Powering the future

Think tank: Onward

Author(s): Ed Birkett

July 4, 2022

This report from UK think tank Onward looks at why the Review of Electricity Market Arrangements is so important.

Between 2020 and 2050, demand for electricity is expected to more than double, whereas demand for oil and gas is forecast to fall by 85% and 70% respectively. Rising electricity demand will be met by more offshore wind, nuclear, solar and other sources. Because the output from wind and solar farms is variable (“intermittent”), they pose new challenges for the electricity system. To address these challenges, the Government launched the Review of Electricity Market Arrangements (REMA). This research note explores the key questions and issues that REMA needs to address.