Financial News

  • 23 April 2014, 21:51

Eight Renewable Energy Projects Get Go-Ahead

Plans for eight renewable energy projects - expected to generate enough clean power for three million homes - have been approved by the Government.

Contracts for schemes including offshore wind farms and the conversion of coal-fired power stations to run on biomass, are set to support 8,500 jobs and attract up to £12bn in private investment.

Once built, the projects will contribute around 4% of the nation's total energy supply.

The schemes - five of which are offshore wind farms - are being taken forward under the Government's Contracts for Difference (CfD), under which generators and developers receive a fixed price for the electricity they produce for 15 years.

These contracts aim to give investors the guaranteed income they need to pay the up-front costs of major new construction projects.

Government measures are set to increase household bills by 2%, but energy secretary Ed Davey said the policy would bring down overall costs.

He told Sky News: "It's a real boost to green energy and will help ensure we have green energy too."

"It will really add to our electricity supply, we reckon about 4% of our total capacity. So it is really helping to ensure we can keep the lights on and do it in a green, affordable way."

Mr Davey has also confirmed that the Government is looking at changing trespass laws to enable companies to carrying fracking under private land.

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