land movement, which is comparable to global sea level rise estimate of 20 cm. There is evidence from the observational records that the rate of sea level rise is increasing from a long-term estimate of 1.5 mm/yr, with the period 1993-2019 increasing by closer Sea surface temperatures around the UK for the most recent decade (2012-2021) have been on average 0.1 °C warmer than the 1991-2020 average and 0.7 °C warmer than 1961-1990. The 2018 UK Climate Projections (UKCP18) provide the most up-to-date assessment of how the UK climate is projected to change in the future. The climate information provided summarises key results, reports on the latest science reports and gives users advice and guidance, all underpinned by a suite of climate data obabilistic projections including extremes ojections for three spatial resolutions (60 km, 12 km and 2.2 km) • Projections of sea level rise, storm surge and waves. 32 8th National Communication One strand of the modelling projections is UKCP Local; the first time a climate model with a resolution similar to weather forecasting models has been used to explore national climate scenarios. This is a step forward in the ability of the climate model to simulate small-scale behaviour seen in the real atmosphere, particularly for the representation of the heavy rainfall associated with showers that affect flooding in summer. Continuing research and development of UKCP products includes provision of derived projections based on global warming levels, additional variable analysis (such as soil moisture) and climate indices (such as static weather patterns). In this section, UKCP information is used to summarise the projected effects on UK climate, both in terms of averages and extremes, and then goes on to be used in impact metrics. UKCP were used in the most recent UK Climate Change Risk Assessment and are being applied by the more than seven thousand registered users to quantify and manage physical climate risks. 1.6.2.1 UK future climate overview The headline findings of UKCP18 state that future UK climate change will result in warmer, wetter winters and hotter, drier summers. Annual temperatures for the UK using the 50th percentile (10th and 90th ranges) for a medium emissions scenario (RCP 4.5) from the UKCP Probabilistic Projections suggest warming of 2.3°C (1.1°C to 3.6°C) by the 2090s (2080- 2100) compared to the 1981-2000 baseline period. Warming is projected to be greater in summer (3°C; 1.3°C to 4.8°C) than in winter (2°C; 0.6°C to 3.5°C). UK-wide, summer precipitation decreases are expected to be -19% (-36% to -2%) while winter precipitation is projected to increase 10% (-2% to 25%) by the 2090s. The probabilistic projections provide a broad picture on uncertainties in future UK changes. However, many user applications are conducted using the ensembles of global (60km), regional (12km) and local (2.2km) climate model projections, provided to support detailed impacts studies. The global projections show similar ranges of change to the probabilistic projections and are available for the RCP2.6 and RCP8.5 scenarios. Results are provided below as anomalies to the 1981-2000 baseline period for the median ensemble member, with the spread of outcomes shown (in brackets) using the second lowest and second highest ensemble members. For the low emissions scenario, the median UK annual temperature increase by the 2090s is 1.7°C (0.6°C to 2.4°C) while for the high emissions scenario it is 4.2°C (2.4°C to 5.3°C). Summer warming is also greater than winter warming for both emissions scenarios in the UKCP global ensemble. In the low emissions scenario, summer temperatures increase by 2.2°C (0.5°C to 3.0°C) compared to 1.2°C (0.0°C to 2.0°C) in the winter. Stronger trends occur in the high emissions scenario with summer temperatures (5.5°C; 2.4°C to 6.6°C) increasing more than winter temperatures (3.4°C; 2.1°C to 4.4°C). Consistent with the UK overview, average summer precipitation decreases in summer and increases in winter in both scenarios. Under the high emissions scenario for the 2090s, summer decreases are projected to be -27% (-49% to -2%) and winter increases projected as 19% (7% to 31%). For the low emissions scenario these changes are for summer -5% (-13% to 8%), and for winter 4% (-5% to 12%). such as warming being greater in the summer compared to the winter are projected to occur across all regions of the UK for both emissions scenarios. Similarly, the majority of UK regions are projected to experience a decrease in summer precipitation and an increase in winter precipitation; however, this signal is stronger in the high emissions scenario. Across both seasons and emissions scenarios, regional variations are generally modest within each metric, with differences usually within 1°C or 10%, the high emissions scenario winter precipitation showing the greatest spread between regions. Chapter 1 National Circumstances 33 low emissions scenario RCP 2.6 (a-d) and the high emissions scenario RCP 8.5 (e-h) using the median ensemble member from Sea level is projected to rise around the UK compared to a 1981-2000 baseline period although the amount of sea level rise is higher in the south and increases with higher emissions scenarios.
For the medium emissions scenario (RCP4.5), the UKCP Marine Projections give 50th percentile (10th and 90th ranges) rises of 0.55 m (0.40 m to 0.75 m) in London compared to lower values of 0.33 m (0.18 m to 0.53 m) in Edinburgh in 2100. Based on exploratory results to 2300, sea levels continue to increase beyond 2100 even with large reductions in greenhouse gas emissions. For the same medium emissions scenario sea level is projected to rise for London by 1.42 m (0.93m to 2.23 m) and 0.77 m (0.28 m to 1.6 m) for Edinburgh by 2300. However, the uncertainty around post-2100 simulations remain large due to gaps in understanding related to the role of the large ice-sheets. 1.6.2.2 UK future climate extremes For day-to-day extremes, UKCP18 extends the Probabilistic Projections to include extremes in terms of return periods (the average time between events) for maximum temperatures and heavy rainfall. These results project increases in both the values and spread over the course The 50th percentile values of high temperature and heavy rainfall expected to occur once every 50 years are projected to increase in all seasons under an illustrative high emissions scenario (RCP8.5). For example, by 2070 with a high emissions scenario, the daily maximum temperature of a 1-in-50-year event is projected to be 2.5°C (winter) to 3.7°C to 4.3°C

34 8th National Communication (spring, summer, autumn) warmer than in 1990. For rainfall, the 50th percentile for a 1-in- 50-year event is expected to have 5mm to 10mm (daily rainfall) or 9mm to 13mm (5-day accumulated rainfall) more rainfall in 2070 than in 1990 in autumn, winter or spring, with smaller increases expected in summer. The spread of values also increases; for example, UK averages of the 10th and 90th percentiles for 1-in-50-year events by 2070 under RCP8.5 32.0°C and 39.9°C for maximum daily temperature in summer; 40mm and 58mm for daily rainfall in winter; and 102mm and 142 mm for 5-day accumulated rainfall in autumn. UKCP Local models have better representation of how rainfall varies day-to-day and hour-to- hour. For hourly rainfall that is expected to occur once every two years, UKCP Local projects that this will be 29% heavier in the summer under a future climate with a high emissions scenario (2060-2080, RCP8.5). Similar increases are projected for rarer events and in the autumn, with smaller increases projected in spring and winter. UK Climate Projections data has also been translated into metrics that quantify the expected future impacts of weather on society. Projections show increases for temperature metrics related to hot events, accompanied by reductions in metrics related to cold events. These are quantified as the projections for the UK, with the range illustrating the effect of selected global average temperature increases above the pre-industrial level, known as the Global The numbers quoted show the effect of GWLs from 1.5°C (consistent with a low emissions scenario by 2100) to 4°C (consistent with a high emissions scenario by 2100). For example, the number of hot days (over 25°C) in the UK is projected to increase by between 5 days to 39 days per year. This could mean increased hospital admissions for those vulnerable to heat and increased transport disruption, for example from railway track buckling. The projections show an increase in an indicator of the energy demand for cooling (known as cooling degree days) of 134% to 627%. Increases are also projected in an indicator of the energy available for plant growth over a year (growing degree days) of 19% to 60%. Occurrences of tropical nights, when the temperature falls no lower than 20°C, are rare in the current climate but become more frequent in a warmer climate, particularly in southeast Conversely, the projections show a reduction of the number of frost days (below 0°C) of between 10 days to 49 days per year. Decreases are also found in an indicator of energy demand for heating (known as heating degree days) of 11% to 32%, implying a decrease in the adverse effects of cold weather. Impacts related to rainfall include projected increases in heavy events that could cause flooding and increases in average drought severity. The projections show an increase in occurrence of high-impact levels of daily rainfall from 1 day to 8 days per year. Average drought severity is projected to increase at most GWLs but with a small decrease possible with a low 1.5°C GWL, with changes of between -3% to 19% for 12-month drought duration, and for 36-month drought between -2% to 54%. Chapter 1 National Circumstances 35 1.7 Economy and industry profile In 2021, the UK had a Gross Domestic Product (GDP) of $3.2 trillion, making it the world’s 5th largest economy.14 It is the 14th largest exporter of goods ($468 billion in 2021) and second largest exporter of services ($342 billion in 2020).15 The growth rate of real GDP has in 2009, in line with the average for European Union countries. Economic growth resumed towards the end of 2009 but at a slower rate than the period prior to 2008. In 2020, the policies put in place during the coronavirus (Covid-19) pandemic, such as lockdowns, resulted in a 9.3% fall in GDP . This was followed by a 7.4% increase in GDP in 2021. This increase was due to a stronger and faster than expected recovery from the pandemic (both in the UK and elsewhere) thanks to rapid deployment of vaccines and reopening of economies from lockdowns. The level of real GDP in Q1 of 2022 was 0.7% higher than in Q4 of 2019,17 broadly in line with other G7 countries. Up until the GFC, the rate of growth in UK real GDP had exceeded the rate of population growth – leading to rising GDP per capita. However, since then the rate of increase of GDP per capita has slowed, and fell as a result of Covid-19, mirroring the fall in GDP . As of 2021, GDP per capita remained 3.6% below 2019 (pre-Covid) levels.
As of April 2022, the IMF18 forecast growth in the UK to be 3.7% in 2022. Growth forecasts for other developed nations are 3.7% for the USA, 2.1% for Germany, 2.9% for France, 2.3% for Italy, and 2.4% for Japan. Office for National Statistics 14 15 16 17 18 Pre-GFC TrendReal GDP Index (2019 = 100) Real Gross Domestic Product with pre-GFC trendline (Index: Q4 2019 = 100) 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 20222020

36 8th National Communication The last decade has been characterised by high employment and low unemployment, and stagnant wage growth. The employment rate peaked at 76.6% in the three months to February 2020 which was the highest rate since comparable records began in 1971.19 Similarly, the unemployment rate dropped to 3.8% in autumn 2019, the lowest since 1974.20 Due to the furlough scheme and other interventions the impact of the Covid-19 pandemic on employment and unemployment was relatively limited. Since the start of 2010, annual real regular pay growth has averaged just 0.3%21 and UK wage growth since the financial crisis has been the slowest of the G7 nations. pandemic has largely unwound. However, employment remains over 200,000 workers lower than its pre-Covid peak – this is in part due to inactivity, which has increased since the start of the pandemic. There is also a degree of tightness in the labour market, due to record high vacancies– job vacancies reached 1,294,000 in April to June 2022 - a near record.22 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Office for National Statistics Productivity declined sharply in 2009 during the economic downturn and has not recovered its pre-crisis trend rate of growth. In the decade to 2019Q4 output per hour worked grew by just 7.2% compared to 19.5% in the decade to 2008Q1.23 Output per hour fluctuated during the pandemic and was elevated from Q3 2020 onwards, but this was mainly due to 19 20 21 bulletins/averageweeklyearningsingreatbritain/july2022 22 bulletins/jobsandvacanciesintheuk/march2022 23

Chapter 1 National Circumstances 37 compositional effects as close-contact businesses and sectors closed (such as retail and hospitality), meaning that lower productivity workers were often the first to be furloughed. Prior to the Covid-19 pandemic, the UK had generally enjoyed low and stable inflation, broadly in line with the Bank of England’s 2% target. Since summer 2021 however, the UK like other developed nations, has experienced a rapid rise in inflation driven by a number of mostly external factors. These include high prices for energy and other commodities, exacerbated recently due to the war in Ukraine, a mismatch of global supply and demand, as well as base effects – abnormally low inflation in 2020 due to the pandemic. Consumer Price Index (CPI) inflation reached 9.4% in June 2022. This is the highest level of price inflation in the UK fo`r more than 40 years. As a result, real pay growth has recently returned to being negative for the first time since 2017. 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 The UK economy is dominated by the service sector (80% of GVA and 82% of employment).25 Prior to the Covid-19 pandemic, the fastest growing sector in the economy since the global financial crisis was the information and communication sector, which grew by around 130% between Q3 2009 and Q4 2019, largely as a result of technological progress Since the onset of the pandemic, the human health and social work sector has been growing fastest, with output in the sector in Q1 2022 being 14.5% larger than in Q4 2019.26 Human health and social work activities sectors have overtaken financial and insurance activities sectors in importance to the UK’s GDP since 2016. In 2021, human health and social work activities sectors contributed £189 billion in gross value added (GVA) to the UK economy, 24 25 accounted%20for,employment%20in%20April%2DJune%202021. 26

38 8th National Communication around 9% of the UK’s total GVA.27 However, much of the growth in the sector since the start of the pandemic has been driven by the UK Government’s Test & Trace and Vaccine programmes, and it is likely that this temporary boost to the sector will unwind as these Looking at the most recent data, GDP grew by 0.8% in Q1 2022, with growth across all main output sectors. Services grew by 0.6% on the quarter, and is now 1.5% above pre-pandemic (Q4 2019) levels. Construction grew by 0.8%, and is 0.3% above pre-pandemic levels, while production grew by 1.3%, but remains 1.7% below pre-pandemic levels. UK Government consumption after consumption and investment are the only expenditure component of GVA (the others being household consumption, business investment and net exports) that has risen since the start of the coronavirus pandemic, largely driven by health spending, and mirroring the growth seen in the health sector on the output measure. UK Government consumption has grown by 7.1% since the start of the coronavirus pandemic. Conversely, private consumption (-0.6%), business investment (9.2%) and net trade have all detracted from GDP growth since Q4 2019. for 2019, 2020 and 2021.28 In all three years, the professional, scientific and technical sector accounted for the largest number of businesses, although this has fallen by 4% between 2019 and 2021.
The largest growth in number of businesses came from a 4.7% growth in the Agriculture, forestry and fishing 150 5.5 149 5.4 141 5.1 Production 152 5.6 153 5.6 155 5.6 Construction 344 12.6 351 12.8 360 13 Motor trades 77 2.8 77 2.8 79 2.9 Wholesale 103 3.8 101 3.7 107 3.9 Retail 209 7.7 209 7.6 221 8.0 Transport and storage (inc. postal) 111 4.1 123 4.5 138 5.0 Accommodation and food services 157 5.8 162 5.9 167 6.0 Information and communication 226 8.3 226 8.2 213 7.7 Finance and insurance 60 2.2 62 2.3 61 2.2 Property 100 3.7 102 3.7 105 3.8 Professional, scientific and technical 472 17.4 468 17.0 453 16.4 Business administration and support services 229 8.4 236 8.6 230 8.3 Public administration and defence 8 0.3 8 0.3 8 0.3 Education 44 1.6 45 1.6 45 1.6 Health 102 3.8 103 3.8 105 3.8 27 ukbusinessactivitysizeandlocation 28 ukbusinessactivitysizeandlocation

