Labour rebels increase pressure on government over feed in tariff

Pressure on the government to introduce a feed in tariff to promote installation of microgeneration renewable energy technologies stepped up a notch last night, after a backbench rebellion highlighted growing political support for the proposal.

More than 30 Labour MPs voted against the government in support of an amendment to the Energy Bill tabled by Alan Simpson MP that would have required the government to introduce a preferential tariff for households and businesses selling energy top the grid from smaller scale renewable energy installations such as solar panels and micro wind turbines.

The government had to whip Labour MPs to return from campaigning in their constituencies to vote against the measure and head off what represented the biggest back bench rebellion since Gordon Brown took office.

Simpson said that the rebellion would send an "important message" to Brown, as the government prepares to begin work on a consultation this summer on how the UK can meet EU targets to generate 15 per cent of its energy from renewable sources. Speaking last night, energy minister Malcolm Wicks promised that that consultation would include discussion of whether to introduce a feed in tariff.

"The UK renewables industry is heartened to have received such strong backing from MPs of all parties and from such an impressive array of organisations," said Philip Wolfe, chief executive of the Renewable Energy Association. " Obviously it is hugely disappointing that the government did not welcome the Clause, however we remain convinced of our case and intend to pursue this campaign even more vigorously in the Lords."

Advocates of feed in tariffs maintain that they represent the most cost effective means of promoting adoption of renewable energy technologies amongst home owners and businesses. The model has proved successful across much of Europe with the German government largely crediting the initiative for the creation of a clean technology sector that employs over 100,000 people and has resulted in the country generating over three times more energy from renewable sources than the UK.