A low carbon economy and farming – we look at
how the DECC's proposals could bolster small-scale renewable
power.
The Department of Energy and Climate Change (DECC) published a
raft of documents just before the Summer Recess under the heading
of the 'UK Low Carbon Transition Plan'. Among these were a
Renewable Energy Strategy and a Consultation on Financial
Incentives for Renewable Energy. The measures outlined in the
consultation have the potential to provide a big boost to
small-scale renewable power, including that on farms and rural
estates.
Feed-in Tariffs
The Feed-In Tariffs (FIT) scheme will guarantee a fixed price
for renewable electricity from plants under 5MW. There will be a
fixed payment for every kW hour of electricity generated
– the 'generation tariff'. In addition, a further
payment will be made for electricity exported to the grid, the
'export tariff'. Obviously, any power used on site will
also reduce the cost of bought-in electricity. The