A new policy options paper by the Conservative Environment Network outlines a credible, market-led plan for energy security, industrial rejuvenation, and environmental protection
With urgent security threats facing the UK, Market-led green growth encourages the Conservatives to champion pragmatic policies such as green free trade agreements, enhanced freeports, and critical mineral partnerships to strengthen the security of the UK and our allies rather than punish British voters
The paper answers Kemi Badenoch’s challenge of how to deliver cheap, clean energy without over-burdening households and businesses and increasing dependence on China
Individual policies have been endorsed by Conservative MPs and leading experts, including: Tom Tugendhat MP; Alicia Kearns MP; Gavin Williamson MP; Blake Stephenson MP; Britain Remade; Onward; and Renewable UK.
[31st March 2025] The Conservative Environment Network, which has a caucus of 50 Conservative MPs, has published its first policy option paper, Market-led green growth, putting forward 12 policies. The paper offers an honest and ambitious strategy which can deliver on Kemi Badenoch’s aspirations for lower energy costs and greater energy security, and pushes back against Labour’s state intervention.
The paper puts forward solutions to some of the UK’s most pressing issues of weak national security, expensive energy bills, and a stagnating economy. The paper offers conservative ways to wean ourselves off reliance on hostile states, attract more private investment, and unlock affordable bills by strengthening competition, streamlining red tape, and lowering taxes.
The paper offers a conservative counter to both Labour’s and Reform’s expensive and disingenuous energy policies. The paper offers a critique of the government’s statist plan for the transition which will waste taxpayers’ money on projects like GB Energy, undermine support for net zero by overriding community concerns, push up electricity bills by setting a rush timescale for decarbonising the power sector, and leave us reliant on hostile states for clean energy supply chains.
Some key recommendations include:
Sign critical mineral partnerships and targeted free trade deals with allied countries to ensure Britain’s security concerning minerals critical for defence, technology and energy (pg.7)
Streamline regulation by approving nuclear reactor designs from other trusted regulators to unleash cheaper nuclear power in the UK (pg.9)
Designate clean energy zones in areas of low environmental sensitivity, where there is community support, streamlining regulation and cutting tax to unlock new investment in domestic energy (pg.9)
Unlock more private investment in clean energy and lower energy bills for companies by cutting green levies on Power Purchase Agreements for all renewable energy and nuclear (pg.5)
Expand permitted development rights for small-scale wind turbines so industry can gain access to cheap renewable energy and increase profit margins by selling surplus power back to the grid (pg.9)
Onshore more clean energy supply chains by establishing a premium to the capital allowances for clean energy industries in freeports (pg.7)
Use tax breaks to decarbonise industry by enhancing the capital allowance for investment in electrification, CCUS, and hydrogen (pg.11)
Available for broadcast:
Sam Hall, Director of CEN and former DEFRA Secretary of State Policy Adviser
Sam Payne, Senior Climate Programme Manager for CEN
Sam Payne, CEN’s Senior Climate Programme Manager, said:
“It is crucial that Britain benefits from the energy transition. This means alongside reducing global emissions, the transition must bring affordable electricity prices, protect and grow our industries, and create a more secure Britain.
“But this requires a market-led, conservative plan. As the Leader of the Opposition rightly pointed out, Labour’s plan will cause bills to rise and leave us reliant on Chinese energy components. Conservatives have the opportunity to champion the honest and ambitious alternative Britain needs.
“Our paper offers just that. Rather than a state-led approach to the clean energy transition, our policies will help create a Britain that is safer, more prosperous and ensure industry is incentivised to go green, rather than penalised.”
Writing in an op-ed for The Telegraph, The Rt Hon Tom Tugendhat MP, Former Security Minister, said:
“Britain’s energy vulnerability makes the Bank of England’s struggles look trivial. We’re running down the tank without a proper plan for the next pit stop. The days of cheap Russian gas are over, and China’s dominance over critical minerals used for energy, defence, and technology has left us dangerously exposed.
“British families deserve to feel safe in the knowledge that their energy supply isn’t hostage to Putin or Beijing. Labour talks tough on defence — but when it comes to energy security, Miliband’s rhetoric is hollow. The Conservatives have always been the party of pragmatism and national resilience. Now is the time to prove it — by putting nuclear back at the heart of Britain’s energy strategy.