Chapter 1 National Circumstances 39 Arts, entertainment, recreation and other services 174 6.4 176 6.4 177 6.4 Office for National Statistics This section provides a summary of the UK energy system looking at trends in production, consumption, imports and exports, and the price of energy. Energy supply accounted for around 21% of the UK’s GHG emissions in 2019 which fell 44% between 1990 and 2019.29 Total UK energy production increased rapidly between 1990 and 2000, mainly due to the growth of oil and gas. Production in 2000 was at record levels for natural gas, whilst in 1999 it was at record levels for overall energy and petroleum. Production has since been on a general decline, however production levels have increased since 2014 until the fall in 2019, as new oil fields have opened, combined with the growth in output from bioenergy and waste and the increased capacity of wind and solar technologies. Production in 2020 was 58% lower than its peak in 1999. Since 2000, oil and gas production together have fallen by an average of 5.1% per year30. In 2020 UK coal production fell to an all-time low of 1.7 million tonnes, 35% lower than in 2019. In 2020 surface mine production fell by 37% to a new record low of 1.6 million tonnes. This was a result of mine closures and falling demand for coal for electricity generation. In 1990, primary oil (crude oil and natural gas liquids) accounted for 46% of total production, natural gas 21%, coal 26%, with primary electricity (consisting of nuclear, wind, natural flow hydro and imports) a further 8%. In 2020 43% of total production came from primary oil, 30% from natural gas, 1% from coal, 10% from other renewables (bioenergy and waste) and 15% Bioenergy & wastePrimary electricity CoalNatural gasPrimary oil million tonnes of oil equivalent UK Energy in Brief, BEIS (adapted) 29 UK Greenhouse Gas Inventory – Latest year for which data is available at the time of writing is 2019 30

40 8th National Communication Import dependency is calculated by dividing net imports by primary supply (adjusted for In the 1970s the UK was a net importer of energy. Following development of oil and gas production in the North Sea, the UK became a net exporter of energy in 1981. Output fell back in the late 1980s following the Piper Alpha disaster, with the UK regaining a position as a net exporter in the mid 1990s. North Sea production peaked in 1999, and the UK returned to being an energy importer in 2004. In 2013 imports of petroleum products exceeded exports following the closure of the Coryton refinery; the UK is now a net importer of all main fuel types, although in 2020 it became a net exporter of primary oils for the first time since 2004, as well as remaining a net exporter of some petroleum products such as petrol and fuel oil. In 2020, 28% of energy used in the UK was imported, down sharply from the 2019 level due to the impact of the Covid-19 pandemic as the UK imported less fuel to meet 1990 1995 2000 2005 2010 2015 2020 UK Energy in Brief, BEIS 1.8.3 Primary energy consumption In 2020, the total UK level of primary energy consumption (fuels obtained directly from natural sources rather than being produced by transformation) was 163 million tonnes of oil equivalent (mtoe) excluding non-energy use. The level of primary energy consumption in 2020 was 18% lower than in 1990. On a temperature-corrected basis (to remove the impact a hot or cold year has on energy consumption) primary energy consumption in 2020 was 24% lower than in 1990 with a slight rise to 2005 followed by a decrease. 31 UK_Energy_in_Brief_2021_dataset.xlsx

Chapter 1 National Circumstances 41 both the unadjusted and temperature corrected series32. million tonnes of oil equivalent 1990 1995 2000 2005 2010 2015 2020 Energy Consumption in the UK 2021 – Primary Consumption, BEIS (adapted) point at which they become available from home production or imports to their eventual final uses33. They are shown in their original state and after conversion into different types of energy by the secondary fuel producers. The flows are measured in million tonnes of oil equivalent, with the widths of the bands approximately proportional to the size of the flow 32 file/1021842/2021_Primary_Energy_Tables.xlsx

42 8th National Communication A number of transformations occur to get from primary energy sources to usable fuel with crude oil refined into various petroleum products. In 2020, around 15% of primary supply was Electricity supply rose from 309 TWh to 385 TWh between 1990 and 2005 but has since fallen. In 2019 electricity supply was 328 TWh and in 2020 it was 314 TWh. The contribution of gas generation has increased from 0.1% in 1990 to 35% in 2020. Net imports of electricity 1.13 shows electricity supplied by fuel for 1990 and 2020, to show how the fuel mix in electricity supplied has changed34.
34 UK_Energy_in_Brief_2021_dataset.xlsx

Chapter 1 National Circumstances 43 1990 1995 2000 2005 2010 2015 2020 Wind & solar Other renewable Gas Coal Other & net imports Nuclear UK Energy in Brief, BEIS energy consumption fell 24% to 163 mtoe, this was driven by a 92% (61 mtoe) fall in coal consumption and a 34% (25 mtoe) reduction in petroleum consumption35. However, a large share of the reduction in petroleum consumption can be attributed to travel restrictions imposed as a result of the Covid-19 pandemic. Petroleum consumption in 2019 was 13% below 1990 levels. The average temperature in 2020 was 0.3 degrees Celsius warmer than in 2019; on a temperature corrected basis, primary energy consumption was 10% Fuel 1990 1995 2000 2005 2010 2015 2020 Coal 66.9 48.9 38.5 39.9 32.6 25.1 5.6 Oil 77.2 75.4 76.7 78.2 70.2 67.4 50.9 Gas 51.2 69.2 95.9 94.3 93.5 68.1 68.4 Primary electricity 17.7 23.1 21.4 19.8 15.4 21.9 20.5 Bioenergy & waste 0.7 1.7 2.3 4.2 7.6 12.5 18.0 Total 213.6 218.4 234.8 236.3 219.3 195.1 163.3 UK Energy in Brief, BEIS 35 UK_Energy_in_Brief_2021_dataset.xlsx

44 8th National Communication Between 1990 and 2019, final energy consumption in the UK decreased by 6%, from 147 mtoe to 139 mtoe. In 2020 final energy consumption was 18% below 1990 levels at 121 mtoe though this is well below trend, reflecting the impact of Covid restrictions in place. From 2005, a general declining trend in final energy consumption was driven by improvements in energy efficiency. In 1990 final consumption from petroleum was 43% of total final energy consumption in the UK. By 2019 this had risen to 45% though 2020 saw a reduction to 39% owing to temporary travel restrictions. The share of final consumption met by electricity increased was 16% in 1990 increasing to 20% by 2020. Natural gas increased from 31% to 34%. Increases in the contribution from bioenergy and waste have been steep over the last 15 years from 0.5% in 1990 1995 2000 2005 2010 2015 2020 million tonnes of oil equivalent Natural gas Petroleum Electricity Coal and other solid Heat Bioenergy and waste Energy Consumption in the UK 2021 – Consumption Tables, BEIS in the UK by sector37. In 1990 the transport sector was responsible for 33% of final energy consumption, the domestic sector a further 28% with industry responsible for 26% and 13% coming from services. By 2019 the share of final demand attributable to transport was 41% and industry was down to 16%. In 2020 the share attributed to transport reduced to 33%, reflecting restrictions in place to curb the Covid-19 pandemic. 36 37

Chapter 1 National Circumstances 45 1990 1995 2000 2005 2010 2015 2020 million tonnes of oil equivalent Industry Services Domestic Transport Energy Consumption in the UK 2021 – Consumption Tables, BEIS The relationship between energy consumption and economic activity at the aggregate level can be gauged by comparing a country’s temperature corrected inland primary energy consumption with its gross domestic product (GDP). The energy ratio is calculated by dividing temperature corrected primary energy consumption by GDP at constant prices. The carbon ratio is calculated similarly by dividing carbon dioxide emissions by GDP . Both ratios have fallen steadily, with the energy ratio declining by around 2.5% per year and The downward trends are due to a number of factors, with improvements in energy efficiency and the decline in the relative importance of energy intensive industries affecting both ratios. The carbon ratio has been improved further by the increased use of more carbon efficient The reduction in the carbon ratio in 2020 is primarily due to the large reduction in the use of road transport during the Covid-19 pandemic lockdowns, with CO2 emissions from transport 38 UK_Energy_in_Brief_2021_dataset.xlsx

46 8th National Communication 1990 1995 2000 2005 2010 2015 2020 UK Energy in Brief, BEIS Latest International Energy Agency data for 2019 shows that the energy ratio is falling in all G7 countries. The UK is estimated to have the lowest energy ratio in the G739. UK energy prices are influenced by a number of factors, both local and global. Prices of primary fuels (gas, coal, oil) will obviously affect the price of secondary fuels (electricity, road fuels), but can also themselves be affected by the price of the other primary fuels. consumer price index (CPI) to rebase nominal prices. There were peaks in oil prices in 2008 and 2012 but in 2020 prices dropped to 41.84 USD/bbl compared to a 1990 price of 46.98 USD/bbl40 as the Covid-19 pandemic reduced demand. 39 Based on data from the IEA World Energy Balances 40 review/bp-stats-review-2021-all-data.xlsx

Chapter 1 National Circumstances 47 1990 1995 2000 2005 2010 2015 2020 * 2020USD (deflated using the Consumer Price Index for the US) BP Statistical Review of World Energy 1965 – 2020 Domestic transport accounted for 24% of all UK greenhouse gas emissions in 2020, almost entirely through carbon dioxide emissions. The main source of emissions comes from the use of petrol and diesel fuels in road transport. Between 2019 and 2020, transport emissions fell by 19%, attributable to the impact of the COVID-19 pandemic as people were instructed to stay at home for large periods of time Road transport makes up the largest proportion of domestic transport emissions at contributing 19%. Provisional estimates of carbon dioxide emissions from domestic transport in 2021 have risen, primarily due to the increase in the use of road transport as nationwide Demand for transport continued to increase steadily across many modes until 2019, before a steep decline in 2020 and 2021 due to restrictions introduced during the pandemic. For example, passenger kilometres travelled by cars, vans and taxis rose from 139 billion in 1960 to 738 billion in 2019. Distance travelled by rail rose from 40 billion passenger kilometres in 1960 to its all-time peak of 82 million passenger kilometres in 2018. However, distance travelled on buses and coaches has seen a long-term decline.
Passenger mileage in 2019 was less than half of what it was in 1960 41 file/1051408/2020-final-greenhouse-gas-emissions-statistical-release.pdf 42 britain-2021#freight-transport

48 8th National Communication Public transport use was heavily impacted by COVID-19. Between 2019 and 2020 passenger kilometres travelled on buses and rail fell from 33 billion to 14 billion and 80 billion to 16 billion respectively. This has begun to recover although future trends are less certain as use of public transport has not yet reached pre-pandemic levels. In contrast, levels of active travel spiked significantly in 2020 when compared with previous years. Miles cycled and walked per person increased by 62% and 7% respectively to the highest levels seen since 200243. The freight sector is vitally important for the UK, with 176bn tonne-kilometres (the weight of goods carried, multiplied by the distance) of domestic freight moved in 2020. Road freight made up the largest proportion of domestic freight being moved in the UK in 2022, accounting for 77%. Road freight remained relatively stable between 2000 and 2006. After which, goods moved by road declined to its lowest level in 2009, before a consistent increase from 2015 onwards. The COVID-19 pandemic interrupted this trend, with an 11% decrease in road freight traffic in 202044. The maritime and aviation sectors both remain vital for UK transport. 51 major ports together handle at least one million tonnes of cargo annually45. At least 82,000 cargo vessels arrived at UK major ports during 2020, 14% less than in 2019. UK airports support connections to over 300 overseas destinations in more than 100 countries46. In terms of domestic emissions, 43 coronavirus-pandemic-on-walking-and-cycling-statistics-england-2020 44 britain-2021#freight-transport 45 britain-2021#freight-transport 46 xxxxxx

Chapter 1 National Circumstances 49 in 2019 aviation and maritime were responsible for 1% and 5% of the UK’s emissions. The UK Government has announced that for Carbon Budget 6 (2033-2037), international aviation and shipping emissions will be counted within the UK total47. In 2019 these sectors were responsible for 37MtCO2e and 8 MtCO2e respectively. The COVID-19 pandemic led to an unprecedented decline in the number of terminal passengers at UK airports. In April 2020, passenger numbers dropped by 99% compared to April 2019 and remained low Significant changes in the transport sector are taking place to reflect the UK’s drive towards net zero. The UK Government has announced the end of sales of new petrol and diesel cars and vans in 2030, with a phase out of the sale of all types of new non-zero-emission vehicles car registrations in Great Britain, falling by 51% compared to 2019. Over the same period, new petrol car registrations fell 35%. By contrast, new registrations of alternative fuel cars increased sharply by 87% in 2020 compared to 201948. In December 2021, over a quarter Investment and development of electric vehicle infrastructure is also advancing at pace. There are around 29,600 public charge points in the UK and this infrastructure is serving around 750,000 plug-in vehicles (of which over half are pure battery electric). Of these, around 5,400 are “rapid” – able to charge an EV in around 30 minutes50. On average, 100 new rapid chargers were added to the UK network every month during 2021. The Renewable Transport Fuels Obligation (RTFO) also forms part of the UK’s strategy of reducing transport emissions. This sets an annual obligation on fuel suppliers to supply transport fuels derived from renewable energy sources. As of 2022, suppliers are required to 47 48 vehicle-licensing-statistics-2020.pdf 49 britain-2021#freight-transport 50 taking-charge-the-electric-vehicle-infrastructure-strategy.pdf

50 8th National Communication redeem Renewable Transport Fuel Certificates (RTFCs) equivalent to 13.5% of the volume of fossil and unsustainable renewable fuel supplied. This percentage will rise to 21.1% by 203251. As of 2020, renewable fuel made up 5.9% of total fuel supplied in the UK. Furthermore, the proliferation of future green technology is also advancing due to increased investment in R&D across all modes of transport. In 2021-22, £20m was invested in Zero Emission Road Freight Trials (ZERFT) to support industry-led feasibility studies into developing cost-effective, zero-emission HGVs and their associated infrastructure. £180m is supporting the development of sustainable aviation fuels (SAF) plants to build on the progress made in previous advanced fuels competitions. In early 2022, it was also announced that a £206m R&D programme will be delivered through the new UK Shipping Office for Reducing 1.10 Building Stock and Urban Structure Profile Despite the UK’s long history of urbanisation, some areas are sparsely populated, including the highlands of Scotland, and parts of Wales and Northern England. In 2020, there were around 29 million dwellings in the UK, 23.5 million of which in England52, 2.65 million in Scotland53, 1.4 million in Wales54, and around 800,000 in Northern Ireland55. Most common types of dwellings in England were terraced houses (27%) followed by semi-detached (25%), detached (18%), purpose-built flats (19%) and all other types of dwellings (12%)56. There were an estimated 27.8 million households in the UK in 2020, an increase of 5.9% over the last 10 years. The number of households in England is projected to increase by 1.6 million (7.1%) between 2018 and 2028, from 23.2 million in 2018 to 24.8 million in 2028. An estimated 95% of the projected increase in households by 2028 is attributable to one- person and multiple adult households without dependent children57. In Scotland the number of households is projected to increase by 5% between 2018 and 202858. The total number of households in Wales is projected to be around 1.42 million by 2028, an increase of 4.4% In 2020 GHG emissions from waste contributed to 4% of total UK emissions, representing an emissions reduction of 73% since 1990. Approximately 89% of emissions from this sector are The UK Government and the Devolved Administrations have published their individual waste strategies aiming to reduce the quantity of waste produced and to increasingly recover value 51 52 53 54 55 56 English Housing Survey, 2020 58 59 60

