British Renewables Associations React to Government Announcement

Conducted by Windfair Staff

Claire Mack, Chief Executive of Scottish Renewables, said: "The UK Government’s Budget is the first since the publication of its Clean Growth Strategy, but the opportunity to deliver on the aims and ambitions of that document has not been taken. Long-term certainty over the direction of the UK’s energy system is vital if we are to unlock our renewable energy industry’s vast economic potential. It is disappointing that calls made in Scottish Renewables’ submission ahead of the Budget have not been heeded, particularly those which continued to underline the benefits of allowing onshore wind and solar, our lowest-cost forms of electricity generation, to compete in the energy market. The revision of growth predictions for productivity, business investment and GDP means the focus now should be on sustainable low-carbon industry which delivers affordable, home-grown energy, jobs, investment and carbon reductions. Allowing the UK’s renewable energy industry to do its job would deliver on all these fronts at the lowest cost to the consumer."

Philip Hammond, RenewableUK’s Chief Executive Hugh McNeal said: “The renewable energy industry has a little more certainty than it did this morning. The existing budget of £557m remains intact, and there is a commitment to maintain the Carbon Price Floor at current levels until coal comes off the system. The removal of an annual cap on the Levy Control Framework reduces the risk of a boom and bust cycle. While this is welcome, what is missing is the ambition to take full advantage of the UK’s global-leading renewables industry at such a crucial time for our country. Onshore and offshore wind are the cheapest options for new power in the UK and support thousands of jobs across the country, while our marine renewables and floating offshore wind sectors offer new industrial opportunities for the UK to be a global leader”.

Energy UK chief executive Lawrence Slade commented: “Given the great advances the industry has made in delivering cleaner energy at the lowest cost to consumers, the lack of ambition from the government to build on this progress is disappointing and, coupled with the need to decarbonise heat, seems at odds with the plans set out in the recent Clean Growth Strategy. Over half of generation now comes from low carbon sources and the recent CfD auction showed how far the cost of offshore wind has fallen - thanks to providing the necessary certainty for investment which drives down the cost of decarbonisation, benefits customers and the wider economy. Postponing further support for renewables until 2025 denies the opportunity for other technologies and projects to follow suit and prevents taxpayers from reaping the benefits of the cost reductions their funding has made possible.”