Renewables Industry Faces Uncertainty

The Chief Executive of Scottish Renewables has said the UK Government's delay in awarding contracts for the renewables sector has left the industry 'in the dark'.

The Scottish renewables energy sector faces uncertainty after the government ended the subsidies for onshore wind early.

Scottish Renewables said the closure could risk as much as £3 billion pounds of investment in Scotland along with 5,400 jobs.

The Department of Energy and Climate Change announced yesterday 22 July it was delaying making announcements on the Contracts for Difference issue until at least the autumn.


Niall Stuart, Chief Executive of Scottish Renewables said: "Contracts for Difference are essential to underpin the big capital investments in renewables, nuclear, and carbon capture and storage. Their introduction has already resulted in significant reductions in cost from solar, and onshore and offshore wind.

"The postponement of this year's auction, and the lack of clarity over future dates and budgets, means the entire industry is totally in the dark about if or when companies will be able to bid for a contract for their power.

Mr Stuart added the decision will result in a 'freezing' of project development and 'threatens' the timelines required to connect up the Western Isles, Orkney and Shetland.

However, he did highlight the Government’s intention to publish details on support for renewables and other forms of clean electricity beyond 2020 as a positive for the sector.

(LM)