One of Britain’s biggest wind power developers has called on the government to scrap the limit on its next offshore wind subsidy auction to help power a green economic recovery, claiming it will not lead to a rise in energy bills. Scottish Power has urged government officials to open up next year’s offshore wind subsidy auction to as many new projects as possible in order to deliver a “huge wave” of investment and jobs following the pandemic. In previous auctions the government has capped the amount of renewable energy that can win a subsidy contract, which is paid for through energy bills, to encourage developers to lower their costs. Keith Anderson, Scottish Power’s chief executive, said there was “minimal risk” to household energy bills because the cost of sea-based turbines is so low the projects may even help to make Britain’s energy cheaper.
Guardian 2nd Aug 2020 read more »
The latest round of offshore wind farms to be built in the UK could reduce household energy bills by producing electricity very cheaply. Renewable energy projects, including onshore and offshore wind and solar farms, have so far been subsidised by government support schemes. This has led to some to complain that clean energy is pushing up bills. However, the most recently approved offshore wind projects will most likely operate with ‘negative subsidies’ – paying money back to the government. The money will go towards reducing household energy bills as the offshore wind farms start producing power in the mid-2020s.
Imperial College 27th July 2020 read more »