Chapter 1 National Circumstances 51 from it.
The strategies set out ambitions to reduce the amount of waste sent to landfill and to increase the amount of recycling or composting. These ambitions will help reduce the level of emissions from the waste sector in the UK. In 2019 households in the UK produced 26.4 million tonnes of waste, a reduction of In 2019, 46.2% of waste from households was recycled in the UK; this is an increase from the rate of 44.5% achieved in 2015.62 The UK commercial & industrial sectors generated 43.9 million tonnes of waste in 2018, of which 37.2 million tonnes (around 85%) was produced in England. By comparison, the 2016 UK commercial & industrial waste arisings figures was 41.0 million tonnes, of which 33.1 million tonnes was generated by England. Over two thirds of commercial & industrial waste is generated by the commercial sector, in both Local authorities in England recycled, composted or reused 10.7 in 2020-2164. The amount of local authority collected waste sent to landfill and incineration in 2020-21 was 2.0 million tonnes and 12.5 million tonnes, respectively. Concerning landfill, it is a reduction from 4.1 million tonnes sent to landfill in 2016-17. In 2021, around 71% (17.2 million hectares) of the total UK land area was used for About 4.5 million hectares of this was arable, of which around two thirds were under cereal production. 11.2 million hectares is currently under grass, (temporary, permanent and sole right rough grazing). The remainder was common rough grazing and land for outdoor pigs.66 Total agriculture area saw a 0.8% decrease between 2016 and 2021, and total croppable area decreased by 0.3%. The biggest change in agricultural land use was seen in uncropped arable land which saw a 1% increase since 2016. 61 62 Presented recycling rates include incinerator bottom ash (IBA) metal. 63 64 Statistics_on_waste_managed_by_local_authorities_in_England_in_2020_v2rev_accessible.pdf 65 and-agricultural-workforce-at-1-june-2021-uk 66 and-agricultural-workforce-at-1-june-2021-uk

52 8th National Communication Total agricultural area 2021 = 17,227 thousand hectares Agriculture in the UK 2021, Department for Environmental, Food and Rural Affairs Livestock numbers have a negative impact on GHG emissions due several processes including enteric fermentation. The total number of cattle and calves in the UK saw a 4% decrease between June 2016 and June 2021, to around 9.6 million. There is a general downward trend of cattle numbers in June since 2005, although between 2013-2016 this trend has started to reverse slightly before continuing its downward trend in recent years. The UK’s dairy herd remained static at 1.9 million although the UK’s beef herd has decreased by 5% since 2016 down to 1.5 million. Total cattle and calf numbers in the UK during the period

Chapter 1 National Circumstances 53 The total number of pigs in the UK increased in June 2021 by 9% since June 2016, to just above 5.3 million. There was a 0.4% increase in the total number of breeding pigs in the UK, to just over 500,000 animals in June 2016. Total pig numbers in the UK during the period The total number of sheep and lambs in the UK decreased by 3% between June 2016 and June 2021, to just below 33 million. The UK’s female breeding flock decreased by 4% to 15.6 million over the same period. Smaller decreases were seen in other sheep and lambs for the UK falling 3%. These include lambs less than 1 year of age, rams and other sheep that are 1 year or older. Total sheep and lamb numbers in the UK during the period 1984-2021 are

54 8th National Communication The area of woodland in the UK on 31 March 2021 is 3.2 million hectares. Of this total, 1.5 million hectares (46%) is in Scotland, 1.3 million hectares (41%) is in England, 0.3 million hectares (10%) is in Wales and 0.1 million hectares (4%) is in Northern Ireland. This has forests still account for 0.9 million hectares. Around 1.6 million hectares of the total UK woodland is made up predominantly of conifer species, the remainder being broadleaved. The total area of new planting and restocking in the UK was 27.4 thousand hectares in 2020- 21. Restocking accounted for 51% of this total. Broadleaved species accounted for 45% of the new planting area but just 18% of the restocked area in 2020-21 een tonnes of softwood was produced in the UK in 2020 and accounted for 92% of removals from UK woodland. UK hardwood production totalled 0.8 million green tonnes in 2020. Softwood availability in Great Britain is projected to increase to an annual average of 17.4 million green tonnes over the five-year period 2022 to 2026 and 18.4 million green tonnes from 2027 to 2031 67 68 69

Chapter 1 National Circumstances 55 Apparent consumption of wood in the UK amounted to 54.8 million m3 wood raw material equivalent in 2020, made up of 10.4 million m3 UK production, 48.0 million m3 imports and This sector can act as both a source and a sink for GHG emissions. 70

Chapter 2 Greenhouse gas inventory This chapter presents information on UK GHG emissions and the National System established to produce and quality assure the UK GHG Inventory. A fuller description of this National System can be found in the UK’s National Inventory Report (NIR), submitted to the United Nations Framework Convention on Climate Change (UNFCCC) in 20221. The UK is obliged to produce an annual GHG inventory, containing an estimate of all anthropogenic GHG emissions across the UK, in order to meet its commitments under the UNFCCC and the Kyoto Protocol; it will continue to do so to meet its commitments under the Paris Agreement. Data from the GHG inventory are also used to monitor progress against Carbon Budgets under the UK Climate Change Act 2008. For more information on the UK’s domestic and international targets, see Chapter 3 of the UK’s 5th Biennial Report, included as an Annex to this National Communication. The GHG inventory covers the seven direct GHGs under the Kyoto Protocol.
These are collectively known as the ‘basket’ of GHGs and carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulphur hexafluoride (SF6) and nitrogen trifluoride (NF3). The last four gases are collectively referred to as fluorinated gases (F gases). In accordance with international reporting and carbon trading protocols, emissions from each of the gases are weighted by its global warming potential (GWP), so that total greenhouse gas emissions can be reported on a consistent basis. The GWP for each gas is defined as its warming influence in relation to that of CO2 over a 100- year period. Greenhouse gas emissions are then presented in carbon dioxide equivalent units (CO2e). Annex VI contains a list of GWPs for each gas. The UK’s base year for assessing emissions of CO2, CH4, and N2O under the Kyoto Protocol is 1990. The UK has chosen to use 1995 as the base year for emissions of the fluorinated HFCs, PFCs, SF6 and NF3. This is in line with most European states, and in accordance with Article 3.8 of the Kyoto Protocol. Land use, land-use change and forestry (LULUCF) emissions and removals are reported in the UK’s GHG inventory in accordance with the rules for reporting this sector under the UNFCCC. The UNFCCC reporting basis includes an estimate of all anthropogenic sources minus sinks from the LULUCF sector. A narrower definition of LULUCF emissions and removals is used to assess progress against the Kyoto target which includes only activities under Article 3.3 and 3.4 of the Kyoto Protocol. For the 1 UK Greenhouse Gas Inventory, 1990–2020, Annual report for submission under the UN Framework Convention on Climate Change, April 2022:

58 8th National Communication second commitment period of the Kyoto Protocol the UK elects Cropland Management, Grazing Land Management, and Wetland Drainage and Rewetting, as activities under Article 3.4. The UK does not elect Revegetation, as the eligible land area for Revegetation within the UK is estimated to be very small, and therefore the associated potential sink will In addition to the provision of a national inventory covering the whole of the UK and British Crown Dependencies and Overseas Territories, the UK also produces annual spatially disaggregated inventories to provide geographical breakdown to England, Scotland, Wales and Northern Ireland, and to the 374 local authorities that make up the UK This chapter shows trends in UK GHG emissions between 1990 and 2020, disaggregating overall emissions by gas and by source sector. More information on UK GHG emissions trends can be found in the Common Tabular Format Tables, included as Annex II. • In 2020, UK gr eenhouse gas (GHG) emissions on a UNFCCC basis3 were 409.5 million tonnes of carbon dioxide equivalent (MtCO2e) – 49.5% lower • Between 1990 and 2020, carbon dioxide emissions including land use, land use change and forestry (LULUCF) fell by 46.8%. Methane emissions fell by 61.6% and nitrous oxide emissions fell by 57.6%. Between 1990 and 2020, emissions of fluorinated gases (hydr perfluorocarbons, nitrogen trifluoride and sulphur hexafluoride) fell by 25.9%. eduction in GHG emissions since 1990 has been driven predominantly by a decrease in emissions from the energy sector, due to the move away from coal- fired generation towards the use of natural gas and renewable sources. Significant emissions reductions have also resulted from tighter regulation of landfill waste sites, increased utilisation of landfill methane in gas flares and engines, and abatement technology in adipic acid and nitric acid manufacture. In the transport sector, improved technology such as fuel efficiency has contributed to offsetting an increase in activity. In 2020, COVID-19 will have had a significant impact on greenhouse gas emissions in the UK, in particular from transport and from businesses. 2.3 N ational system for preparing the UK GHG inventory This section provides a summary of the national system the UK uses for preparing its GHG inventory. Section 1.2 of the National Inventory Report presents the full details of the UK’s institutional arrangements for inventory preparation. 2 Local Authority is a designation of local government used in the United Kingdom. 3 The UK’s ratification of the UNFCCC has been extended to the Overseas Territories of Bermuda, the Cayman Islands, the Falkland Islands and Gibraltar; and the Crown Dependencies of Guernsey, the Isle of Man and Jersey and the UK reports an inventory on this basis. 4 Greenhouse gas emissions are expressed throughout this document as million tonnes of carbon dioxide 2e). Gases other than CO2 are expressed in terms of carbon dioxide equivalent by multiplying their emissions by their global warming potential (GWP). GWPs are taken from the 4th Assessment Report 5 1990-2020 UK National Inventory Report (NIR):

Chapter 2 Greenhouse gas inventory information 59 The UK’s GHG inventory is compiled and maintained by a consortium led by Ricardo Energy and Environment6 – the Inventory Agency – under contract to the Science and Innovation for Climate and Energy (SICE) Directorate in the Department for Business, Energy and Industrial Strategy (BEIS). Ricardo Energy and Environment is directly responsible for producing the emissions estimates for the following Energy, Industrial Processes and Product Use (IPPU), and Waste. Ricardo Energy and Environment is also responsible for inventory planning, data collection, QA/QC and inventory management and archiving. Aether, a member within the consortium, is responsible for compiling emissions from railways and for the UK’s Overseas Territories and Crown Dependencies. Gluckman Consulting advises on fluorinated gas (F-gas) emissions. Forestry emissions and removals in the Land-Use, Land-Use Change and Forestry (LULUCF) sector are calculated by Forest Research and the remainder of the sector is calculated and compiled by the UK Centre for Ecology and Hydrology (UKCEH), both partners within the consortium. Agricultural sector emissions estimates are produced by Rothamsted Research, under contract to the UK Department for Environment, Food and Rural Affairs (Defra). of data to the European Union under the terms of the Monitoring Mechanism Regulation. BEIS is the Single National Entity responsible for submitting the UK’s GHGI to the UNFCCC. 6 Ricardo Energy and enquiry-ee@ricardo.com.
60 8th National Communication UK National Inventory Report, published 2022 The UK operates an established national system for GHG emissions estimation, reporting and archiving. Data are collected on an annual basis from national statistics, industry, trade associations and data associated with industrial pollution reporting and emissions trading. Historically, the acquisition of the data required has been based on a combination of existing environmental and energy legislation and informal arrangements with industry contacts and trade associations. At the end of each inventory cycle, all data, spreadsheets, databases and reports are archived, allowing all data to remain traceable, should it be needed in future years. The GHG inventory is compiled annually according to international best practice with regard to the Intergovernmental Panel on Climate Change (IPCC) 2006 Guidelines7 and the IPCC 2013 Wetlands Supplement8. The GHG emissions reported by the UK are estimated using 7 2006 IPCC Guidelines for National Greenhouse Gas 8 2013 Supplement to the 2006 IPCC Guidelines for National Greenhouse Gas Wetlands. Chapter 2 Greenhouse gas inventory information 61 methodologies which mostly correspond to the sectoral Tier 2/3 methods in the IPCC Guidelines, with a higher level of detail than Tier 1 methods. The methodologies and data sources used to create the GHG inventory are summarised in Section 1.4 of the NIR. Each sector specific chapter of the NIR provides details of the process for the recalculation of previously submitted inventory data. The NIR, including Common Reporting Format (CRF) tables, is reported to the EU and the UNFCCC each year by the deadlines set. The UK left the European Union on the 31 January 2020; under the terms of the Withdrawal Agreement, the UK remains committed to its shared targets and reporting with the EU under the Convention and the Kyoto Protocol. The inventory undergoes peer, expert and bilateral reviews, which are detailed in Section 1.6 of the NIR. In spring each year, BEIS and the Inventory Agency hold a review meeting, at which the findings of the EU and UN reviews, internal post-submission review and qualitative analysis of source categories are discussed in order to guide the development of the inventory. Chapter 10 of the NIR provides brief details of improvements to the NIR and the inventory in response to UNFCCC reviews. The development of the inventory is driven through the National Inventory Steering Committee (NISC), and the inventory improvement programme. Methodological improvements take account of new data sources, updated guidance from the IPCC, and specific research programmes sponsored by UK Government Departments including BEIS, Defra and Department for Transport (DfT) together with the Devolved Administrations. All methodological improvements are applied back to 1990 to ensure a consistent time series. Section 1.7 of the NIR provides details of the uncertainty analyses; Section 1.5 provides a description of the key categories and the processes to identify them; and, Section 1.6 provides a description of the QA/QC system, and the inventory improvement programme. The UK National Registry is operated and maintained by the Environment Agency on behalf of BEIS. The National Registry is represented on the NISC. All changes in the National Registry are reported in Chapter 14 of the NIR. Since the UK submitted its Fourth Biennial Report in 2019, one major change to the UK’s National Inventory System is that the NISC has been restructured from a single body to two groups, the Advisory Body and the Executive Body. The purpose of the Advisory Body is to advise on how proposed changes to the inventory should be prioritised and delivered, discussing any risks to the data supply chain as well as reviewing the inventory to identify any potential issues. The Executive Body reviews and discusses modifications to the inventory methodology and resulting recalculations, making recommendations as to whether these modifications should be accepted. It also advises the BEIS Greenhouse Gas Inventory Team on how improvements to the inventory should be prioritised. The Executive Body aims to ensure that a rigorous science and evidence base remains central to decision-making on the future of the inventory, and stakeholders remain up to date with any significant risks 2.4.1 Geographical coverage used for national and international reporting The UK inventory provides data to assess progress of the UK’s commitments under the Kyoto Protocol, the UK’s contribution to the EU’s targets under the Kyoto Protocol, progress towards the UK Government’s own Carbon Budgets and to meet commitments as a Party to the UNFCCC. Under the terms of the Withdrawal Agreement, the UK remains committed to its shared target with the EU under the Kyoto Protocol. Geographical coverage for these four purposes differs to some extent, because of the

62 8th National Communication 1. The UK Government Carbon Budgets apply to the UK only and exclude all om the UK’s Crown Dependencies and Overseas Territories. 2. Kyoto Protocol coverage. For the second commitment period, this own Dependencies (Guernsey, Isle of Man and Jersey) erritories (Cayman Islands, Falkland Islands and Gibraltar only. Other Overseas Territories are not included as they are not signed up to the 3. Monitoring Mechanism Regulation (MMR) coverage. The UK’s commitments under the EU MMR, which has been set up to enable the EU to monitor pr its Kyoto Protocol target, only includes the UK and Gibraltar, since the Crown Dependencies and other Overseas Territories are not in scope of the EU2020 target. UNFCCC coverage. The UK’s ratification of the UNFCCC has been extended to the Overseas Territories of Bermuda, the Cayman Islands, the Falkland Islands and own Dependencies of Guernsey, the Isle of Man and Jersey and the UK reports an inventory on this basis. Unless otherwise indicated, this report presents emissions estimates based on UNFCCC coverage. This is consistent with the geographical coverage of emissions projections presented in Chapter 4 of this report. coverages of the United Kingdom, Crown Dependencies and Overseas Territories including net emissions/removals from LULUCF.
Together these total the overall emissions estimates 19 90 1995 2000 2005 2010 2015 2016 2017 2018 2019 2020 United Kingdom 806.3 755.4 718.2 692.3 608.6 507.9 483.1 471.6 463.5 447.9 405.5 Crown Dependencies 1.7 1.8 1.9 1.6 1.5 1.4 1.4 1.4 1.4 1.5 1.3 Overseas Territories 1.8 1.9 2.0 2.3 2.5 2.7 2.6 2.7 2.8 2.7 2.5 0.2 0.2 0.2 0.3 0.3 0.2 0.2 0.2 0.2 0.2 0.1 0.3 0.2 0.2 0.2 0.3 0.2 0.3 0.3 0.2 0.2 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Total 810.2 759.5 722.6 696.7 613.1 512.5 487.5 476.2 468.1 452.5 409.5 Change from 1990 (%) -6.3 -10.8 -14.0 -24.3 -36.7 -39.8 -41.2 -42.2 -44.1 -49.5 UK GHG Inventory, 1990-2020. There are no shipping movements reported between the Crown Dependencies and Overseas Territories and so it is reported as ‘Not Occurring’ in the UK’s GHG inventory. Chapter 2 Greenhouse gas inventory information 63 2009 and 2012 are due to a number of one-off effects in the series – namely the 2008 recession, which reduced consumption and led to a reduction in emissions; and particularly cold weather in the UK in 2010 and 2012 that resulted in increased emissions from gas for heating. In 2020, the coronavirus (COVID-19) pandemic and the resulting restrictions introduced across the UK had major impacts on various aspects of society and the economy. As a result, COVID-19 will have had a significant impact on greenhouse gas emissions in the UK, in particular from transport and from businesses. Other factors such as warm weather and the continued decarbonisation of electricity generation will also have influenced the emissions reductions between 2019 and 2020. Annex II contains tables summarising the UK’s GHG emissions. More details can be found in the UK’s annual GHG inventory, published in April 20229. Unless otherwise indicated, percentages quoted relate to net emissions (i.e. accounting for carbon sinks in the LULUCF sector). 2.5.1 GHG emissions inventory by gas GHGs covered by the Kyoto Protocol. The changes in emissions relative to a 1990 index are available for all years from 1990-2020. Please note the emissions estimates for CH4 and N2O in Annex II, Tables 1(b) and 1(c) are not weighted by GWP and therefore differ from the emissions estimates presented in this report and the emissions estimates in Annex II, 9 1990-2020 UK National Inventory Report (NIR):

64 8th National Communication UK GHG Inventory, 1990-2020 Index of GHG emissions (1990 = 100) UK GHG Inventory, 1990-2020

Chapter 2 Greenhouse gas inventory information 65 Gas 1990 1995 2000 2005 2010 2015 2016 2017 2018 2019 2020 Carbon dioxide (CO2) 608.6 570.6 571.1 569.8 509.8 419.7 396.8 384.6 377.5 362.9 324.0 Methane (CH4) 134.6 128.5 111.1 90.1 67.2 55.8 54.1 54.5 54.0 53.7 51.6 Nitrous oxide (N2O) 49.7 40.0 30.2 26.2 23.1 22.2 21.9 22.3 22.2 22.2 21.1 Hydrofluorocarbons (HFCs) 14.4 18.6 7.8 9.2 12.1 14.1 14.1 14.0 13.7 13.0 12.2 Perfluorocarbons (PFCs) 1.6 0.6 0.6 0.4 0.3 0.3 0.3 0.4 0.1 0.2 0.2 Sulphur hexafluoride (SF6) 1.2 1.2 1.8 1.0 0.7 0.4 0.4 0.4 0.5 0.5 0.4 Nitrogen trifluoride (NF3) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Total 810.2 759.5 722.6 696.7 613.1 512.5 487.5 476.2 468.1 452.5 409.5 UK GHG Inventory, 1990-2020 The sections that follow summarise the main factors affecting the historical trend by gas. Percentages and data quoted in these sections refer to the full UNFCCC geographical coverage unless otherwise specified. Annex II has more detailed data available for all years Emissions of CO2 are by far the largest component of total GHG emissions, making up 79.1% of the inventory in 2020. Net CO2 emissions (all anthropogenic sources minus removals by sinks) in 1990 were estimated to be 608.6 MtCO2e, or an estimated 75.1% of the UK’s total emissions of GHGs. By 2020, CO2 emissions estimates had been reduced by 46.8% The main source of CO2 is from combustion of fossil fuels, of which the largest sources are power generation and road transport. Emissions have reduced across the time series due to significant investments in renewable energy generation, fuel switching, and improvements in end-use efficiency. The strong link between gas and electricity use and CO2 emissions means that short term trends can be dominated by UK temperatures. In cold years like 1996, 2010, and 2012 there was an increase in demand for gas and electricity for heating and in warm years like 2011 and 2014 there was a decrease. The second largest source of greenhouse gases is CH4, making up 12.6% of the inventory in 2020. CH4 emissions in 1990 were estimated to be 134.6 MtCO2e, or an estimated 16.6% of the UK’s total emissions of GHGs. By 2020, CH4 emissions estimates had been reduced by The main sources of CH4 are agriculture, waste disposal, leakage from the gas distribution system and coal mining. Reductions in CH4 emissions in the UK are driven by the increased utilisation of methane from landfills, a large decline in UK coal mining, investment in improvements to the natural gas supply infrastructure to reduce leakage and a reduction in Emissions of N2O have also reduced by over half since 1990. N2O emissions made up 5.1% of the inventory in 2020. N2O emissions in 1990 were estimated to be 49.7 MtCO2e, or an estimated 6.1% of the UK’s total emissions of GHGs. By 2020, N2O emissions estimates had been reduced by 57.6% to 21.1 MtCO2e. 66 8th National Communication Most N2O emissions are generated from the agriculture sector. Agriculture sector N2O emissions have decreased primarily due to reduced emissions from synthetic fertiliser application. N2O is also released during the production of nitric and adipic acid, a significant source in 1990, contributing to approximately half of all N2O emissions. Due to a decline in production together with the installation of abatement equipment, the Industrial Processes and Other Product Use (IPPU) sector now only contributes around 4% of N2O emissions.
2.5.1.4 Fluorinated gases (hydrofluorocarbons, perfluorocarbons, sulphur hexafluoride Emissions of the fluorinated or industrial gases (F-gases) are small in absolute terms, but Annex VI. For the purpose of accounting under the Kyoto Protocol, the UK has chosen to use 1995 as the base year for emissions of HFCs, PFCs, SF6 and NF3. Comparisons for F-gases will therefore be made against both 1990 and 1995 emissions. The smallest percentage reduction in emissions across the time series is for the F-gases. Together, F-gas emissions made up 3.1% of the inventory in 2020. F-gas emissions in 1990 were estimated to be 17.3 MtCO2e, or an estimated 2.1% of the UK’s total emissions of GHGs. F-gas emissions in 1995 were estimated to be 20.4 MtCO2e, or an estimated 2.7% of the UK’s total emissions of GHGs. By 2020, F-gas emissions had been reduced by 25.9% since 1990 and 37.4% since 1995, to 12.8 MtCO2e. All F-gas emissions are accounted for under the IPPU sector. F-gas emissions have decreased since 1995, due mainly to the fall in F-gas manufacture in the UK and the installation of abatement equipment at two of the three UK manufacturers. These emissions reductions have been to some extent offset by the increases in the use of HFCs as substitutes for ozone depleting substances, particularly in refrigeration and air conditioning. 2.5.2 GHG emissions inventory by sector source from 1990-2020. The changes in emissions relative to a 1990 index are

Chapter 2 Greenhouse gas inventory information 67 UK GHG Inventory, 1990-2020 The largest contribution to greenhouse gas emissions is from the energy sector. In 2020 this contributed 76.3% to the total net emissions. Emissions of CO2, CH4 and N2O all arise from this sector, but CO2 is the dominant gas consisting of 97.4% of emissions. Since 1990, emissions from the energy sector have declined by 47.8%. The energy sector GHG 2 from fossil fuel combustion in power generation, transport, manufacturing and construction, and other stationary and mobile fuel combustion. Emissions transport, which peaked in 2007, but have declined since 2007, and by 2019 were just below 1990 levels. A large decrease can be seen in 2020 due to the effects of COVID-19, as there was a large fall in travel due to the pandemic. The second largest source of greenhouse gases is the agricultural sector, contributing 9.9% in 2020. Emissions from this sector are mostly CH 4 and N2O, contributing 61.3% and 35.8% respectively. Only a small amount of CO2 is emitted in comparison. Since 1990, emissions from this sector have declined by 16.7%. Industrial processes and product use make up the third largest sector for greenhouse gas emissions in the UK, contributing 8.5% to the national total in 2020. Emissions of all seven direct greenhouse gases occur from this sector. Since 1990, emissions from this sector have Land-Use, Land-Use Change, and Forestry (LULUCF) is the only sector which currently contains both sinks and sources of CO 2 emissions. Emissions from this sector occur for CO2, N2O and CH4. The LULUCF sector is a net source of emissions in the UK, contributing 0.9% of the national total in 2020. Since 1990, net emissions from this sector have declined by 71.4%. This long-term fall has been driven by a reduction in emissions from grassland, cropland and settlements, and an increase in the sink provided by forest land, with an 2 by trees as they reach maturity, in line with the historical planting pattern. There has also been some reduction in emissions since 1990 due to changes in The remaining sector that contributes to direct greenhouse gas totals is waste. In 2020 this contributed 4.4% to the national total. This sector leads to emissions of CO

68 8th National Communication and N2O, with emissions occurring from waste incineration, solid waste disposal on land and wastewater handling. CH4 is the dominant gas consisting of 88.8% of all emissions from the waste sector. Emissions from this sector have declined and in 2020 were 72.6% Index of GHG emissions (1990 = 100) UK GHG Inventory, 1990-2020 Sector 1990 1995 2000 2005 2010 2015 2016 2017 2018 2019 2020 1. Energy 598.0 554.9 551.6 548.3 497.1 403.6 384.7 372.6 366.2 350.5 312.3 ...Of A.3. Transport 122.5 125.2 130.4 133.7 122.0 122.0 124.5 124.7 123.0 120.9 97.5 ...Of Non-transport 475.5 429.8 421.2 414.6 375.1 281.6 260.2 247.8 243.2 229.7 214.9 85.0 77.8 54.8 50.6 41.7 43.9 38.7 38.8 36.9 36.5 34.9 3. Agriculture 48.9 48.1 46.5 44.7 41.9 42.3 42.0 42.5 42.0 42.3 40.7 5. Waste 65.1 67.8 61.5 47.7 28.7 19.6 18.9 19.3 19.2 19.1 17.9 Total 810.2 759.5 722.6 696.7 613.1 512.5 487.5 476.2 468.1 452.5 409.5 UK GHG Inventory, 1990-2020 2.5.3 I nternational aviation and shipping International aviation and shipping refer to emissions associated with travel from a location within the geographic scope of the inventory to a location outside that scope. In line with the approach adopted by the UNFCCC, combustion emissions from these journeys are to be reported as ‘memo items’ but are not included in the UK’s national totals presented in the

