Treasury Focuses On Renewables In Infrastructure Guarantee List

23-10-13(1)picThe Treasury announced yesterday (22 Oct) that a forty renewable energy projects are to be considered for government infrastructure guarantees. 

Forty biomass, gas, wind and marine energy infrastructure projects have pre-qualified for £33m of loan guarantees, the Treasury has announced.

The Treasury said that over half of the projects are in the energy sector and will help “ensure Britain develops a sustainable future energy supply”.

Projects among the list include: Helius Energy’s proposed 100MW Avonmouth biomass plant; Tilbury Green Power 60MW waste wood fired power generation plant in Essex and Chinook Energy’s proposed network of waste-to-energy plants.

REA, Nina Skorupska – “The biomass, wind and waste to energy projects in this list, as well as the guarantee already awarded to Drax’s biomass conversion, will be a huge help in keeping the lights on and cutting emissions this decade”

The Renewable Energy Association (REA) welcomed the loan guarantees, saying that with capacity margins tightening this decade as old coal and nuclear plants are retired, it is crucial to get new capacity built quickly.

Renewables, being much quicker to deploy than nuclear or carbon capture and storage, are the only low carbon technologies that can make a meaningful contribution to bridging the generation gap this decade, the Association added.

REA chief executive Dr Nina Skorupska said: “For all the fuss about nuclear and fracking, let’s not forget that we’ll be well into the mid-2020s before Hinkley starts generating or we see meaningful volumes of shale gas in the pipelines. The supply crunch will bite well before then as old plants are retired. The biomass, wind and waste to energy projects in this list, as well as the guarantee already awarded to Drax’s biomass conversion, will be a huge help in keeping the lights on and cutting emissions this decade.

“However, the contribution dedicated biomass can make is being stymied in current policy and the new EMR arrangements. We urgently need flexible, low carbon generation from biomass and Government must provide support for new biomass power plants in its Electricity Market Reform programme.”

 

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