We need to evaluate the region’s ability to produce and store power
Date published:
Jack Simpson, international services executive, latest column for The Journal
It’s almost too hard to pick an issue to write about in this week’s column. From cost of living to geo-political instability, political leadership to Glastonbury. However, I want to be a bit more optimistic, and look at the North East’s role in the energy challenge.
According to our first Economic Survey of 2022, 89% of businesses were concerned about Energy prices. Socially, the North East has a higher than average UK fuel poverty rate, ranging 12-15%. As people and business are forced to make tougher choices on spending, it severely restricts growth, prosperity and health.
Following rising inflation, ongoing Ukraine conflict, and increasing demand, we need to evaluate the region’s ability to produce and store power to relieve the burden on business and people alike.
The region is already a leader in innovation of sustainable energy, attracting names such as BP and GE in recent months, but these are current short term research projects, an important piece of course, and compliments the dedicated workforce and skillsets of the region.
However, we need to ensure that this goes beyond innovation, that the region can manufacture and produce energy beyond the research board. Utilising energy enterprise zones, like Blyth’s Catapult, to foster SME growth is key for the regions long term energy goals.
Not to mention, the added economic boost to the region as a whole by attracting and developing energy innovation in the region. The North East LEP believes subsea sector alone, key to offshore wind, is worth 150,000 jobs and £1.5bn a year.
Port of Blyth has announced its own innovation zone in Bates Clean Energy terminal, acting as a hub of hydrogen, power generation and storage innovation, while on Teesside we have GE new blade facility opening.
We can also utilise the new service economy to support smarter energy distribution. Demand for energy is ever increasing, think about the rise of Electric Vehicles for example, so better use of data allows controllers to make smarter decisions based on local demands and regional capacity when directing energy.
The North East can also be a testbed of better energy policy. Across Gateshead, data is being used to influence policy and deliver low carbon energy to homes, while Chamber partners Thirteen, are working to install new home technologies to potentially save households 30% on their energy bills.
By targeting and developing net-zero energy network, we would create a more sustainable, resilient and prosperous North East.