In the speech, Phil raised concerns about certain aspects of
the bill, including the closure of the Renewables Obligation in April 2016 for
onshore wind projects, a year earlier than previously stated by Tory ministers.
The Renewables Obligation is a subsidy scheme for renewables
projects, which was slated to be replaced by a new scheme, Contracts for
Difference. However, Phil argued that the UK Government’s decision to close the
Renewables Obligation earlier than previously stated has damaged the market, resulting
in the loss of:
“[An] amount of onshore wind capacity [which] would generate about 3.8
terawatt hours of electricity, which is equivalent to the annual power needs of
more than 900,000 homes.”
Phil highlighted the benefits of onshore wind, stating that:
“Scotland in particular has embraced the benefits of
onshore wind, with over 5 gigawatts of operational projects, and the country is
home to around 70% of the onshore wind projects that are currently in the UK
planning system. Onshore wind has been the driving force behind the fact that
renewables now account for nearly half Scotland’s gross electricity
consumption.”
Phil further noted that this UK Government U-turn on the
closure date of the Renewables Obligation created market instability in the
renewables sector, and urged legislative stability, arguing that:
“The energy industry in the UK has been undermined
by the UK Government’s continuous moving of the goalposts and needs legislative
stability to attract and retain finance, and to bring back much needed investor
confidence that is essential to the success of this industry.”
The full speech can be viewed
below: