Deloitte comments on Renewable Obligation Certificate announcement
Commenting on DECC’s announcement today on changes to subsidies for renewable electricity, Neil Cornelius, director at Deloitte, said:
“Today’s announcement on future support for renewable power generation shows how hard it is becoming for the Government to balance the cost of electricity and the desire for more renewable energy.
“Some renewable technologies are given limited or no certainty on future support. This is for a number of reasons. The costs for solar energy have changed and support levels need to be recalculated; the costs for onshore wind may also have changed; and biomass may be too popular and therefore cost too much. This is after support for some technologies, like solar and offshore wind, has recently been changed from previously announced levels in response to unexpected market events. It seems certain that even where support levels are given, some of these will also be thrown off course by market events and we will continue to see adjustments in the future.
“However, despite changes to the way some technologies are treated, the overall package is still a continued commitment to growth in low-carbon generation. This message will be a comfort to developers as the UK support mechanisms for renewable energy continue to evolve.”
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The information contained in this press release is correct at the time of going to press.
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