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UK: Growth of independent renewable energy projects slumps as government support falls

2 May 2018
Renewables
energynomics

Growth in independent renewable energy projects has slumped to its lowest level in years as government subsidies have fallen away.

Smaller-scale projects owned by developers, farmers, landowners and communities generate a total of 9.25 per cent of the UK’s energy mix – a figure which has doubled over the last five years and equates to enough energy to power 8.4 million homes.

At the same time, large scale renewable projects mean the UK now takes a third of the electricity it uses from renewable sources, according to The Independent.

The sector’s growth meant that 2017 was the UK’s greenest year on record, with several days during which the National Grid was not using any coal power for the first time since the industrial revolution.

But as financial support for renewables has been cut, the number of new projects going ahead is falling amid concerns over their financial viability.

According to a new report by SmartestEnergy, a total of £227m was spent during 2017 on independent renewable energy projects.

The figure represents a fall of almost 20 per cent from the £280m spent in 2016, and is down more than 45 per cent from the peak of £418m invested in 2014.

The decline follows the government’s decision to end feed-in tariffs – a scheme designed to support small-scale take-up of renewable energy generation.

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