News – How a “Biden boost” to net zero innovation can help UK business?
A recent news article from Tony O’Donnell suggests ways in which Biden’s election can help UK businesses.
“Well, we finally have a result! The election of Joe Biden is set to be important for many reasons. Above all, the 2020 US election is set to be a tipping point in our efforts to address the climate change emergency. This is good news for the Planet and this moment also has positive implications for UK businesses.” he begins.
Why is Biden’s win important?
Biden’s victory is set to boost momentum behind global efforts to move to a net zero economy. For example, Biden has committed his new administration to spend $300bn on R&D over his four year term, with an emphasis on renewable-energy technology. This compares with the US federal government spends less than $7bn a year on such clean R&D.
This extra investment will help US low carbon innovators and boost US efforts to shift to a low carbon economy.
The US re-joins the climate change coalition
One of the first actions of a Biden administration will be to re-join the Paris Climate Accord. This action will put America back on a similar path to other world governments. Many signatories have begun to set new climate targets for the middle of the century. In recent weeks China, Japan and South Korea have all made big commitments to reduce emission to net zero. Back in March this year, the European Union unveiled a “net-zero” plan of its own. In earlier movers, first Britain and France have enshrined their net zero targets into law.
A renewed climate-conscious US Government will provide momentum for actions to reduce carbon levels. It will also provide clarity to both markets and investors, signalling the big opportunities ahead.
According to Tony, this means for the UK:
The UK is well placed to benefit from this positive momentum due to its historic leadership on climate action. Britain was the first to create a legally enforceable framework (the Climate Change Act) to bear down on emissions. Last year the United Kingdom was also the first government to put a commitment to reduce its carbon emissions to net zero by 2050 into law.
The UK also has a strong science and engineering base that can participate in the innovation opportunities set to grow as part of the net zero transition. These national strengths are also being backed by significant Government policy and investment to decarbonise the UK economy. Recent advances in digitalisation, genomics, machine learning and materials science can be applied to the challenges of the net zero shift. This will also offer opportunities for innovative UK ideas to be commercialised that may offer substantial export potential.
For example, Boris Johnson recently announced the intent to make Britain a world leader in offshore wind energy, by aiming to produce 40GW of electricity from 2030. This alone will require £50bn of capital investment. It is expected that this will support tens of thousands of new jobs. It will also mean investment in ports and infrastructure to accommodate this additional offshore wind power upgrade. Government says that the boost to the wind-power industry will “support” 60,000 jobs, a growth of almost 20,000. This is just one example of the many huge opportunity areas that will arise in the net zero transition.
Read the original article here.