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This item was published during the term of a previous administration that ended in April 2007

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Possible increase in renewable energy requirements

29/10/2003

The Executive is considering whether to increase the proportion of electricity which has to be supplied from renewable sources.

The aim would be to help safeguard the long-term future of renewable developments in Scotland.

The Renewables Obligation (Scotland) requires electricity suppliers to provide an increasing share of power from renewable sources.

The Obligation applies until 2027, but the amount of obligation on individual suppliers is currently scheduled to remain at 10.4% from 2010-11 to March 2027. The review will consider the possibility of raising the level of obligation from 2010 onwards.

Firms in Scotland's financial sector, which provide funding for many renewable energy projects, have argued that the current obligation levels beyond 2010 should be increased to provide greater financial security for renewable energy investments.

Deputy Enterprise Minister Lewis Macdonald, speaking at the British Wind Energy Association conference, said:

"The Executive is absolutely committed to promoting renewable energy, and allowing Scotland to share in the economic and environmental benefits of this.

"I know that the industry and those who finance it need to be certain about our commitment to supporting the development of renewables in the longer term. Only with such certainty will we ensure continued investment in and support for new developments.

"In the light of the concerns that have been expressed about the need for long term certainty, the Executive and UK Government colleagues are urgently considering the need to review the current Obligation levels.

"We will of course consult you about our emerging conclusions, but I can say to you today that I am determined to build and maintain confidence in the industry."

Mr Macdonald was speaking at the British Wind Energy Association conference, which took place at the SECC in Glasgow.

Page updated: Wednesday, July 21, 2004