Chapter 2 Greenhouse gas inventory information 69 Sector 1990 1995 2000 2005 2010 2015 2016 2017 2018 2019 2020 International aviation 15.5 20.2 30.3 35.1 31.8 33.4 33.6 36.2 36.6 36.8 14.5 International shipping 9.0 8.8 8.3 9.0 11.7 10.8 11.4 10.9 10.6 9.9 8.6 Total (memo items) 24.6 29.0 38.5 44.0 43.5 44.2 45.1 47.2 47.2 46.7 23.1 UK GHG Inventory, 1990-2020 This section sets out the uncertainties associated with the 2020 emissions estimates, and percentage changes to emissions from 1990, presented in this report. The UK GHG inventory uses error propagation and Monte Carlo simulation methods to estimate uncertainties for GWP weighted emissions of all GHGs. The Monte Carlo uncertainty estimates are expressed Among the different greenhouse gases, estimated emissions of CO2, which dominate GWP-weighted emissions, have the lowest uncertainty (around 2%).
There are much larger uncertainties associated with emissions of other gases, but since the emissions are smaller, this does not have a significant impact on the overall uncertainty of total GHG emissions. Nitrogen trifluoride and perfluorocarbons emissions estimates are the most uncertain. LULUCF, waste and agriculture are the sectors with the highest uncertainty. The analysis of the uncertainties in the nitrous oxide emissions is particularly difficult because emissions sources are diverse, and few data are available to form an assessment of the uncertainties 4 608.6 324.0 2% 317.7 330.3 -47% -48% -46% HFCs 14.4 12.2 10% 11.0 13.4 -15% -29% 2% PFCs 1.6 0.2 24% 0.1 0.2 -90% -93% -87% All GHGs 810.5 409.6 3% 399.6 420.8 -49% -52% -47% UK GHG inventory, 1990-2020 1 1990 and 2020 emissions estimates, and the percentage change, are presented as the central estimate from the uncertainty model. These differ from the actual emissions estimates presented in other tables in this report. 2 The uncertainty is expressed as a percentage relative to the mean value 2020 emissions. Calculated as 0.5*R/E where R is the difference between 2.5 and 97.5 percentiles and E is the mean. 3 The range of the likely percentage change between 1990 and 2020 is equivalent to a 95% probability that the percentage change is 4 Carbon dioxide emissions are net emissions. Total emissions minus removals. 5 Geographical coverage is UNFCCC coverage (see section 2.4.1). Uncertainties are not calculated for different geographical coverages but would be expected to be similar. 70 8th National Communication total UK GHG emissions, which is 3% in 2020. The likely percentage change between 1990 and 2020 lies between -47% and -52%, with a central estimate of -49%. Note that this is the central estimate from the uncertainty model and differs slightly from the actual emissions estimates presented elsewhere. 2.7 Comparison of Seventh and Eighth National Communications Since the publication of the Seventh National Communication in 2017, which presented emissions estimates from the UK’s 1990-2015 inventory, various updates and revisions to methodologies have been implemented in the UK GHG inventory that have impacted on the Full details of changes can be found in the section ‘Revisions to the UK’s Greenhouse Gas Inventory’ in the yearly Final UK greenhouse gas emissions national statistics publications10 and in the UK’s National Inventory Reports. Reporting of peatlands consistent with the IPCC 2013 Wetlands Supplement11 (change implemented in 1990-2019 inventory, published Increase in estimates of emissions from the LULUCF sector, mainly in the cropland and grassland categories. Implementation of the Wetlands Supplement into the inventory converts the LULUCF sector of the UK inventory from a net greenhouse gas sink to a net source in all years where it was a net sink. Implementation of new shipping emissions model (change implemented in 1990-2016 inventory, published in 2018). Increase in shipping emissions estimates. Methodological update to the land-use change activity data used in the LULUCF soils and non-forest biomass models, to assimilate a wider range of land use and land use change data sources to produce an annual time series (change implemented in 1990-2020 inventory, Decrease in estimated emissions from the LULUCF sector. Revisions to estimates of SF6 from Airborne Warning And Control System (AWACS) to replace IPCC default emissions factor (change implemented in 1990-2020 inventory, published in 2022). This marks a significant improvement to the accuracy and representativeness of the emissions estimates for this source and has led to a significant reduction in emissions estimates for all years. Development of new emissions estimation models to make use of new and existing data sources for upstream oil and gas estimates (change implemented in 1990-2020 inventory, published in 2022). Revisions to the time series of oil and gas emissions; improved time series consistency for earlier years. Implementation of HFC Outlook model for estimating emissions from Refrigeration, Air Conditioning and Heat Pumps (RACHP) (change implemented in 1990-2019 inventory, published in 2021). Revisions to the timeseries of HFC emissions. Development of a new model used to estimate industrial wastewater emissions, including methane correction factors (MCFs) per treatment pathway instead of a single MCF (change implemented in 1990-2019 inventory, published in 2021). Decrease in estimated emissions from industrial wastewater. Changes to agriculture model as part of Defra’s Smart Inventory, including a move to Tier 3 approaches for estimating enteric methane emissions for all cows and sheep and methane from manure management, using UK-specific data (change implemented in 1990- 2016 inventory, published in 2018). Decrease in agriculture emissions estimates. Changes to estimates of emissions from landfill waste, to calculate Devolved Administration-specific emissions (change implemented in 1990-2016 inventory, published in 2018). Slight increase in landfill waste emissions estimates later in the 10 Final UK greenhouse gas emissions national statistics. territorial-greenhouse-gas-emissions-national-statistics 11 2013 Supplement to the 2006 IPCC Guidelines for National Greenhouse Gas Wetlands. Chapter 2 Greenhouse gas inventory information 71 Revision to lubricant activity data to use bottom-up estimates where available and otherwise directly using DUKES’ (Digest of UK Energy Statistics) sectoral estimates (change implemented in 1990-2019 inventory, published in 2021). Nitrogen balance review of approach to accounting for nitrogen removed from wastewater in the form of sewage sludge (change implemented in 1990-2020 inventory, published in 2022). Several revisions to the estimates of emissions from the manufacture of semiconductors following a general review of the model parameters (change implemented in 1990-2020 inventory, published in 2022). 2e for 2001-10; removing the exponential growth previously assumed for 2010 onwards; some changes in the relative importance of each pollutant. Changes to estimates of emissions from forest land including improvement of the forest carbon (CARBINE) model and changes to deforestation areas leading to changes in carbon stock values and emissions (change implemented in 1990-2016 inventory, published in 2018; subsequent improvements to CARBINE have also been implemented in subsequent years). Decrease in LULUCF net emissions estimates. How these and other changes have impacted on total emissions over the time series when compared to data presented in the 7th National Communication (1990-2015) is summarised, years due to the changes made to the inventory.
In comparison, agriculture and energy now have lower emissions than previously reported. UK GHG Inventory, 1990-2020. The inventory has a well-developed quality assurance and quality control (QA/QC) system, which is described in section 1.6 of the NIR. Quality assurance and quality control (QA/QC) Quality Control (e.g. raw data checks, calculation checks, output checks) to ors within the available resources to deliver the inventory; • Quality Assurance (e.g. peer r eviews, bilateral reviews, expert reviews) whereby independent experts periodically review all or part of the inventory to identify potential areas for improvement;

72 8th National Communication • V erification, where alternate independent datasets are available to compare against The current system complies with the Tier 1 procedures outlined in the IPCC Good Practice Guidance (IPCC, 2006) and also includes a range of bespoke sector specific QA/QC activities that comply with Tier 2. Ricardo Energy and Environment, the Inventory Agency, is also fully accredited to ISO 9001:2015 and ISO 14001:2015. The UK inventory QA/QC system includes three core The QA/QC Plan is a document maintained by the GHGI’s QA/QC manager (at do Energy and Environment) and defines the specific quality objectives and QA/QC activities required in undertaking the compilation and reporting of GHG estimates. The plan sets out source-specific and general (cross-cutting) activities to ensure that quality objectives are met within the required inventory reporting timeframe. The QA/QC plan also assigns roles and responsibilities for the Inventory Agency team and records the key outcomes from inventory QA activities in order to underpin a programme of continuous improvement. QA/QC Implementation includes the physical undertaking of the QA/QC activities oughout the data gathering, compilation and reporting phases of the annual inventory cycle and in accordance with the QA/QC plan. chiving. Documentation is embedded within the UK’s compilation tools. The NIR transparently describes the data sources, methods, assumptions and QA/QC implementation used in producing the GHG inventory including records of activities undertaken, findings/issue logs, recommendations and any necessary actions taken or planned. Archiving ensures a complete backup and storage of all material used for the compilation of the estimates. To verify the GHG inventory, BEIS has a monitoring and verification research programme that derives independent emission estimates for the UK using in-situ high-precision high- frequency atmospheric observations of the principal GHGs reported in the inventory, and a range of other trace gases, at the Mace Head Atmospheric Research Station on the west coast of the Republic of Ireland and at tall tower sites in the UK DECC (Deriving Emissions linked to Climate Change) Network 12. The measured atmospheric concentrations are used to infer UK emissions estimates using an inversion modelling technique13. The verification programme identifies discrepancies between atmospheric concentrations and the inventory and helps to ensure the inventory is a reliable evidence base for informing policy decisions. Most recently a comparison of inventory estimates of HFC-134a with those from the verification programme has suggested that the inventory may be overestimating its HFC- 134a emissions. Further analysis of the mobile air conditioning sector of the inventory, the main UK source of HFC-134a, has suggested several parameters with high uncertainty may be the source of the difference. Revisions to the refrigeration and air conditioning model of the inventory (to review assumptions following the implementation of the EU F-gas regulations) have been made, and the comparison between the inventory and verification approaches is 12 13 Manning, A. J., O’Doherty, S., Jones, A. R., Simmonds, P . G., and Derwent, R. G. (2011): Estimating UK methane and nitrous oxide emissions from 1990 to 2007 using an inversion modeling approach, Journal of Geophysical Atmospheres, 116,

Chapter 2 Greenhouse gas inventory information 73 which are not included in GWP-weighted GHG emissions totals. Nitrogen oxides (NOx), carbon monoxide (CO) and Non-Methane Volatile Organic Compounds (NMVOCs) are included in the inventory and reported under the UNFCCC because they can result in an increase in tropospheric ozone concentration, increasing radiative forcing. Sulphur oxides (reported as sulphur dioxide, SO2) are included because they contribute to aerosol formation. Gas 1990 1995 2000 2005 2010 2015 2020 NOx 2923 2520 2024 1782 1268 1035 712 National Inventory Report 1990-2020 Since 1990, emissions of all indirect gases have decreased. The largest source of emissions for NOx, CO and SO2 is the energy sector, with over 80% of emissions arising from activities within this sector. For NMVOCs, 58% of emissions are from the industrial processes and product use sector, with other significant contributions from the energy sector. Chapter 3 Policies and Measures • In June 2019, following advice fr om the Climate Change Committee1, the UK nment became the first major economy to set a legally binding target to achieve net zero greenhouse gas emissions by 2050. This will bring an end to the UK’s domestic contribution to climate change. s Sixth Carbon Budget2 put into law a target to reduce greenhouse gas emissions to fewer than 965MtCO2e between 2033-2037 – meaning emissions will oximately 77% lower in 2035 than in 1990.3 • The UK over-achieved against the first (2008-12) and second (2013-17) carbon ojections show that we are on track to meet the published its Net Zero Strategy5 – a cross-economy strategy which keeps us on our path to net zero, including the action we will take to keep us on track for meeting carbon budgets and our Nationally Determined • Several sectoral strategies have been published in the past couple of years, the Energy White Paper 7, the North Sea Transition Deal8, the Industrial 1 2 3 Our ambitious future targets for carbon emissions have not changed – Carbon Budget 6 remains as it was set in law in 2021, with a limit on emissions of 965MtCO2e over 2033-37. At COP26, an international decision was taken on which set of Global Warming Potentials (measures of the global warming effect of each greenhouse gas) would be adopted going forwards.
This decision has the effect of changing our backwards- looking emissions figures compared to our previous assumptions, which means the percentage reduction between 1990 and 2035 has changed slightly, from 78% to approximately 77% 4 5 6 7 8

76 8th National Communication Decarbonisation Strategy9, the Transport Decarbonisation Plan10, the Hydrogen Strategy11, the Heat and Buildings Strategy12 and the 25 Year Environment Plan13. • The Prime Minister’s Ten Point Plan for a Green Industrial Revolution14, published in December 2020, sets out how the UK intends to build back better, greener, and faster. This means supporting green jobs, levelling up, accelerating our path to net zero, protecting our natural environment, and creating long-term The British Energy Security Strategy15, published in April 2022 builds on the Prime Minister’s Ten Point Plan and the Net Zero Strategy, considering rising global energy prices provoked by surging demand after the pandemic as well as Russia’s invasion of Ukraine. This will be central to reducing Britain’s dependence on fossil fuels, and boosting our diverse sources of homegrown energy for greater energy security in the long-term. In April 2022, the UK Department for Education published its Sustainability and 16, for the education and children’s services systems. It is centred on four strategic 1) Excellence in education and skills for a changing world 2) Net Zero, 3) Resilience to Climate Change and 4) A better environment for This chapter sets out the policies and proposals as set out in the Net Zero Strategy and the British Energy Security Strategy, which accelerates this plan. Chapter 4 sets out the UK’s latest greenhouse gas emissions projections. These are based on the 2019 edition of the UK’s Energy and Emissions Projections (EEP 2019, published October 2020), for which the policy cut-off point was in August 2019. They therefore represent a counterfactual, showing what the UK would expect to happen in the absence of further policies including those set out in the Net Zero Strategy and British Energy Security Strategy. Over time, future projections will include further measures from the Net Zero Strategy and British Energy Security Strategy as they progress to the impact but these are not yet quantified. Net zero and adaptation are at the heart of government decision-making, and this is driven, first and foremost, by the Prime Minister. Two Cabinet Committees 9 10 11 12 13 14 15 16 17 committees/list-of-cabinet-committees-and-their-membership

Chapter 3 Policies and Measures 77 2020. The Prime Minister chairs the Climate Action Strategy Committee which considers matters relating to the delivery of the UK’s domestic and international climate strategy. The COP26 President chairs the Climate Action Implementation Committee which considers matters relating to the delivery of the COP26 legacy, net zero and building the UK’s resilience The Government Priorities Delivery Committee, also chaired by the Prime Minister, coordinates and drives progress and accountability on the delivery of his priority missions. Net zero is one of six priority missions, demonstrating the importance that the UK Government places on achieving its climate goals. These committees are supported by well-established and robust governance at official level – including a cross-government Director General group to ensure a whole-of-government approach to climate policy. Chaired by the BEIS Director General for Net Zero Strategy and International, this group takes a whole system perspective, to support the delivery of The UK Government’s programme is supported by action taken by the Devolved Administrations in Scotland, Wales and Northern Ireland. While the UK Government has overall responsibility for ensuring that a programme is put in place to deliver the UK’s NDC and its domestic carbon budgets, all the administrations will play a part in meeting these targets. The approach taken by each administration differs, drawing on the range of policies at their disposal. Policies and programmes specific to each Devolved Administration are included throughout this chapter. The UK Government and the Devolved Administrations have established governance arrangements to ensure a joined-up and collaborative approach to addressing climate change. At the bi-monthly Net Zero, Energy and Climate Change Interministerial Group, UK Government ministers meet with Devolved Administration counterparts to discuss existing and emerging policies that will contribute to delivery of net zero targets across the UK. The group is supported by the official-level Net Zero Nations Board which meets on 3.4 D omestic climate legislation and targets The Climate Change Act 200818 established the world’s first legally binding framework in respect of national emissions targets and carbon budgets. Since the publication of the Seventh National Communication report, the UK has amended the Climate Change Act 2008 to require the net UK carbon account to be at least 100% lower than its 1990 baseline by 2050. In doing so, the UK became the first major economy to legislate for net zero emissions The UK’s carbon budgets impose legally binding limits on emissions across five-year periods. The UK set its Sixth Carbon Budget (2033-2037) in 2021 which, for the first time in UK carbon budgets, includes emissions from international aviation and international shipping. Further information on carbon budget accounting and performance can be found in Chapters 3 and 4 of the UK’s Fifth Biennial Report respectively. 18

78 8th National Communication Scotland has its own distinct framework of statutory climate change targets, set under the Climate Change (Scotland) Act 200919 as amended by the Climate Change (Emissions Reduction Targets) (Scotland) Act 201920. This legislation includes targets for Scotland to reach net zero greenhouse gas emissions by 2045, and interim targets of 75% and 90% reductions in emissions by 2030 and 2040 respectively, relative to a 1990/1995 baseline. To help ensure delivery of the long-term targets, the Scottish framework also includes statutory annual targets for every year to net zero. All of Scotland’s statutory targets are economy-wide; including territorial greenhouse gas emissions across all sectors of the economy and a fair share of those from international aviation and shipping, as well as territorial removals (including from the land use sectors).
The statutory framework sets a default position that the targets are to be met through domestic action alone, without any use of international offset credits. Progress towards Scotland’s devolved targets also contributes to achievement of UK-wide Under Scotland’s statutory framework, a Climate Change Plan setting out policies and proposals to meet the emissions reduction targets must be published at least every five years, and prepared with reference to a set of statutory Just Transition and Climate In March 2021, the Scottish Government finalised the update to its Climate Change Plan21 (which should be read alongside the original 2018 Plan22), setting out over 200 policies and proposals to cut greenhouse gas emissions across all sectors of the Scottish economy over the period to 2032. The updated Plan reflects the increase in emissions reduction target ambition from the Climate Change (Emissions Reductions Targets) (Scotland) Act 2019, made in response to the Paris Agreement. The Welsh Government has taken the first step towards a net zero pathway for 2050 in the Net Zero Wales plan23, published in October 2021 and covering Wales’s second carbon budget period 2021 – 2025. The plan focuses on the need to “outperform” this second carbon budget of 37% average reduction in emissions, in line with the Climate Change Committee’s recommendation. This is because Wales’s third carbon budget (2026 – 2030) requires an average reduction of 58%, reflecting the huge step change Wales needs to make here and now if its actions are to have time to take effect. It also looks beyond to start building the foundations for Wales’s third carbon budget and 2030 target, as well as net zero by 2050. It contains 123 policies and proposals across all ministerial portfolios. Delivering policies to ensure a fair and prosperous transition to net zero will be largely dependent on the Welsh Government’s ability to identify and maximise connections between policies, so that the contribution towards the seven well-being goals of the Wellbeing of 19 20 21 22 23

