The Spark Gap

Why Electricity Is Key to Achieving Net-Zero

When I started working for JL Creative, I was eager to understand the innovations shaping the HVAC industry. As someone passionate about sustainability, I thought I had a good grasp of the challenges ahead. However, learning about the spark gap revealed just how complex the energy transition is and why it’s crucial to net zero.

One of the most important shifts in this transition is how we power our homes and businesses. The spark gap - a concept that highlights the true cost of electricity versus gas, lies at the heart of this change.  

What Is the Spark Gap?

The “spark gap” also known as the “spark ratio" or “spark spread,”  refers to the difference in cost between gas and electricity. While electricity has traditionally been more expensive than gas due to the infrastructure and energy conversion processes involved, the rise of renewable energy sources is starting to change the dynamics of this comparison.

Historically, the UK has had the biggest spark gap in Europe, however; in recent years, the cost of renewable energy generation (like wind and solar) has decreased and electricity is becoming cheaper. The spark gap, therefore, is slightly shrinking. If this continues, it is predicted that, eventually, it will be more economically viable to shift away from fossil fuels like natural gas.

The True Cost of Gas and Electricity

To understand the true cost of gas versus electricity, it’s important to consider not just the price at the pump or the utility bill, but also the long-term economic, environmental, and health impacts. Here’s a breakdown:

Environmental Impact:

Gas, a fossil fuel, releases significant amounts of carbon dioxide (CO2) when burned, negatively contributing to climate change. This not only impacts the environment but also leads to an increased frequency of extreme weather events, wildfires, and other climate-related disasters.

Electricity, when generated from renewable sources, emits little to no carbon dioxide, offering a cleaner, more sustainable option. This makes electricity a central component of any net-zero strategy, as it allows us to reduce overall carbon emissions.

Energy Efficiency:

Gas systems (e.g., heating or cooking) operate at lower efficiency levels compared to electric systems, particularly when considering modern electric heat pumps or induction stovetops. With advancements in technology, electric solutions are becoming more efficient, using less energy to achieve the same results.

Health Costs:

Burning gas releases not just CO2 but also nitrogen oxides and particulate matter (small solid particles and liquid droplets in the air) which contribute to air pollution and respiratory illnesses. Electricity, when sourced from clean energy, has no such byproducts, reducing harmful impacts on public health.

Economic Considerations:

Average Energy Prices:

• Gas: 6.2 pence per kilowatt-hour (p/kWh).

• Electricity: 24.5 pence per kilowatt-hour (p/kWh).

It should be noted that gas prices are highly volatile and influenced by global supply and demand and market trends.

On the other hand, while still subject to fluctuation, electricity is becoming more stable due to the growing reliance on renewable energy sources.

Renewable Energy Cost Decline:

• Solar electricity costs have dropped by 89% in the past decade.

• Offshore and onshore wind costs decreased by 60-68%, respectively,  between 2010 and 2021.

• Lithium-ion battery costs fell by 85% between 2010 and 2019.

Local Solutions to Bridge the Spark Gap

The spark gap isn’t just a global issue—it has local implications too. Local Area Energy Planning (LAEPs) is helping communities across the UK bridge this gap and transition toward net zero in a way that directly benefits local residents and businesses.

LAEPs are place-based strategies that help local authorities develop energy plans tailored to their specific needs. By taking this localised approach, communities can:

    •    Reduce costs with efficient energy solutions.
    •    Attract investment by providing clear action plans.
    •    Engage residents to ensure they benefit from the transition to clean energy.

Currently, 30% of UK local authorities are developing or implementing LAEPs, and their success is already evident in regions like Wales and Scotland, where similar strategies are shaping sustainable futures.

The Importance of Electricity for Net-Zero

As aforementioned, transitioning to electricity is key to decarbonising sectors like the heating, cooling, and transportation industries. As renewable electricity becomes more accessible, we can:

    •    Reduce our dependence on fossil fuels.
    •    Drive the adoption of electrified systems like electric vehicles and air-source heat pumps.
    •    Improve public health and resilience at both local and global levels.

The Path Forward: How Can We Embrace the Spark Gap?

Invest in Renewable Energy:

Governments, businesses, and individuals must continue to invest in renewable energy sources like solar, wind, and hydropower. Increasing these investments will make clean electricity more affordable and accessible over time.

• The International Energy Agency (IEA) predicts renewable electricity’s global share will grow from 30% in 2023 to 46% by 2030, thanks to advancements in solar and wind power.

• In the UK, there has been a spike in interest with 700 monthly searches around saving money on electricity bills through solar panel installations.

• Additionally, around 250 searches per month focus on renewable energy investment opportunities, trends, and global key players

Incentivise Electrification:

Encouraging the transition from gas-powered systems to electric alternatives, through policies like the Boiler Upgrade Scheme, is crucial.

• There is increasing interest in the UK, with 4,000 monthly searches for information on government-funded schemes offering free or subsidised boilers.

• Many users are also seeking details about eligibility criteria and application processes for these initiatives.

Educate and Raise Awareness:

It’s important to spread awareness about the spark gap and the true cost of energy choices.

• Many consumers are exploring energy cost comparisons, with 200 monthly searches for “Is electric cheaper than gas” as they evaluate the economic benefits of switching to electricity.

By highlighting the environmental and financial advantages of electrification, we can inspire more widespread adoption.

Support Net Zero Goals:

Achieving net zero requires widespread collaboration and policy changes prioritising electrification and renewable energy.

• Businesses in energy-intensive sectors like heating, cooling, and transportation, must adopt sustainable practices and focus on clean electricity solutions.

• Despite the critical importance of net zero, search interest remains modest, with 65 monthly searches for “net zero strategies” and implementation methods at both policy and organisational levels.

Turning Knowledge into Action

The spark gap highlights the need to shift from gas to electricity, not just for economic or environmental reasons but also to benefit local communities. Local solutions like LAEPs ensure that this transition is efficient, cost-effective, and inclusive, paving the way for a cleaner, greener future. By embracing clean electricity, we can achieve net zero while creating healthier, more resilient communities.

At JL Creative, we specialise in partnering with businesses whose customers drive the adoption of low-carbon technologies. Whether you’re in the heating, ventilation, or construction industries, we can help you amplify your impact by crafting tailored digital marketing strategies that educate, engage, and inspire action. Let’s work together to spark meaningful change— Fill out the form below to contact us today to learn how we can help your business thrive in a sustainable future.