Business Energy Broker
The non-profit organisation, Energy Systems Catapult, has proposed appointing a carbon regulator to monitor, report and verify (MRV) the emission reduction progress for the economy.
Energy Systems Catapult has produced a report that shows a carbon regulator could provide the level of regulation required to increase efforts to reduce emissions. This includes the production of a framework used for the measurements and accounting of MRV.
The newly appointed carbon regulator could be key to net-zero progress and secure scientific methods are used for accurate measurements and estimates of emissions. By monitoring the reductions under new and accurate methods they would also ensure that they are within the carbon budgets and aligned to the Paris Agreement to stay on track with the UK goals. To further accelerate the process, this regulator would be responsible to provide appropriate incentive as well as enforce financial penalties where necessary – providing additional drives for businesses hesitant to make changes.
Carbon Policy Practice Manager for Energy Systems Catapult, Dr Danial Sturge said:
“Currently, investor confidence is dampened – in part – by uncertain shifts in policy and incoherent practices domestically and internationally in monitoring, reporting, and verification of emissions.”
“A suitably empowered carbon regulator that implements robust, economy-wide practices can improve this, removing barriers to innovation, and ensuring that incentives drive technologies and processes that genuinely reduce emissions across all major emitting sectors.”
By implementing an economy-wide MRV we can build investor confidence that will drive the innovating technologies required to cut and remove emissions. The proposed carbon regulator will have the responsibility to ensure new standard measurement and reporting methods are adhered to.
It has also been proposed that the responsibilities should expand beyond the UK emissions and include international consumption-based emissions. However, this will introduce additional challenges as MRV methods are yet to be defined and agreed upon. The regulator may be an important component to international emission reduction claims as they expand the scope of reporting.