Chapter 3 Policies and Measures 79 Future Generations Act 2015 can be maximised. The net zero pathway requires Wales to decarbonise across all sectors, and therefore it is important to make the most of every 3.4.4 Northern Ireland Executive The Climate Change Act (Northern Ireland) 2022 received Royal Assent on 6 June 2022. This provides a basis for setting targets for the reduction of emissions. The Act includes an ambitious target of 100% reduction in emissions by 2050, with an emissions target for 2030 to be at least 48% lower than the 1990/1995 baseline. The specific targets for 2030 and 2040 will be laid before the Northern Ireland Assembly within 24 months of the Act The Act places a duty on the Northern Ireland Executive’s Department of Agriculture, Environment and Rural Affairs to publish and lay a Climate Action Plan (CAP) before the Assembly by the end of the first year of a carbon budget period i.e. December 2023 for the first CAP . The plan will set out how interim targets and the overall net zero target will be achieved by 2050, with subsequent plans to be published within five years. Furthermore, the Department of Agriculture, Environment and Rural Affairs has a responsibility under the Act to set a maximum total amount for the net Northern Ireland emissions account for each budgetary period. The budgetary periods will run from 2023 – 2027 and each succeeding period of five years. The Kyoto Protocol was adopted in 1997 as an international agreement in response to the threat of climate change. The first commitment period of the Kyoto Protocol was from 2008 to 2012. The UK left the European Union on the 31 January 2020; under the terms of the Withdrawal Agreement, the UK remains committed to its shared targets and reporting with the EU under the EU’s Convention pledge to the UNFCCC and the Kyoto Protocol. A single European Union (EU) Kyoto Protocol reduction target for greenhouse gas emissions of -8% compared to base-year levels was negotiated for the first commitment period, and a Burden Sharing Agreement allocated the target between Member States of the European Union. Under this agreement, the UK reduction target was -12.5% on base-year levels. The UK met its emissions reductions target for the first commitment period of the Kyoto Protocol. The second commitment period of the Kyoto Protocol applies from 2013 to 2020 inclusive. For this second commitment period, the EU, the Member States and Iceland communicated an independent quantified economy-wide emission reduction target of a 20 percent emission reduction by 2020 compared with 1990 levels (base year) (“the EU2020 target”). The second commitment period of the Kyoto Protocol concluded in December 2020, but progress against the Kyoto target will not be finalised until the ‘true-up’ process, after final reporting of all emissions over the commitment period has taken place. However, the UK is on track to meet its target. For more information on the UK’s progress towards its Kyoto Protocol targets, see Chapter 4 of the UK’s 5th Biennial Report. 3.5.2 The UK’s Nationally Determined Contribution (NDC) Under the Paris Agreement, as well as seeking to limit warming to well below 2 degrees, and to pursue efforts to achieve 1.5 degrees, the UK is committed with other countries to achieve global net zero emissions in the second half of the century. In December 2020, the UK announced a new Nationally Determined Contribution (NDC) which commits to reducing UK greenhouse gas emissions by at least 68% by 2030 on 1990

80 8th National Communication levels. It represents a significant step forward in our ambition to tackle climate change over the next ten years, as we accelerate towards meeting our legally binding commitment to net zero by 2050. The level of the NDC is consistent with advice from the independent Climate Change Committee, Carbon Budget 6 and our commitment to reach net zero by 2050.
Chapter 3 Policies and Measures 81

T able Continued 8382 8th National Communication 3.6 Summary of policies and measures Please refer to the December 2022 updated version of the UK's 5th Biennial Report Common Tabular Format (BR CTF) tables available Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency Regulatory Implemented Building Regulations set minimum energy performance standards for new buildings and when people carry out controlled ‘building work’ to existing properties including extensions, conversions and certain categories of renovation and replacement windows and boilers. 2002 Department for Levelling Up, Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Implemented Building Regulations set minimum energy performance standards for new buildings and when people carry out controlled ‘building work’ to existing properties including extensions, conversions and certain categories of renovation and replacement windows and boilers. 2010 Department for Levelling Up, Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency Regulatory Implemented Building Regulations set minimum energy performance standards for new buildings and when people carry out controlled ‘building work’ to existing properties including extensions, conversions and certain categories of renovation and replacement windows and boilers. 2013 Department for Levelling Up, Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement of appliances Regulatory Implemented Sustainable Energy-Using Product regulations operate by setting minimum performance and information requirements (respectively) for energy-using products. They aim to take the least efficient products off the market and to give consumers clear energy use-related information to guide their purchasing decisions. This was previously implemented through product-specific EU regulations, but is now operated through UK regulation. Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Implemented Energy Performance Certificates (EPCs) are required when any building is sold, rented out or constructed, and sometimes after refurbishment work. EPCs give information on a building's energy efficiency in a sliding scale from 'A' (very efficient) to 'G' 2007 Department for Levelling Up, Carbon Trust measures* Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency improvement of appliances (Energy consumption), Efficiency improvement in services/ tertiary sector (Energy consumption), Efficiency improvement in industrial end-use sectors (Energy consumption), Demand management/ reduction (Energy consumption) Information Expired (only if the The Carbon Trust provided a range of measures from general advice to in-depth consultancy and accreditation, to reduce emissions and save energy and money to businesses and public sector 2002 Companies acting on advice Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency improvement of appliances (Energy consumption), Efficiency improvement in services/ tertiary sector (Energy consumption), Efficiency improvement in industrial end-use sectors (Energy consumption), Demand management/ reduction (Energy consumption) The Carbon Trust provided interest free loans of £3,000 – £400,000 for small and medium sized businesses to invest in energy efficiency equipment and renewable technologies. These loans were designed so that in most cases the forecast reduction in energy costs would be similar to the total repayment amount. Warm front* Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency Warm Front installed heating and insulation measures to make homes warmer and more energy efficient for private sector households in England vulnerable to fuel poverty. The scheme offered a package of heating and insulation measures of up to £3,500 (or £6,000 where oil central heating or other alternative technologies are recommended). 2000 Carillion, Department for Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency Regulatory Expired (only if the EEC GB wide regulation that required all electricity and gas suppliers with 15,000 or more domestic customers to achieve a combined energy saving of 62 TWh by 2005 by incentivising their customers to install energy-efficiency measures in homes. EEC II – energy suppliers with more than 50,000 domestic customers required to deliver a total of 130 TWh lifetime energy use reductions in GB households, primarily through the promotion of energy efficiency measures. Carbon Emission Reduction Target (CERT) – GB regulation that required all domestic energy suppliers with a customer base in excess of 50,000 domestic customers to make 2002 Office of Gas and Electricity Energy and Industrial Strategy * indicates that a mitigation action has been included in the WEM and WAM projections † indicates that a mitigation action has been included in the WAM projection only [1]: Impact included in bundle 'New Energy Supply Policies' [2]: Impact included in bundle 'Forestry Policies' Mitigation impact Not Estimated Mitigation impact Included Elsewhere

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency Regulatory Expired (only if the CERT extension – increased the targets originally set under CERT by 20% and required domestic energy suppliers with a customer base in excess of 50,000 (later increased to 250,000) to make savings in the amount of CO2 emitted by householders.
The extension also refocused subsidy towards insulation measures and away from electricity saving measures such as low energy lighting – and introduced a super priority group (households in receipt of certain means-tested benefits) to make energy reductions in low income 2010 Office of Gas and Electricity Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings (Energy consumption), Efficiency Regulatory Expired (only if the Community Energy Saving Programme (CESP) – area based regulation that targeted households across Great Britain, in areas of low income, to improve energy efficiency standards, and reduce fuel bills. CESP was funded by an obligation on larger energy suppliers and also the larger, electricity generators. Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings The Energy Company Obligation (ECO1) was a statutory obligation on energy suppliers with over 250,000 domestic customers and delivering over a certain amount of electricity or gas to make reductions in carbon emissions or achieve heating cost savings in domestic households. ECO1 focused on insulation measures, and also heating improvements to low income and vulnerable households. It ran until March 2017. Energy and Industrial Strategy Smart Metering* Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Implemented The smart metering programme will replace 53 million meters with smart electricity and gas meters in all domestic properties, and smart or advanced meters in smaller non-domestic sites in Great Britain by the end of 2020. Smart meters will deliver consumers with near-real time information on their energy consumption to help them control energy use, so avoiding wasting energy and money. It will deliver energy networks with better information upon which to manage and plan current activities. Smart meters will also assist the move towards smart grids which support sustainable energy supply and will help reduce the total energy needed by the system. Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Increase in renewable energy; switch to Economic Implemented The Non-Domestic Renewable Heat Incentive (RHI) provides financial incentives to increase the uptake of renewable heat by businesses, the public sector and non-profit organisations. Eligible installations receive quarterly payments for 20 years based on the amount of heat generated. The Domestic RHI is a government financial incentive to promote the use of residential renewable heat. Eligible installations receive quarterly payments for seven years for the estimated amount of renewable heat their system produces. Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in services/ tertiary sector (Energy consumption) Implemented The CRC (formerly the Carbon Reduction Commitment) is a mandatory UK-wide emissions trading scheme (launched in 2010). It encourages the uptake of energy efficiency measures in large non-energy intensive private and public sector organisations that use energy not covered by the ETS or Climate Change Agreements. It covers 1,800-1,900 large users of energy across the business and public sector. The scheme is split into phases. Phase 1 ran from 1 April 2010 until 31 March 2014. Phase 2 runs from 1 April 2014 until 31 March 2019. In the 2016 Spring Budget, the Chancellor announced the closure of the CRC after Phase 2 (i.e. following the Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in industrial end- use sectors (Energy consumption) Implemented Climate Change Agreements offer participating energy-intensive industries a discount from the Climate Change Levy in return for meeting targets for emission reductions. From 2013 these are a 90% discount for electricity and a 65% discount for other fuels. From 2019 this will increase to a 93% discount for electricity and 78% discount for other fuels. Target levels represent a cap on emissions if Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Implemented A mandatory energy assessment scheme for all large undertakings (non-SMEs) in response to requirements contained Article 8 of the EU Energy Efficiency Directive (2012/27/EU). Organisations which employ 250 or more people, or employ fewer than 250 people but have both an annual turnover exceeding £38.9m and an annual balance sheet total exceeding £33.4m, must measure their total energy consumption and carry out audits of the energy used by their buildings, industrial processes and transport to identify cost-effective energy saving measures, by 5 December 2015 and every four years thereafter. It is estimated that around 10,000 organisations will Energy and Industrial Strategy

