THE POSSibilities OF ECONOMIC GROWTH THROUGH A NET ZERO APPROACH 16.5.24

1. THE Possibilities OF ECONOMIC GROWTH THROUGH A NET ZERO APPROACH We are Net Zero Consultant in Agile Advisors, Throughout the year, we have experienced a momentous shift as a country. As we adjust our priorities and embark on a new economic path, uncertainty about our future has been sparked by the new government led by Prime Minister Rishi Sunak. Groups like the Net Zero Scrutiny Group frequently question if Britain's goals to reduce greenhouse gas emissions are too costly given the rising cost of living. Given the current crisis, the SEA positions itself to clarify one thing: energy and net zero must take the lead. This blog article aims to dispel myths about Net Zero's cost while examining how the UK can economically profit from the shift to it. In recent years, the UK has taken the lead in efforts to slow down the approaching climate catastrophe worldwide. The nation set a legally-mandated goal in 2019 to reduce greenhouse gas (GHG) emissions to net zero by 2050. Investment is unavoidably necessary to achieve Net Zero, but the cost of inaction is much higher. Being a Net Zero Carbon in Agile Advisors, according to the HMT Net-Zero Review, the annual cost of global warming is estimated to be between 5% and 20% of GDP worldwide. The shift to a Net-Zero economy in the UK, as projected by research conducted by Cambridge Econometrics and the Climate Change Committee (CCC), is not just a necessity for our environment, but also a potential catalyst for economic growth. The research suggests that our GDP could rise by 2% to 3% between 2022 and 2050, a promising prospect that should inspire optimism and hope. Five alternative scenarios are modelled in the CCC's Sixth Carbon Budget to reach the Net-Zero target. The annualized resource cost, across all scenarios, of bringing net-zero GHG emissions to the UK is projected to be 1% or less of GDP until 2050. Similarly, the HMT Net-Zero Review determined that, after accounting for gains in air quality and emission reductions, the net cost of the transition will amount to 1% to 2% of GDP in 2050. Agile Advisors provide Net Zero Consultancy, The United Kingdom possesses substantial manufacturing capacity for heating products, including gas boilers. Manufacturers would be able to react and provide for heat pump deployment in high-ambition situations, according to a 2020 BEIS assessment. Leading

2. manufacturers like Vaillant and Kensa have already invested in new facilities in response to recent government announcements on clean heat. Energy firms such as Octopus, OVO, and EDF have joined forces with Vaillant and Kensa to make significant investments in the electrification of heat projects nationwide. Implementing these technologies offers a chance to advance skilled and high-quality employment in the heating industry. By the end of March 2022, 1,294 MCS-certified heat pump companies had installed 7,783 heat pumps in total during that month. If we increase our manufacturing and production capacity even more, this will also create a significant export opportunity for the UK. As one of the leading Net Zero, based on an extrapolation of this, the industry would require an additional 7,000 contractor businesses to meet the government's aim of 600,000 heat pump installations annually by 2028. This would translate to a capacity for around 90,000 installations per year delivered by the current MCS-certified base of contractors. Based on the deployment of one million heat pumps, an analysis by the Heat Pump Association indicates that by 2030, we will require at least 50,200 installations. In comparison to the baseline, Net Zero would result in a 1% net increase in employment, or 300,000 more jobs annually, according to the CCC's sixth Carbon Budget Scenarios. Thanks to opportunities in Net Zero initiatives, local governments can now set themselves apart in their Net Zero efforts. This makes it possible to fund clean growth initiatives in areas of the nation that require them, which is entirely consistent with the government's goal of levelling up. To help you as Net Zero Carbon, The West Midlands Public Sector Decarbonization Scheme, wherein the UK Government awarded £2 million to Windsor Academy Trust for heat decarbonization and energy- saving improvements across seven schools, is one example given in the government's own Net-Zero Strategy. The Northwest Ellesmere Port business, which received £100 million from Stellate’s to manufacture electric vehicles, is another instance of a levelling up initiative that has successfully preserved 1,000 employees. The UK is in a position to use its knowledge, experience, and ability to create and produce clean, low-carbon technology to benefit the entire globe. With Net Zero, the UK will have a rare chance to lead a sector that has grown in response to climate change and to highlight itself in a developing market. The European Commission's Repowered initiative, which aims to install 20 million heat pumps by 2026 and 60 million by 2030, will benefit significantly from UK innovation in technologies like heat pumps