Library filed under Taxes & Subsidies from UK
The UK government’s proposals to band the Renewables Obligation have again stirred industry debate. The UK government signaled early this year that it would put forward proposals to band the Renewables Obligation, thereby effectively selecting winners and losers from an array of renewable technologies and awarding them differentiated renewable obligation certificates. As energy suppliers and generators await the banding outcome, debate as to the most viable and practicable approach rages.
Wind turbine projects on public sites like hospitals and council houses will receive a £10m funding boost as part of the Government’s efforts to open up the ‘largely untapped’ public sector to the renewables industry, the environment secretary said on Wednesday. The scheme will see up to half a billion pounds invested in onsite renewables, mostly wind turbines Defra wants to see 500MW worth of onsite renewables installed on public land through the Carbon Trust “Partnership for Renewables” scheme, which will work with public bodies as well as the private sector to provide funding for the initial stages of project development and management. Wind energy expansion on this scale would bring Britain’s wind energy generating capacity up by 25%, Defra calculates.
The Ramblers’ Association today called for an urgent reform of the subsidy which supports renewable energy developments on the UK, including a massive reduction in the funding given to large scale land based windfarms. The call comes after the RA’s Chief Executive, Christine Elliott, examined the impact of new windfarm developments in the Scottish Highlands.
The scheme would allow householders, small businesses and community groups to claim grants for installing the likes of solar panels and wind turbines.
Green issues are no longer the preserve of sandal-wearing activists. They have entered the mainstream business world and galloped up the boardroom agenda. At the same time, booming markets for trading carbon credits, effectively created by the Kyoto treaty in 1997, have attracted scores of investors focusing on green- energy projects.
A £6m fund to boost renewable energy in the east of Scotland has been unveiled by the Scottish Executive. It came as Deputy First Minister Nicol Stephen said more Scots companies should be branching into the sector. The Sigma Sustainable Energies Fund, backed by the public and private sector, will see successful companies receive as much as £500,000.
May I draw attention to two relevant issues in the wind energy debate: 1) Radar and 2) Renewable Obligation Certificates.
As outlined in its newly-published energy review, the UK government has announced that its policy instrument of choice to encourage new nuclear build is a strong carbon market in Europe. If the European market is unable to deliver this, then additional UK incentives will be introduced to prop up the value of emission credits.
Energy group E.ON is leading calls for the Government to give tax breaks to people who have installed insulation and double glazing in their homes.
The EU's carbon credit trading system is in crisis. Edward Simpkins reports on its pitfalls and how they might be rectified
Mr Rigden, editor of ReNews newsletter, said offshore wind was likely to be “an industry for the next decade rather than this one”.
Deputy First Minister Nicol Stephen announced some extra funding for green energy systems in Scotland's homes recently, during the launch of a SCHRI-funded water-sourced heat pump at New Lanark Heritage Site. The £3m over two years will go to the Scottish Community and Householder Renewables Initiative (SCHRI) to fund small-scale projects.
The Renewable Energy Foundation has consistently argued that the current subsidy system is resulting in an unbalanced deployment of renewables and will neither produce a healthy long term future for this sector, nor an economically compelling example of low carbon energy generation.
...neither ScottishPower nor energy minister Allan Wilson bothered to mention that it will cost electricity users more than £700,000 a week (£38m per year) in subsidies (equivalent to £190 per "household" per year).
In his first major speech on climate change David Cameron will outline Conservative plans to replace Labour's Climate Change Levy with a new, more effective and better targeted Carbon Levy.
If wind energy really is the energy of the future, as the developers claim, it must prove itself in the market without government subsidies. This has not yet happened anywhere; the projections are all based on artificial models with hidden costs -- costs for you and me, the taxpayers and consumers.
WEST Devon and Torridge MP Geoffrey Cox has launched a probe into the amount of public money spent by the Government to subsidise companies who develop wind farms. Mr Cox's Parliamentary Questions will form part of the latest stage in his campaign in support of the thousands of local residents who object to the siting of two wind farms in his constituency.
Britain's booming wind farm industry is grinding to a halt because a lucrative tax break in America is fuelling massive demand for new wind installations across the Atlantic.
E.ON UK has delayed construction on two of its 100MW offshore wind farms, stating the schemes are not financially viable. This is a problem for the company, as it needs renewable power assets to meet its renewables obligation. For offshore wind as a whole this is a major blow, as it suggests that the renewables obligation is not providing enough of a subsidy to cover the economics of new farms.
In the UK, the parallel objective is to generate 10% of the UK’s electricity from renewable sources by 2010. Renewable electricity has become synonymous with CO2 reduction. However, the relationship between renewables and CO2 reduction in the power generation sector does not appear to have been examined in detail, and the likelihood, scale, and cost of emissions abatement from renewables is very poorly understood. The purpose of this report is to analyse a wide range of technical literature that questions whether the renewables policy can achieve its goals of emissions reduction and power generation. To some, renewable energy has the simple and unanalysed virtue of being “green”. However, the reality of this quality is dependent on practical issues relating to electricity supply. ......In conclusion, it seems reasonable to ask why wind-power is the beneficiary of such extensive support if it not only fails to achieve the CO2 reductions required, but also causes cost increases in back-up, maintenance and transmission, while at the same time discouraging investment in clean, firm generation.