Archived press release

Energy Bill: Renewable energy victory for campaigners

18 November 2008

New legislation agreed by MPs today should kick-start a revolution in small-scale renewable energy generation by homes, businesses and communities, said Friends of the Earth. It follows a successful campaign led by the environmental organisation and the Renewable Energy Association.

The Energy Bill now includes legislation to introduce a feed-in tariff (FIT) for renewable electricity and renewable heat incentives. These, if implemented correctly, will give a long-term guaranteed payment to homes, businesses and communities for installing renewable electricity and heat technologies such as solar thermal panels and wind and water turbines. This would create huge economic benefits, as well as helping tackle climate change.

The Government committed itself to introduce a feed in tariff which would guarantee a long term premium payment to homes, businesses and communities for the green electricity they generate. The scheme will potentially apply to projects up to a maximum of five megawatts - equivalent to two large wind turbines.

Friends of the Earth welcomed the Government's commitment to introduce a feed-in tariff by April 2010 and urged Ministers to ensure that payments are high enough to encourage investment in all renewable technologies.

But campaigners warned that the legislation contains little detail of how the scheme will work in practice. Secondary legislation - to be decided over the next sixteen months - will determine whether it is a success or failure.

Friends of the Earth's Head of UK Climate, Ed Matthew, said:

"We're delighted that the Government has agreed to introduce a feed-in tariff by April 2010. It must now ensure that payments are high enough to encourage a massive expansion in small scale renewable energy schemes in our homes, businesses and communities."

"The UK has some of the best renewable energy resources in Europe. The development of local renewable heat and electricity schemes can play a major role in slashing UK carbon emissions and helping combat fuel poverty - as well as tackling the recession by creating new investment, business opportunities and tens of thousands of jobs."

Notes:

1. The feed-in tariff legislation sees the UK join 20 other European nations which currently operate various versions of the policy. A large and diverse coalition of green groups, business and professional associations, trade unions, consumer groups and the renewable energy industry have campaigned for the past year for the introduction of feed-in tariff legislation into the Energy Bill to support smaller scale renewable heat and electricity. Over 280 MPs signed an Early Day Motion supporting this demand. The Conservative and Liberal Democrat parties joined with Labour backbenchers to table amendments to the Bill.

2. Organisations which have supported the amendment of the Energy Bill to include feed-in tariff legislation include: British Retail Consortium, Chartered Institute of Housing, Compass, Country Land and Business Association, Energy Saving Trust, Friends of the Earth, Greenpeace UK, Ground Source Heat Pump Association, Carmarthenshire Energy Agency, Home Builders Federation, Institution of Civil Engineers, Institution of Mechanical Enginers, National Farmers Union, National Union of Teachers, Neal's Yard Remedies , The Renewable Energy Association, RIBA, Schott UK, Scientists for Global Responsibility, Solarcentury, Solar Trade Association, The Co-operative Group, The Premises Studios, The Public and Commercial Services Union (PCS), TUC, UK PV Manufactures Group, UK-Green Building Council, Unison, Worcester Bosch, World Future Council, WWF-UK

3. The Government agreed to introduce a feed-in tariff last month following a year-long campaign. Department of Energy and Climate Change press release, Thursday 16 October 2008:
http://nds.coi.gov.uk/environment/fullDetail.asp?ReleaseID=381477space¬
&NewsAreaID=2&NavigatedFromDepartment=False

4. Friends of the Earth is a member of the Stop Climate Chaos Coalition, the UK's largest group of people dedicated to action on climate change.

If you're a journalist looking for press information please contact the Friends of the Earth media team on 020 7566 1649.

Published by Friends of the Earth Trust