The UK has a green target to provide 15% of its energy from renewables by 2020. This means producing enough energy from renewable sources for the requirements of 26 million homes in the UK by 2020.
Already – renewable electricity has doubled in the UK in five years, however this has mainly been thanks to large scale commercial renewable energy – in particular wind energy which has doubled in the UK in five years. We already have more offshore wind energy in the UK than any other country.
However what does the Government’s new Renewable Energy Strategy have in store for small-scale renewable energy?
The Department for Energy and Climate Change (DECC) want to see 2% of our electricity supply from small-scale renewable generation. In order to encourage householders to buy and install renewable energy technology the main UK political parties have agreed that fixed prices for surplus electricity generated will help. The idea is that fixed prices for small scale energy generators will encourage more people to make a renewable energy investment as they can gain a better idea of what the financial returns will be.
DECC have said that a new fixed price system or “Feed in Tariff” will be activiated in April 2010. It is expected to provide guaranteed, long term support payments to renewable electricity projects of up to 5 megawatts (MW) – for example up to two wind turbines. In addition, from April 2011, a new Renewable Heat Incentive will provide similar incentives for individuals, community groups and businesses to install renewable heat technologies at all scales.
Shadow Energy Minister Greg Clark said the existing Labour Government should “make it clear that technologies that would benefit from the feed in tariff will qualify even if they are installed before the feed in tariff commences, providing they have not already been financed from public funds. A Conservative government would offer such a guarantee and I call on this Government to do the same”.
In response to the Conservative committment Derry Newman Chief Executive of Solarcentury said;
“This is a very significant renewable energy announcement from Greg Clark. It will be well received by solar PV customers, investors and the 1,600 skilled staff working today in the UK solar PV industry. In guaranteeing the feed-in tariff in this way under a possible future Conservative government, Greg Clark has acted quickly to provide much needed clarity for our industry. Solar PV in the UK can deliver a significant contribution to the UKs 2020 renewable energy target but investors in our sector require above all else predictability and certainty of policy.”
