| |FEBRUARY 20259E ERGYTech Reviewthat share a common language, have a track record from sectors like onshore and offshore windfarms, and which the finance sector is familiar with and willing to back, share the risks, and give investors confidence. Work done by the Department for Energy Security and Net Zero (DESNZ, former BEIS), in consultation with multiple stakeholders, is delivering a policy that provides an investable proposition. There must be an urgency to finalise such business models and expedite negotiations to kick off the low-carbon hydrogen and CCS economy. We urge the Government to work with those projects that are technically advanced and have direct, easy access to other dependent investments, for example, the soon to be consented CO2 pipelines. Such prioritisation will deliver overall net zero outcomes efficiently and effectively. This is essential for the UK to achieve its ambition of 20 to 30 million tons per annum of CO2 captured and stored by 2030. The other threat to keep momentum on delivering net zero is the threat to UK international competitiveness. The policy being developed elsewhere, like the US Government's Inflationary Reduction Act, is attracting investment and incentivising the accelerated deployment of a vast amount of capital in low-carbon hydrogen, CCS, and low-carbon fuel production. Another element is carbon leakage ­ where taxes are paid at home and products are imported cheaper from countries where carbon taxes don't apply. The EU and UK are working on developing a cross-border adjustment mechanism (CBAM) to put products on par, this needs to be accelerated to enable UK industries to remain competitive while these transition to a net zero world.The race to net zero is a competition worth pursuing, and the reward will be to create growth, new jobs and wealth. The alternatives are industries shutting down on the back of ever-increasing carbon levies, or migrating to countries with no carbon taxes or where there are the right incentives to invest in green technologies, none of which will ensure the UK remains at the forefront of delivering a decarbonised economy. Marcos Matijasevich
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