And to ensure smart grids enable the low-carbon future, regulated utilities must be given output-based incentives that fairly reward them for delivering future capacity to support renewables and the electrification of the heating and transport sectors.

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Refining-capacity constraints will keep gas prices up at the pump and for heating oil.

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This money will be spent to restore the capacity of basic public services such as water supply, electricity importation, water sanitation, heating plants and road repair.

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John Morris, of Birmingham Airport, said the airport had the capacity for another nine million passengers and added that the South East's runways were "over heating".

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