26 Apr '14, 1pm

Renewable energy State Aid Guidelines: relief for large scale power but concern for smaller projects

Currently, UK FITs are eligible for renewable electricity projects up to 5MW, the size of a large biogas plant, a medium hydro system or a small wind or solar farm. If a significant change is made to the FITs scheme, the whole scheme will need to be brought in line with the new Guidelines. This would exclude all 1MW+ projects from the existing FITs scheme (except onshore wind, where the FIT threshold could actually increase to 6MW). Under this scenario, non-wind projects over 1MW would have to claim support through a competitive process, such as Contracts for Difference with auctions. The Government’s existing CfD scheme is only eligible for projects over 5MW, so there could potentially be a policy void for all non-wind projects between 1MW and 5MW. In any case, CfDs are not well suited to the farmers, community groups and businesses developing projects at this scale. This...

Full article: http://www.r-e-a.net/news/renewable-energy-state-aid-guid...

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