Library filed under Taxes & Subsidies from Europe
In the UK this August, two massive offshore wind developments were thrown into tumult. ...The Crown Estate plans to have at least 10 GW of offshore wind capacity in the water by 2020. Industry observers aren’t as optimistic, pointing out that the UK’s new Conservative government has announced plans to end its renewables obligation support for onshore wind by April 2016
The current subsidy system for on-shore wind energy in Northern Ireland is set to end next April, a year earlier than planned. ...However, he said that changes in UK policy now mean that keeping it until 2017 would impose extra costs on consumers.
They are asking for a legal instrument to provide investment protection against sudden subsidy cuts. The commission's financial department is currently considering setting up an arbitration mechanism for resolving investment disputes at EU-level. This would replace bilateral investment protection treaties struck mainly between EU members and then candidate countries in central and eastern Europe in the 1990s.
Another wind farm planned on Bassetlaw land has bitten the dust after the Government pulled a subsidy scheme from under developers. Plans for six turbines on land near Saundby that many residents feared would over-industrialise the Trentside landscape have now been shelved.
Householders planning to install solar panels will receive 87pc less in subsidy payments as ministers attempt to halt a £1.5bn overspend on renewable energy. The Government consultation published today follows the recent axing of a £540 million taxpayer-funded scheme, the Green Deal, which gave out loans and cash for energy-efficient home improvements.
Lights could be dimmed and kettles take longer to boil under a future National Grid reliant on wind powered technology. Trials have been held in the North-West of England, which has seen the voltage to homes turned down at periods when the breeze dies down.
To put an end to the often unexpected power flows from Germany — so-called loop flows — the countries are taking the matter into their own hands. Concerned about the stability of their own grids, additional costs and the ability to export their own power, the Czechs, for example, are installing devices to block the power from 2016 onwards.
Sardinian prosecutor Mauro Mura warned last year of mafia infiltration in the sector, flagging up instances of renewable energy plants which had profited hugely from subsidies open exclusively to farmers, while "not producing any agricultural goods at all".
The danger for investors is that the Green Investment Bank could lose any political advantages it may have once the government has sold out—leaving them open to the same political whims on subsidies and planning as everyone else.
The Green Deal was launched by the previous coalition government to encourage people to borrow money to make the UK’s notoriously draughty homes more energy efficient. ...But take-up has been low amid concerns that the programme was overly complicated and the interest rates charged for loans were too high.
“We can’t have a situation where industry has a blank check, and that check is paid for by people’s bills”
Government announcement on the future of customer-funded subsidies for wind farms and solar power expected within days, as ministers seek to rein in soaring costs
Under the scheme, everyone – from a household who decided to put a solar panel on the roof to the developer of an offshore wind farm – was guaranteed a premium on top of the market price for electricity, to help encourage the development of renewables. ...due to a decline in the wholesale price of oil and gas, as well as higher than expected installation of home solar panels, this budget of £7.6bn per year has already been busted by more than 20 per cent.
In his July report on the state of the Scottish economy the Inverness-based economist said that the subsidies received by wind farms has on average been "between 2.5 and 3 times what was required to expand wind farm capacity to meet Scottish Government [emissions] targets".
George Osborne to abolish coalition's green tax target as customers face paying £1.5billion more through their bills to subsidise wind farms, solar panels and biomas plants
The plan to impose penalties on the oldest and most polluting power plants has been dropped ...The move illustrates the challenge Berlin faces as it attempts to meet its ambitious targets to combat climate change while safeguarding jobs. Despite a shift towards renewable energy, Germany still generates 44 per cent of its electricity from coal.
Ms Rudd, who has also announced plans to give local communities the final say over windfarms, said: “We are reaching the limits of what is affordable, and what the public is prepared to accept.”
The U.K. Department of Energy and Climate Change said it would end the Renewables Obligation subsidy programs for new onshore wind farms from April 1, 2016. Earlier plans envisaged ending the subsidies in 2017.
Subsidies for new wind farms should be scrapped as rural parts of the country have "had enough" of developments, the Scottish Conservatives have said.
Conservative proposals to axe onshore wind farm subsidies are being delayed amid fears they will trigger a costly legal battle with green energy companies and a damaging dispute with the Scottish Government.