27 Jan 2010
The campaign for the government to increase the proposed level of feed-in tariffs for small-scale renewable energy technologies received a boost today, with the release of a new survey suggesting almost three quarters of homeowners would install renewable energy systems if the financial returns were attractive enough.
The YouGov survey of more than 2,100 adults was commissioned by Friends of the Earth, the Renewable Energy Association and the Co-operative Group, and found that there is strong support for the government to increase the level of ambition for the planned Clean Energy Cash Back scheme that is due to come into effect in April.
The government is to provide the final details for the scheme in the next few days and the renewable energy industry has been lobbying hard for the government to increase the level of tariffs available to those households and businesses that install energy systems such as wind turbines, solar panels and biomass technologies.
Green groups have consistently argued that the tariffs on offer are well below those originally provided under the German feed-in tariff scheme that underpinned the rapid expansion of the country's renewable energy industry and has provided a template for similar schemes across Europe.
They have also warned that the government's own calculations show that the UK Clean Energy Cash Back scheme will result in only two per cent of UK electricity being generated by onsite renewable energy systems by 2020, adding that businesses in particular will not generate sufficient returns from the scheme to justify investment in low-carbon energy technologies.
The survey revealed widespread support for the renewable industry's position, with nearly two thirds agreeing the government's target for onsite renewable energy is not ambitious enough and 70 per cent saying they would be willing to pay an extra 10p on their energy bills each month – a move green groups claim would help treble the amount of onsite renewable energy generated by 2020.
"The public overwhelmingly wants the government to think big when it comes to small-scale renewable energy," said Friends of the Earth's executive director Andy Atkins. "Our homes, businesses and communities could become green power stations – but bigger government incentives are needed to make this a reality. Ministers must listen and introduce an ambitious feed-in tariff scheme that will encourage millions of households, companies and communities across the UK to join the green energy revolution."
Chris Shearlock, sustainable development manager at the Co-operative Group, warned that without more generous tariffs, many businesses would put plans to invest in renewable energy on hold.
"As a business that has campaigned for strong climate change legislation, is taking action to reduce its own emissions and owns the UK's largest solar power project, we want to be able to use small-scale renewables on our stores and branches around the country," he said. "Without feed-in tariffs offering a greater level of return – along the lines available to larger renewables supported by the Renewables Obligation – this opportunity will be sadly lost."
The government is expected to present its final decision within the next few weeks. However, civil servants have been keeping their cards close to their chests and it remains unclear if they will increase the tariffs or stick with lower-level tariffs that appear to have secured the support of the UK's main power companies.
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Already too expensive
Nearly 40p/kWh for solar power? That's over £400/ton for CO2 savings... you could probably get ten times as much by investing the cash in offshore wind. It's insane, I hope the government doesn't expand the subsidies even more.
Posted by Mark Richardson, 28 Jan 2010