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ENERGY REVIEW HAS OPPORTUNITIES FOR LANDOWNERS

01/08/2006

The Energy Review, announced this week by the government, is surprisingly positive for landowners, according to a leading renewable energy expert.

“While nuclear power has grabbed the headlines, the review makes positive noises about renewable energy. This is good news for landowners,” say  rural property surveyors Fisher German.

The promise to speed up the planning process for wind farm applications must be welcomed by those both in favour and opposed to wind farms and should at least bring certainty to proposals more quickly.”
 
More interestingly, Fisher German predict that the review will result in a rash of wind farm applications over the coming months.  The government has indicated that it will reduce the market support structure for on-shore wind turbines constructed after 2010.  Developers will be very eager to see their sites up and operating before this time.

Given the lead time required for wind farms, this means they need to be submitting their planning applications this year or early next year if they are going to beat the deadline.  Landowners who are considering the potential for hosting a wind farm would need to act now if they are going to capitalise on the current buoyant market.

As things stand, all renewable energy gets the same level of support. But under the proposals on-shore windfarms may see their support level cut so that funds can be redistributed to more costly generation such as off-shore and tidal schemes.

Prospects for on-shore projects are not as bad as feared. There had been talk of wholesale changes which could have stopped wind farm proposals in their tracks. At least this way there is plenty of warning and landowners can push through schemes under the current regime.

Other forms of renewable energy were also given a boost. In particular there was an indication in the review that co-firing (burning wood and other products in coal-fired power stations) would be given a longer life.  What’s more there was a suggestion that energy crops, such as miscanthus or short rotation coppice, should be given a higher level of subsidy than other co-firing products.

Bio-fuels also got support in the form of a promise to try to extend the life and size of the Road Transport Fuel Obligation, which will result in a continued growth in the demand for non-food crops.

The other potentially good news is the stated intention to allow micro-generation systems, such as small-scale wind turbines and solar panels, to go ahead without detailed planning permission. This is not due to come in for another year, and it needs to include slightly larger systems than suggested in the Energy Review if it is to be any use to landowners with old, cold houses.

As with the last review landowners must wait to see the details and implementation of a number of the announcements, but it was surprisingly positive about encouraging renewable energy which is good news for landowners.

 


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