16 Sep 2009
Energy and climate change secretary Ed Miliband today announced that the world's largest wind turbine blades are to be made in the UK, after the government awarded a £4.4m grant to help finance plans for a new manufacturing project in the north east.
Countering recent accusations that the government's failure to nationalise the Vestas wind turbine plant on the Isle of Wight that was controversially closed by the company demonstrated a lack of support for the industry, Miliband told the TUC conference that the government was committed to building a manufacturing base for the fast expanding offshore wind industry.
Miliband said that US-based offshore wind firm Clipper Windpower would receive £4.4m in government funding to support its Britannia Project to build a prototype 70m blade for offshore wind turbines that will be bigger than the Blackpool tower and will weight more than 30 tonnes.
"With strong government backing, the UK is consolidating its lead in offshore wind energy," he said. "We already have more offshore wind energy than any other country, we have the biggest wind farm in the world about to start construction, and now we'll see the biggest turbine blades in the world made here in Britain. "
The confirmation that work is expected to begin on the new blades at a site on the River Tyne by April next year represents a major step forward for the Britannia Project, which earlier this year signed an agreement with Crown Estate that will see a prototype of the giant 10MW, 175m turbine installed in UK waters.
"With the deployment of the 10MW Clipper offshore turbine in UK waters, the nation will benefit from clean power, and also from the strong economic boost arising from the development and serial production of the turbines in the coming years," said James GP Dehlsen, chairman of Clipper Windpower, adding that the new government funding would allow the company to significantly accelerate the flagship project.
The award to Clipper Windpower is the largest of three grants announced today as part of the government's Low Carbon Energy Demonstration fund. A further £1m was awarded to Artemis Intelligent Power to help it convert its existing technology from automotive to wind energy, while Siemens Wind Power UK secured £1.1m to help it fund the development of new power convertors for offshore turbines.
The new funding comes just a day ahead of a speech from former deputy first minister for Scotland, Lord Jim Wallace of Tankerness, in which he is expected to call on the government to ensure that the recent £1bn in bank financing promised to the wind energy sector is delivered to those smaller projects that are finding it hardest to access credit.
Lord Wallace is to deliver a keynote address at a conference in Glasgow hosted by SmartestEnergy, the UK's largest purchaser and supplier of renewable energy from the independent generation sector, in which he will voice fears that small to medium sized wind energy projects could miss out on the £1bn in new financing that the government said would be offered by RBS, Lloyds, BNP Paribas Fortis and the European Investment Bank (EIB).
"It is vital that this money reaches those who really need it: the small and medium sized independent developers who have been hit hardest by the credit crunch,” he said, adding that while it may be easier for banks to provide financing for large-scale projects backed by utility firms, such an approach will delay many of the benefits associated with wind energy developments.
"If we have any chance of achieving our targets for 2020, it is clear we cannot rely solely on the utility companies or major corporate developers," he warned. "Independent developers can deliver projects to market more quickly, and bring benefits over and above climate targets, including sustainable income, sustainable local jobs and community investment... The government needs to spell out, very quickly and very clearly, how the smaller independent sector can access these funds so we can get these projects moving and create a more sustainable future for all."
A spokeswoman for the Department of Energy and Climate Change said that talks were ongoing between the EIB and the other banks on how the funds would be distributed, but she added that any developer would be eligible to apply for financing and the early signs were that it was small to medium sized projects that would make up the bulk off the applications.
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