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Adopted Extension of the Energy Performance of Buildings Directive (EPBD) requirement for public buildings to display Energy Performance Certificates to include buildings over 250 metres squared from 2015 Department for Levelling Up, Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in services/ tertiary sector (Energy consumption) Adopted From 1 April 2018 there is a requirement for any properties rented out in the private rented sector to have a minimum energy performance rating of E on an Energy Performance Certificate (EPC). The regulations came into force for new lets and renewals of tenancies with effect from 1 April 2018 and for all existing tenancies on 1 April 2020 (1 April 2023 for non-domestic properties). It will be unlawful to rent a property which breaches the requirement for a minimum E rating, unless there is an applicable exemption.
Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Implemented The 2015 Spending Review announced that ECO will be replaced with a new, lower cost scheme that will run for 5 years (to March 2022) and will tackle the root causes of fuel poverty. The 5-year extension took place in the two phases, with the ECO Extension (April 2017 – Sept 2018) acting as a bridge between the expired ECO1 scheme and the new fuel poverty focused scheme, ECO 3, which ran from December 2018 to March 2022. Energy and Industrial Strategy (BEIS), Large Energy Suppliers Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in services/ tertiary sector (Energy consumption) Economic Implemented The Public Sector Energy Efficiency Loans Scheme, managed by Salix Finance Ltd, provides interest-free loans in England to public sector organisations for energy efficiency schemes. These loans are intended to provide the capital cost of energy efficiency retrofit work and other measures to be installed. These loans have a payback period of five years (eight for schools) during which the repayments are met with the energy bill savings from the energy efficiency measures. Thus, once the loan has been paid off, the organisation continues to benefit from energy savings for the lifetime of those measures. This funding is then once it has been returned to the Scheme and it is loaned out once again. BEIS provides the largest amount of funding to the Scheme. Energy and Industrial Strategy Agricultural Action Plan* Agriculture Methane (CH4), Reduction of fertilizer/manure use on cropland (Agriculture), Improved animal waste management systems (Agriculture), (Agriculture), Activities improving grazing land or grassland management (Agriculture), Improved management of Implemented The Agricultural Action Plan covers a range of resource-efficiency and land management measures to reduce emissions to meet (DEFRA), Industry Associations Car Fuel Efficiency Policies* Transport Carbon dioxide Implemented EC Regulation 443/2009 sets fuel efficiency targets for new cars to be achieved by 2015 and 2020. The regulation translates a fleet average CO2 tailpipe emissions target for new vehicles sold in the EU market into specific targets for individual manufacturers according to the mass of their fleet. Heavy fines are imposed for non-compliance. The 2021 target is for a fleet average of 95g CO2/km across the EU, with a transition period where 95% of a manufacturer’s fleet must meet the 95g target by 2020. Complementary measures are a collection of technologies that could improve 'real world' fuel efficiency of cars which wouldn't be fully captured by the new car CO2 target and which could improve fuel efficiency in the existing fleet. These include gear shift indicators, tyre pressure monitoring systems, more efficient mobile air-conditioning, and low rolling resistance tyres. EC Regulation 661/2009 sets minimum requirements and introduces labelling for the rolling resistance, wet grip and external rolling noise of tyres. Measures to support the uptake of ultra low emission vehicles include the Plug-in Car and Plug-in Van Grants towards ultra-low emission vehicle (ULEV) cars and vans, as well as various tax incentives including lower rates for Vehicle Excise Duty and Company Car Tax. EV infrastructure is directly supported through the Workplace Charging Scheme grants for EV chargepoints for employees and fleets, the Electric Vehicle Homecharge Scheme grants towards home EV chargepoints and the On-street Residential Charging Scheme. Highways England have committed £15m to ensure EV chargepoints are available every 20 miles on the Strategic Road Network. 2012 Department for Transport 3,306 9,794 18,898 29,327 37,343 Forestry policies* Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF), Enhanced forest management (LULUCF), Implemented Range of policies aimed at driving afforestation and reforestation. Policies whose mitigation impacts are included in this grouping are labelled with '[2]' in the 'Name of mitigation action' field. Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Implemented EC Regulation 510/2011 sets fuel efficiency targets for new Light Commercial Vehicles (LCV) to be achieved by 2017 and 2020. EC Regulation 661/2009 sets minimum requirements and introduces labelling for the rolling resistance, wet grip and external rolling noise of tyres. The regulation translates a fleet average CO2 tailpipe emissions target for new vehicles sold in the EU market into specific targets for individual manufacturers according to the mass of their fleet. Heavy fines are imposed for non-compliance. The 2020 target is for a fleet average of 147g CO2 /km and represents a reduction of 19% from the 2012 average. Measures include the car and van grants towards ultra-low emission vehicle (ULEV) cars and vans, as well as various tax incentives including lower rates for Vehicle Excise Duty and Company Car Tax. EV infrastructure is directly supported through workplace charging scheme grants for EV chargepoints for employees and fleets, the Electric Vehicle Homecharge Scheme grants towards home EV chargepoints and the On-street Residential Charging Scheme. Highways England have committed £15m to ensure EV chargepoints are available every 20 miles on the 2012 Department for Transport 1,117 2,062 3,562 5,171 6,281 Efficiency improvements of vehicles (Transport), Low carbon fuels/ Implemented EC Regulation 661/2009 sets minimum requirements and introduces labelling for the rolling resistance, wet grip and external rolling noise of tyres. Industry and Government are taking a range of actions to reduce freight emissions, including the Freight Transport Association's Logistics Carbon Reduction Scheme, which encourages members to record, report and reduce emissions from freight. The Mode Shift Revenue Support scheme encourages modal shift from road to rail or inland waterway where the costs are higher than road, and where there are environmental benefits to be gained. It currently helps to remove around 800,000 lorry journeys a year from Britain's roads. A similar scheme, Waterborne Freight Grant, can provide assistance with the operating costs associated with coastal or short sea shipping.
2012 Department for Transport, Low carbon fuels/electric cars (Transport), Efficiency improvements of vehicles Economic Implemented The Green Bus Fund (GBF) allowed bus companies and local authorities in England to compete for funds to help them buy new low carbon emission buses. The four rounds of the fund, which ran from 2009- 2014, added around 1250 Low Carbon Emission Buses onto England's roads. The GBF has now been replaced by the Low Emission Bus Fund (LEBS) which offered £30m for bus operators and local authorities across England and Wales to bid for low emission buses and supporting infrastructure. This scheme funding is open from 2016-2019 and the successful bidders were announced in July 2016, adding more than 300 extra low emission 2006 Department for Transport 136 199 291 297 295 Low carbon fuels/electric cars Regulatory Implemented The RTFO set a 4.75% target for biofuel use by diesel and petrol suppliers to be achieved by 2014. Targets are by volume rather than by energy. Implemented the EU Renewables Directive (2009/28/EC). 2007 Department for Transport 2,986 3,051 3,134 3,202 3,270 Low carbon fuels/electric cars (Transport), Efficiency improvement of vehicles Regulatory Implemented This policy sets enhanced overall targets of 9.75% (by volume) for biofuel use by diesel and petrol suppliers by 2020 and at least 12.4% in 2032. It implements the EU Renewables Directive (2009/28/EC) as amended by the ILUC Directive (2015/1513). 2018 Department for Transport 2,899 3,594 3,743 3,619 3,361 Active travel spending* Transport Carbon dioxide Committed active travel spending from 2011/12 onwards including from ring-fenced and non-ringfenced funds including the Local Growth Fund, Other Government Infrastructure Funds (e.g. the Housing Infrastructure Fund), Highways Maintenance Fund, Transforming Cities Fund, Integrated Transport Block, Local Sustainable Transport Fund and Cycling Ambition Cities Fund. 2011 Bids submitted to Department Rail Electrification* Transport Carbon dioxide Improved transport infrastructure (Transport), Transport, Reduce travel Other Implemented Major programme of rail electrification underway to replace older diesel trains with modern, low-emission electric trains. This means that operators are contractually obliged to meet emissions levels based on running modern electric rather than diesel traction. Trans Pennine Express (TPE) and Northern are examples where 11% and 17% reductions in CO2e emissions per vehicle km respectively where contracted based on electrification schemes. Reducing electric trains tend to be cheaper to buy, operate and maintain than diesels. They are also lighter so do less damage to the track. So whilst there is clearly a large capital cost associated with installing new electrification infrastructure, this can be compensated over time by the lower operational costs of electric trains. Increasing capacity and reliability and reducing journey electric trains tend to outperform equivalent diesels in terms of reliability, acceleration and carrying capacity. Reducing environmental electric trains are quieter and more carbon efficient than diesels and zero emission at point of use which helps with local air quality. 2013 Department for Transport,

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Renewables Obligation*[1] Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Set an annual obligation on electricity suppliers to produce a proportion of their generation from renewable sources. Targets can be met by renewable generation that accrue Renewable Energy Certificate (ROCs) or by paying a ‘fine’ into the RO Buy Out Fund, which is then redistributed to other energy suppliers who have Energy and Industrial Strategy Feed-In Tariffs (FITs)*[1] Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Implemented Feed-in Tariffs (FITs) support organisations, businesses, communities and individuals to generate low-carbon electricity using small-scale (5 MW or less total installed capacity) systems. Electricity suppliers are obliged to pay the regulated tariffs to eligible generators. Energy and Industrial Strategy Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Economic Implemented Offers Contracts for Difference (CfDs) in the electricity generation market for low carbon and renewable sources, CfDs will replace ROCs (which are due to be phased out to new capacity from 2017). Current policy offers CfD for new capacity through auctions should Government’s choose to hold them. There is also a bilateral negotiation underway for Hinkley point C Nuclear plant. Energy and Industrial Strategy Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Economic Planned Planned continuation of Contracts for Difference (CfDs) for new low Energy and Industrial Strategy Carbon Price Floor*[1] Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Fiscal Implemented The Carbon Price Floor (CPF) is designed to further reduce the use of emission-intensive fossil fuels and increase the proportion of electricity generation and supply from low carbon sources Energy and Industrial Strategy Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Implemented It sets an emissions target (cap) for installations covered by the system (across the EU), with the carbon market determining the carbon price, and therefore where emissions can be reduced most cheaply. It guarantees that total emissions in the sectors covered will not exceed the cap set, and in doing so drives investments in low- carbon technologies, leading to cutting emissions of carbon dioxide (CO2) and other greenhouse gases at least cost.
Energy and Industrial Strategy Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Combined impact of electricity supply and decarbonisation policies. Policies whose mitigation impacts are included in this grouping are labelled with '[1]' in the 'Name of mitigation action' field. Energy and Industrial Strategy 32,388 52,521 44,630 55,074 69,159 Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF) Voluntary/ Implemented Voluntary Code and associated carbon registry (2013) for UK domestic woodland carbon schemes to encourage private sector funding for woodland creation projects. Recognised as component of net GHG emissions reporting for businesses in Government’s Environmental Reporting Guidelines. 2011 Forestry Commission IE IE IE IE IE Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF), Implemented Revised (2017) national standard for sustainable forest management, previously revised in 2011 to include a new guideline on climate change, covering both adaptation and mitigation. 2011 Forestry Commission IE IE IE IE IE Grown in Britain*[2] Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF), Implemented Industry-led action plan announced in Government's Forestry and Woodlands Policy Statement (2013) which aspires to encourage businesses to invest in woodland creation and sustainable 2013 Department for Environment Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF), Economic Implemented Woodland creation grants provided through EU co-financed Rural Development Programmes in England. Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity production), Land use, land-use change Increasing biomass supply, primarily for small to medium scale heat applications. Initiative to develop supply chains, including through support for harvesting/processing and woodland access, to increase woodfuel supply from existing woodland. 2011 Forestry Commission IE IE IE IE IE

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Nitrates Action Plan* Agriculture Nitrous oxide (N2O) Reduction of fertilizer/manure use Implemented This ensures improved compliance with the Nitrate Directive (91/676/EEC). Designated revised "Nitrate Vulnerable Zones" (NVC) established a range of mandatory measures to reduce nitrate pollution to water in each NVC. It includes also code of good practice Agriculture Nitrous oxide (N2O) Activities improving grazing land or grassland management (Agriculture), Implemented Delivers practical solutions and targeted support to enable farmers and land managers to take voluntary action to reduce diffuse water pollution from agriculture to protect water bodies Soils For Profit* Agriculture Nitrous oxide (N2O) Activities improving grazing land or grassland management (Agriculture), Education Expired (only if the Provides on farm reviews and training on soils manures and nutrients. The programme closed in 2013. 2009 Natural England (NE) NE NE NE NE NE Countryside Stewardship* Agriculture Nitrous oxide (N2O) Activities improving grazing land or grassland management (Agriculture), Economic Implemented Provides income foregone support under Pillar 2 of the CAP for farmers to undertake management options that benefit biodiversity, resource protection and water quality. Industrial processes (comprising industrial activities that chemically or physically transform materials leading to greenhouse gas emissions, use of greenhouse gases in products and non- energy uses of fossil fuel carbon) Hydrofluorocarbons (HFC) Reduction of emissions of fluorinated gases (Industrial processes), Installation of abatement technologies (Industrial processes), Replacement of fluorinated gases by other substances (Industrial processes), Improved control of fugitive emissions from industrial processes Regulatory Implemented This regulation implements obligations under the Montreal Protocol and EU Regulation 1005/2009/EC on ozone depleting substances. With the exemption of some critical use exemptions, CFCs, HCFCs and halon use is banned. Most ozone depleting substances are potent greenhouse gases, so reductions in their use protects both 2009 Department for Environment, F-gas regulation (2015)* Industrial processes (comprising industrial activities that chemically or physically transform materials leading to greenhouse gas emissions, use of greenhouse gases in products and non-energy uses of fossil fuel carbon), Reduction of emissions of fluorinated Regulatory Implemented This introduced a 79% phase down in the quantities of hydrofluorocarbons that can be placed on the EU market and was delivered via a gradually reducing quota system; a number of bans on the use of certain F gases in some new equipment; a ban on the use of very high GWP HFCs for the servicing of certain types of refrigeration equipment; and some strengthening of obligations in the 2007 regulation relating to leak checking, repairs, F gas recovery 3,638 7,491 11,072 13,267 13,764 Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Implemented The Climate Change Levy (CCL) was introduced in 2001. It is levied on the supply of energy to business and public sector consumers to incentivise them to reduce energy consumption. Each of the four main groups of taxable commodities (electricity, gas, solid fuels, and liquefied petroleum gas [LPG]) has its own main rate per unit of energy. Eligible energy-intensive industries may pay reduced main rates of CCL through CCAs, or be exempt from the CCL (for mineralogical/metallurgical processes). Budget 2016 announced that CCL rates will increase from April 2019, moving to an electricity-to- gas ratio of 2.5:1 compared to the previous 2.9:1 ratio. In the longer term, the Government intends to rebalance the rates further, reaching a ratio of 1:1 by 2025. CCL rates to April 2022 were announced at Budget 2018, however changes between 2022 and 2025, as well as the rates from 2025 onwards, have not yet been announced.
Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, industry and agriculture), Industrial processes (comprising industrial activities that chemically or physically transform materials leading to greenhouse gas emissions, use of greenhouse gases in products and non- energy uses of fossil fuel carbon) Efficiency improvements of buildings Implemented The Government is required to report to the European Commission by June 2017 to demonstrate that UK building standards for energy performance remain ‘cost optimal’. Cost-optimal energy performance means that the lifetime cost-benefit analysis is positive. Minimum energy performance requirements must be compared against calculated cost-optimal levels using the Comparative Methodology Framework. 2017 Department for Levelling Up, Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Implemented Increases Renewable Obligation (RO) targets in electricity supply so as meet the UK’s overall renewables target for 2020 as set out in the Renewables Directive (RED, 2009/28/EC). Energy and Industrial Strategy Capacity Mechanism* Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive Economic Implemented Part of the Government’s Electricity Market Reform package, the Capacity Mechanism ensures security of electricity supply by encouraging investments in electricity generation capacity. Energy and Industrial Strategy

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Switch to less carbon-intensive fuels Economic Implemented The heat networks investment project (HNIP) is a capital funding scheme across England and Wales to encourage the development of heat networks. The scheme will be open for applications from heat networks for up to three years and allocate commercialisation and construction funding through a competitive process. The key objective of the project is to build a sustainable market for heat networks to support the decarbonisation of heat in buildings, helping the UK reach the carbon budget targets. Energy and Industrial Strategy Land use, land-use change and forestry Carbon dioxide Prevention of deforestation (LULUCF) Regulatory Implemented Strong regulatory framework that controls felling. It only allows deforestation for purposes of nature conservation and prevents the afforestation of deep peat. Legislation updated 1999 and 2017. 1999 Forestry Commission (FC) IE IE IE IE IE Land use, land-use change and forestry Carbon dioxide Restoration of degraded lands (LULUCF) Information Implemented Natural England published the Strategy for the Restoration of Blanket Bog in England in 2015. The approach sets out the extent, nature and importance of the blanket bog resource across England and what is currently being done to conserve it, as well as setting out the required management and timeframe for delivery to achieve an improvement in site condition across the resource at a strategic level. Land use, land-use change and forestry Carbon dioxide Restoration of degraded lands (LULUCF) Other, Implemented The Sustainable Growing Media Taskforce was set up to look at ways in which the barriers to the use of peat alternatives could be overcome. The Government published its response to the Task Force’s report and draft roadmap in 2013 which set out where our Land use, land-use change and forestry Carbon dioxide Restoration of degraded lands (LULUCF) Regulatory Implemented According to the UK's draft integrated National Energy and Climate Plan (NECP), 3 out of 12 Nature Improvement Areas (NIA, 2012) are focussed on peatland restoration. 47% England’s wetlands are protected by Sites of Special Scientific Interest (SSSIs). Peatland Code Land use, land-use change and forestry Carbon dioxide Restoration of degraded lands (LULUCF) Voluntary/ Implemented A UK Voluntary Code to encourage and support private sector funding for peatland restoration projects. Provides standards and robust science to give business supporters confidence that their financial contribution is making a measurable Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF), Enhanced forest management (LULUCF) Economic Implemented Woodland creation grants provided through EU co-financed Rural Development Programmes in England. CAP Cross Compliance* Agriculture, Land use, land-use change Regulatory Implemented Good Agricultural and Environmental Conditions in place to ensure minimum soil cover, to maintain soil organic matter and to minimise erosion. Implementation of the Nitrates Directive Retention of permanent pasture (up to 2014 – now under Greening measures) Woodland Carbon Fund*[2] Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF) Economic Implemented The Woodland Carbon Fund is an exchequer-funded grant to support the creation of large-scale productive woodlands which also 2016 Forestry Commission (FC) IE IE IE IE IE Land use, land-use change and forestry Carbon dioxide Afforestation and reforestation (LULUCF) Economic, Implemented Grant to support the planning of large-scale productive woodlands, compliant with the UK Forestry Standard. 2015 Forestry Commission (FC) IE IE IE IE IE Industrial processes (comprising industrial activities that chemically or physically transform materials leading to greenhouse gas emissions, use of greenhouse gases in products and non-energy uses of fossil fuel carbon), Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Improved control of fugitive emissions from industrial processes (Industrial processes), Efficiency improvement Regulatory Implemented As transposed into UK law, the IED replaced the LCPD from 1 January 2016 with similar (although more stringent) provisions set out in chapter III of the Industrial Emissions Directive (2010/75/EU) (IED). Those provisions apply in respect to any plant newly permitted since 7 January 2013. Three compliance routes are available to generating plants; to abate emissions and comply with more stringent limits by 2020; to comply with less stringent limits but face a 1,500 hour per year load factor constraint; or to close by 2023.
Energy and Industrial Strategy Industrial processes (comprising industrial activities that chemically or physically transform materials leading to greenhouse gas emissions, use of greenhouse gases in products and non-energy uses of fossil fuel carbon), Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in industrial end- use sectors (Energy consumption) Regulatory Implemented The Large Combustion Plant Directive (LCPD, 2001/80/EC) sets limits on emissions of sulphur dioxide, nitrogen oxides, and dust from combustion plants with a thermal capacity of 50 MW or greater. This has now been replaced by the Industrial Emissions Directive. Energy and Industrial Strategy Agriculture, Land use, land-use change Activities improving grazing land or grassland management (Agriculture) Regulatory Implemented Obtain consent before improving grassland that has not been cultivated for 15 years or more (Environmental Impact Assessment/ EIA). Select a range of Ecological Focus Area (EFA) measures to meet new relevant actions include enhanced buffer strips, cover crops and growing N-fixing crops