“But instead of grasping the scale of this threat, Labour is sleepwalking into an energy crisis. If they were serious about strengthening Britain’s resilience, they would be leaning into our proud nuclear legacy — securing a reliable domestic energy source that can keep the lights on regardless of geopolitical turmoil. Instead, Ed Miliband has chosen virtue signalling over national security.”
The Rt Hon Gavin Williamson MP, Former Secretary of State for Defence, said:
“It is time for Britain to step up to the new challenges our world is facing. We must lead the security effort for democracies across the world. This means weaning ourselves off hostile states for energy and critical minerals, and building stronger clean energy supply chains at home and across western democracies.
“To achieve this, we must use the conservative playbook, harnessing our Brexit freedoms to sign new free trade agreements and critical mineral partnerships to create a safer, cleaner, and more prosperous Britain.”
Alicia Kearns MP, Shadow Minister for Home Affairs and former Chair of the Foreign Select Committee, said:
“China has spent years expanding their sphere of influence among developing countries and Russia has invaded a European ally. The UK has blindly fallen into China and Russia’s clutches, with Russia’s weaponisation of gas and China’s dominance of critical minerals exposing the UK’s energy, defence and technology industries. We have been far too slow to react, and are simply letting them in through the front door.
“Now is the time for the UK to lead on the security of global democracies and tip the scales back in our favour.
“If we act now with urgency, we can keep our nation prosperous and safe and remove Russia and China's hands from democracy’s throat.”
Blake Stephenson MP, Member of the Environmental Audit Committee, said:
“We cannot afford to be under the thumb of Russia or China for our energy supply. While we have rightly moved away from imported fossil fuels, we have been sleep-walking into the chokehold of China with clean technologies. Labour have already made it clear they're more than happy to cuddle up to Chinese firms and expose our nation to China’s influence further.
“China currently dominates clean energy supply chains - we need to empower the UK’s industrial might to take back control. We know that the best way to unleash British industry to become leaders in clean technologies is by setting them free from red tape, high taxes, and trade barriers.
“That is why we should attract more investment into British clean energy supply chains by doubling down on the low-tax freeport model developed under the Conservatives. We must also sign new free trade agreements and critical mineral partnerships to facilitate more trade with friendly countries and bring long-term security to our nation. The UK must put more emphasis on security in the clean energy transition, and this can only be achieved with a conservative approach.
Sam Richards, CEO of Britain Remade, said:
“From offshore wind to new nuclear, it is far too difficult to build the clean energy infrastructure Britain urgently needs. Speeding up the time it takes to get spades in the ground on these critical projects is not only good for the environment but also essential to kickstarting the economy.
“It is astonishing that the nuclear reactors at Hinkley Point C required over 7,000 design changes despite having already been approved by European regulators. As this important report sets out, this red tape is a key part of why Hinkley Point C will be the world’s most expensive nuclear power station ever built.
“Our environmental rules slow down construction and hinder growth, all while doing little to protect the natural environment. Protecting nature and getting Britain building can go hand in hand, but to achieve this, the government must deliver on the planning reforms they have promised.”
Laurence Fredericks, Researcher for Onward, said:
“The energy transition in the UK must not alienate the electorate by increasing costs, nor replace the instability of finite resources with the instability of volatile foreign supply chains. A pragmatic, market led approach - as advocated by this paper - is both welcome and best placed to identify the feasibility and opportunities for a transition at a pace most conducive to energy and economic security, and ultimately electoral support.”
Ajai Ahluwalia, Head of Supply Chain for RenewableUK, said:
"This policy paper highlights the significant opportunity we have to build up internationally competitive supply chains in the UK to manufacture a diverse range of products for clean energy projects here and aboard.
“Our sector's Industrial Growth Plan for offshore wind shows that if we focus on high-value components such as blades, turbine towers, foundations, electrical systems and cables, we can triple the UK's offshore wind manufacturing capacity over the next ten years.
“The paper also acknowledges the key role which the Government can play in the redevelopment of ports around the UK by introducing policies to help to transform them into supply chain hubs for green industries, especially floating wind, to secure our position as a global leader in innovative clean technology.”
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