Renewable Obligations will still support small scale renewable energy

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Energy and Climate Change Minister Greg Barker has today confirmed that businesses will still be able to get support for small scale renewable energy technologies under the Government’s Renewables Obligation (RO) scheme.

New small scale solar, anaerobic digestion, onshore wind and hydro power installations of between 50kW and 5MW had been under threat of exclusion from the RO from 1 April 2013, with the RO supporting renewable energy technologies over 5MW, and Feed-in Tariffs (FITs) supporting investment in solar, small scale wind, anaerobic digestion and hydro power projects under 5MW in size.

However, following feedback from industry, the DECC has decided to keep the FITs and RO options open 50kW and 5MW projects.

Mr Barker said he remains committed to providing long term certainty for investors, to spur growth in renewable energy generation in the UK. He said:

“Industry needs certainty, and keeping the current arrangements for small scale renewables as they are will help provide this assurance.”

Commenting on the news, Gaynor Hartnell, Chief Executive of the Renewable Energy Association said:

“This decision is most definitely the right one, and will be welcomed by all those in the renewables industry. This is evidence of the Government’s willingness to listen to sensible and constructive debate, and the kind of mature working relationship we need to have.”

DECC has stated it will continue to work with the industry on long term future support for small scale renewable electricity, in light of the move from the Renewables Obligation to Contracts for Difference.