UK committee supports renewables for energy future

LONDON, England, April 19, 2006 (Refocus Weekly)

The UK should obtain more electricity from renewables and natural gas over the next decade, rather than from nuclear, concludes a government committee.

By 2016, between 15 and 20 GW of generating capacity will be decommissioned in the UK, says the Environmental Audit Committee of the House of Commons. That is nearly one quarter of the country’s total generating capacity and will require a “very substantial investment” to meet demand with “further substantial investment on a comparable scale” in the following decade.

“There are a number of different lower-carbon technologies which could contribute on a large scale, including renewables, microgeneration, offshore wind, nuclear and carbon capture and storage but there is substantial evidence to show that progress in deploying key technologies, in particular carbon capture and storage, off-shore wind, and microgeneration, is inadequate,” it notes. “The real issue which the government is failing to address is whether the policy and regulatory framework in place is sufficient to stimulate the growth of lower-carbon generation on the scale required.”

“All lower-carbon generating technologies are more expensive than coal and gas, and will require a long-term funding framework in order to reduce investment risk and ensure that the necessary investment takes place,” it notes. The government must provide a framework to promote investment and the options include modification of the Renewables Obligation to provide a range of incentives for different technologies.

In 1999, the UK government set a target of 5% from renewables by 2003 and 10% by 2010, although the latter has been largely superseded by the targets contained in the RO, it explains. The RO targets rise steadily each year from 3% in 2003 to 10.4% by 2011, and a further increase to 15.4% by 2016 was approved to address a lack of investor confidence threatening the value of Renewable Obligation Certificates.

The Energy White Paper endorsed the 10% target for 2010, and included an aspiration to double it by 2020, although it did not set this level as a firm target. The EU Renewables Directive sets an overall indicative target of 22.1% by 2010.

The Environmental Audit Committee says renewables generated only 3.1% of electricity in 2004, up from 2.2% in 2003, and the UK “is likely to fall well short of the 2010 target,” it warns. Of total green power output in 2004, 84% was generated from landfill gas and other biofuels, with hydro at 10% and wind at 4.4%.

“It is striking how wind power - often seen as the main medium term source of renewable energy - contributed only 1,935 GWh, less than 0.5% of the total electricity generated in the UK,” and comparisons with other EU countries “clearly demonstrate the UK's relatively poor performance in promoting renewable energy in spite of its rich natural resource,” it notes. When large hydro is excluded, the UK ranks second from bottom (ahead of only Greece) among EU-15 countries.

“The scale of the development required for wind to contribute up to 20% of UK electricity by 2020 is immense,” it notes. Assuming 5 MW turbines and a 30% load factor, it would require 6,000 turbines and the “physical challenge of installing so many units is huge,” while the extent of opposition to onshore windfarms “may limit the scale of generation achievable unless the government takes more radical steps to tackle the planning process.”

“Renewables and distributed generation could also contribute hugely in both a national and global context, but many of the technologies involved warrant special support to bring them to market and achieve the cost-reductions which will make them competitive,” the report explains. “We remain convinced that the vision contained in the White Paper, with its focus on energy efficiency and renewables as cornerstones of a future sustainable energy policy, remains correct. What is now needed is a far greater degree of commitment from the government in implementing it.”

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