Library filed under Taxes & Subsidies from Europe
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.
The Department of Energy and Climate Change (DECC) is expected to announce measures to deliver on the Conservatives' manifesto pledge to ''end any new public subsidy'' for onshore wind farms.
The plans, expected to be unveiled within days, are designed to implement the Conservatives’ manifesto pledge to end any new public subsidy for onshore wind farms. The wind industry on Sunday stepped up last-ditch lobbying to try to save the subsidies, insisting onshore wind was the cheapest green energy option and popular with the public.
There is speculation that Renewables Obligation Certificates (ROCs) for onshore wind could be ended a year before the scheduled 2017 closure, additional restrictions could be placed on Contracts for Difference and Feed-in Tariffs could be cut or removed entirely.
She said the new UK Government should not change the public funding for onshore wind schemes “without agreement from Scottish ministers” after the Tory election manifesto promised to curb the spread of turbines by stopping any new subsidy.
The new Government says it is committed to long-term and legally binding goals to cut carbon emissions. However, it has consistently emphasised the key role it expects improvements in energy efficiency – as opposed to green energy – to play in hitting those targets. It has also insisted that renewable power – which remains more expensive than fossil-fuel power – must be “cost-effective”.
“The only way to stop more on-shore wind is to vote Conservative there is no other party with this policy. We are saying very clearly we would remove the subsidy and give local people the power to say yes or no.
The concession could smooth the way for a second coalition with the Conservatives. Energy and the environment has been a key battleground over the last five years, in particular over onshore wind. The Lib Dems have until now been vocal critics of Conservative plans to end subsidies for new onshore wind farms.
The cost of environmental levies to support projects such as wind farms, solar panels and biomass plants will rise from £3.1billion last year to £9.4billion by the end of the decade, according tothe Office for Budget Responsibility.