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Planned UK legislation requiring heat network operators to submit data on networks and to install heat meters/heat cost allocators in buildings on networks unless it is not cost-effective to do so. The amendments will revise the cost-effectiveness methodology and address ambiguities in the existing legislation Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Implemented The 2015 Spending Review announced that ECO will be replaced with a new, lower cost scheme that will run for 5 years (to March 2022) and will tackle the root causes of fuel poverty. The 5-year extension will take place in the two phases, with the ECO Extension (April 2017 – Sept 2018) acting as a bridge between the expired ECO scheme and the new fuel poverty focused scheme, ECO 3, which will run from December 2018 to March 2022. Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvements of buildings Regulatory Implemented The policy objectives are to deliver additional energy and carbon savings from the domestic heating sector in England by lowering overall gas demand from domestic properties. It aims to do this by increasing the deployment of devices which increase the efficiency of domestic heating systems, through controls and measures to make gas boilers heat homes more efficiently. The policy instrument is a technical standard set through statutory guidance under the Building Regulations framework. This requires existing households in England to install an additional energy saving measure from a choice list at the point of installing a new or replacement combi gas boiler in Energy and Industrial Strategy Industrial processes (comprising industrial activities that chemically or physically transform materials leading to greenhouse gas emissions, use of greenhouse gases in products and non-energy uses of fossil fuel carbon), Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in industrial end- use sectors (Energy consumption) Implemented The policy aims increase industry confidence to invest in the technology potential to recover heat from industrial processes, and increase the deployment of such technologies across manufacturing and data centres in England and Wales. It establishes a fund for feasibility studies that examine the potential for industrial businesses to adopt heat recovery technologies and a fund to subsidise the deployment of heat recovery technologies. Energy and Industrial Strategy Energy consumption (comprising consumption of fuels and electricity by end users such as households, services, Efficiency improvement in industrial end- use sectors (Energy consumption) Adopted SECR is a reporting framework which obligates all large (as defined by the Companies Act 2006) UK registered companies to report their energy use and associated emissions relating to electricity, gas and transport in their annual reports. Companies will also be required to provide an intensity metric and disclose any energy efficiency actions undertaken during the reporting period. Quoted companies will in addition be required to report their global energy Energy and Industrial Strategy Waste policies† Waste management/waste Methane (CH4) Enhanced recycling (Waste), Reduced landfilling (Waste), Demand management / reduction (Waste), Enhanced CH4 collection and use (Waste), Improved treatment technologies (Waste), Improved landfill management (Waste), Waste incineration with energy use (Waste) There are a number of waste measures with the aim of increasing recycling/reuse and reduce harmful disposal. The Waste Framework Directive (2008/98/EC) is the general framework of waste management requirements and sets rules governing the separate collection of waste. The Landfill Directive (1999/31/EC) sets rules governing the disposal The UK Landfill Tax escalates tax on biodegradable waste There are other waste measures targeting other waste streams, such as the Waste Incineration Directive (2000/76/EC). The overall effect is reducing environmental impacts of waste, such as landfilling biodegradable waste and its associated CH4 emissions. Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation The 2021 Net Zero Strategy set out a clear vision for how we will transform the production and use of energy, in a decisive shift away from fossil fuels. The British Energy Security Strategy accelerates this plan to deliver a more independent, more secure energy system and support consumers to manage their energy bills.
It includes ambitions including a potential five-fold increase in deployment by 2035 in solar energy; delivering up to 50GW of offshore wind by 2030, including up to 5GW of innovative floating wind; deployment of civil nuclear to up to 24GW by 2050 – 3 times more than now and representing up to 25% of our projected electricity demand; establishing the Future System Operator as soon as practicable to drive our overall transition and oversee the UK energy system Energy and Industrial Strategy New Nuclear Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Economic Planned Ambition to secure a final investment decision on a large-scale nuclear plant by the end of the 2019-2024 Parliament whilst taking measures to inform investment decisions during the following Parliament on further nuclear projects (including AMRs, SMRs). Setting up the Great British Nuclear Vehicle to support projects to get investment ready and through the construction phase. In 2022 we will launch the £120m Future Nuclear Enabling Fund competitive process, first announced in the Comprehensive Spending Review. Energy and Industrial Strategy

98 8th National Communication Chapter 3 Policies and Measures 99 Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Gas fired power decarbonisation. Carbon Dioxide (CO2) Power CCUS to provide non- weather dependent, dispatchable low Economic Planned A private law agreement based on the Contracts for Difference (CfD) model to incentivise the deployment of at least one Power CCUS facility by the mid 2020's in line with the Net Zero Strategy. Energy and Industrial Strategy Future System Operator Energy System (including governance, co-ordination, transformation and integration of electricity and gas Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Planned Establishing the Future System Operator as soon as practicable to drive our overall transition and oversee the UK Energy System. It will be an expert, impartial body with responsibilities across both the electricity and gas systems, to drive progress towards net zero while maintaining energy security and minimising costs for consumers. 2022 HMG, Ofgem, National Grid that this vision is realised as possible, noting that this will be subject to legislation when Energy system flexibility Energy supply (comprising extraction, transmission, distribution and storage of fuels as well as energy and electricity Increase in renewable energy (Energy supply), Switch to less carbon-intensive fuels (Energy supply), Enhanced non-renewable low carbon generation Economic Adopted Deliver the actions in our recent Smart Systems and Flexibility Plan and Energy Digitalisation Strategy to maximise system flexibility. The plan sets out a suite of commitments support flexibility from consumers, remove barriers to flexibility on the grid, reform markets to reward flexibility and monitor flexibility across the system. Energy and Industrial Strategy Energy, Transport, Industry/Industrial The Low Carbon Hydrogen Standard will initially help determine which hydrogen projects are eligible for government support through the Net Zero Hydrogen Fund and Hydrogen Business Model. It will be developed into a certification scheme by 2025. It may also be used by other government schemes wishing to define what is meant by Information Implemented The Low Carbon Hydrogen Standard (‘the standard’) sets a maximum threshold for greenhouse gas emissions allowed in the production process for hydrogen to be considered ‘low carbon hydrogen’. Compliance with the standard will help ensure new low carbon hydrogen production makes a direct contribution to the UK’s Energy and Industrial Strategy Hydrogen Business Model Energy, Transport, Industry/Industrial The hydrogen business model will unlock private investment in new low carbon hydrogen production by delivering revenue support funded by the Industrial Decarbonisation and Hydrogen Revenue Economic Planned The hydrogen business model will provide revenue support to producers to overcome the operating cost gap between low carbon hydrogen and high carbon counterfactual fuels. The hydrogen business model is one of a range of government interventions intended to stimulate investment in low carbon hydrogen projects that will be necessary to meet Carbon Budget 6 and net zero targets. Energy and Industrial Strategy Net Zero Hydrogen Fund Energy, Transport, Industry/Industrial To support the commercial deployment of new low carbon hydrogen production Economic Implemented The Net Zero Hydrogen Fund (NZHF) will provide up to £240 million for government co-investment to support new low carbon hydrogen production out to 2025. The aim of the Fund is to support commercial deployment of new low carbon hydrogen production projects during the early 2020s, by helping to address barriers related to commercial risk and high upfront costs relative to fossil fuel alternatives, unlocking private sector investment in projects. Energy and Industrial Strategy industrial processes and energy Reduction of emissions of covered gases in covered sectors in line with Policy is neutral on the question of how the abatement is achieved and where it falls within the covered sectors/activities. This is market driven and abatement should happen where most cost effective. Implemented It sets an emissions target (cap) for installations covered by the system (across the UK, excluding NI power generators), with the carbon market determining the carbon price, and therefore where emissions can be reduced most cheaply. It guarantees that total emissions in the sectors covered will not exceed the cap set, and in doing so drives investments in low-carbon technologies, leading to cutting emissions of carbon dioxide (CO2) and other greenhouse gases at least cost. It replaces the UK participation to the EU ETS. All eligible industrial processes. Carbon dioxide Implemented The Industrial Energy Transformation Fund (IETF) supports industrial sites with high energy use to transition to a low carbon future. The fund targets existing industrial processes, helping industry • cut energy bills by investing in more efficient technologies; and • reduce emissions by bringing down the costs and risks associated with investing in deep decarbonisation technologies.
It is open to a broad range of industrial sectors and will support applicants based in England, Wales, and Northern Ireland, both within and outside of industrial clusters. Energy and Industrial Strategy Energy consumption, land use, energy Efficiency improvements of buildings, efficiency improvements of material supply and selection, increase Implemented The National Model Design Code which builds on the 10 characteristics of well-designed places set out in the National Design Guide, provides tools and guidance to local councils for producing design codes. Design codes promote the use of high-quality design to shape and deliver environmentally responsive and sustainable places, with a consistent and high-quality standard of design. The National Model Design Code encourages the implementation of sustainable construction; that addresses climatic conditions, focuses on reducing embodied energy, embeds circular economy principles to reduce waste and is designed for disassembly and reuse. 2019 / 2021 Department for Levelling Up,

Name of Mitigation Action Sectors affected GHG affected Objective and or activity affected Type of Brief Description Start Year of Implementing Entity or Entities Estimate of mitigation impact by gas (for a particular year, not cumulative in ktCO2 eq.) Homes, heat and buildings Carbon dioxide (CO2) The The Home Upgrade Grant (HUG) scheme will upgrade the energy performance of the worst performing off-gas grid homes in England by installing energy efficiency measures and low carbon heating into low income households. £1.1 billion has been allocated to HUG for delivery from Economic Implemented/planned The Home Upgrade Grant provides grants to low-income households to upgrade the energy performance of the worst quality, off gas grid homes in England by installing multiple energy efficiency measures In the summer of 2021, the Government announced the launch of HUG Phase 1. This pot of money is worth over £200m. e Applications closed on 4 August 2021 with delivery forecast to complete by March 2023. This funding will deliver energy efficiency upgrades to low-income households off the gas grid. Homes with an EPC rating of D and below are eligible. Government announced an additional £950m at the Autumn ‘21 spending review, which will be delivered between 2023 and March 2025. Homes, heat and buildings Carbon dioxide (CO2) The The Local Authority Delivery Scheme (LAD) started as a £500m scheme that aims to support up to 50,000 low- income households that most need energy efficiency upgrades. The scheme is prioritising homes with low Energy Performance Certificate (EPC) ratings of D, E, F&G and targeted at households with a combined household annual low-income of no more than £30,000. A further £287 million has been allocated for a third phase of LAD funding to deliver energy efficiency measures to low-income households on the gas grid from early Economic Implemented. The Local Authority Delivery Scheme (LAD) is focused on low-income households in homes that most need energy efficiency upgrades. The scheme is prioritising homes with low Energy Performance Certificate (EPC) ratings of D, E, F&G and targeted at households with a combined household annual low-income of no more than £30,000 who are most at risk of fuel poverty Phase 1 allocated £200m in grants to over 136 Local Authorities for delivery by March 2022, with a managed closure to September 2022. It is forecasted that up to 20,000 homes will be upgraded Phase 2, allocated £300m to the five Local Net Zero Hubs, who work with their regional Local Authorities to continue to deliver energy efficiency upgrades to up to 30,000 homes by June 2022. Phase 3, funding was allocated to successful LAs under the third phase of LAD (£287m) LAD Phase 2 is currently in delivery and BEIS will continue to work with the Net Zero HUBs to ensure that as many homes benefit from the scheme as possible. Homes, heat and buildings Carbon dioxide Scheme was designed to provide a short- term economic stimulus in response to the global pandemic, while tackling UK contribution to climate change. It aimed to help 600,000 households complete energy efficiency upgrades to their homes, saving up to £600 on their energy bills, while supporting jobs Homeowners (both freehold and leasehold owner occupiers), and landlords could apply for vouchers of up to £5,000 towards the cost of installing energy efficient and low-carbon heating improvements As of February 2022, the scheme had allocated £232 million through vouchers and has upgraded 43,400 homes with 49,500 measures. Some homeowners on income-based or disability benefits were eligible for vouchers covering the full cost of improvements, up to a Scheme opened to applications on 30 September 2020. Initially £1.5 billion funding was available with the deadline of 31 March 2021 for vouchers to be redeemed, and home improvements to be completed. An extension to 31 March 2022 was announced in November 2020. It was subsequently announced the scheme would close to new applications on 31 March 2021. Energy and Industrial Strategy Homes, heat and buildings Carbon dioxide The Energy Company Obligation (ECO) is a Government energy efficiency scheme for low income and vulnerable energy customers which aims to reduce bills and improve the least energy efficient housing stock occupied by low income and vulnerable households across Great Britain. It contributes towards Government's statutory target of improving as many fuel poor homes as reasonably practicable to EPC band C by 2030, with an interim milestone of band D by 2025. The scheme is energy supplier led with costs recouped from The 2021 Sustainable Warmth strategy announced a continuation of ECO from 2022 – 2026 and an expansion in the value of the scheme from £640mn/annum to £1bn/annum. In Summer 2021, government consulted on the 4-year £4bn successor scheme (ECO4) and published the consultation response in April 2022. The scheme focuses support by installing energy efficiency measures in low income and vulnerable and fuel poor households across Great Britain, living in energy inefficient homes. A minimum level of energy efficiency upgrade is required, for deeper improvements to homes.