The Conservative Manifesto on Renewables

Over this week, we'll be running a series of blogposts highlighting each party's manifesto commitments on renewable energy. We're starting with the Conservatives today.

“….Britain is uniquely placed to be the world’s first low carbon economy: we have the natural resources to generate wind and wave power, a skilled workforce trained in the energy industry, a hi-tech manufacturing sector and a green financial centre in the City of London. We urgently need to make this transition in order to strengthen our economy, help guarantee our energy security and protect our environment for future generations.”

- ‘Invitation to Join the Government of Britain’, Conservative Party Manifesto 2010

It’s clear that the Conservatives recognise the importance of renewable energy development to secure not just our country’s future, but the future of the planet in the face of climate change. This blog piece will be one in a series, focusing on the manifesto commitments of the three main parties with respect to renewable energy.

Investing in Renewables

The Conservatives plan to create a Green Investment Bank. The intention behind this is to draw together the various strands of Government funding already in place for renewable energy & environmental initiatives, creating a one-stop shop for green technology start-ups. Extra financing for new projects will come from ‘Green ISAs’, accounts enabling members of the public to easily invest in environmentally-friendly businesses.

One very important way to promote renewables over fossil fuels is by requiring energy suppliers who use coal, gas and oil to pay for the carbon they put into the atmosphere. This prices in the negative consequences of these fuels, allowing renewable energy to compete on a level playing field. The Conservatives plan to bring this in by reforming the Climate Change Levy to provide a ‘floor price’ for carbon: a mark-up a dirty energy provider would have to place on their electricity. Doing this will produce a much better market for renewable energy, encouraging energy suppliers to switch to it.

The Conservatives also plan to implement two marine energy parks – special areas of the sea set aside for development of marine power, making it easier to develop wave and tidal devices. This sort of support is crucial for renewable generators still at the development stage.

Cutting Emissions

The Conservatives have pledged to produce at least 15% of our energy from renewables by 202, in line with EU targets. They have also pledged to cut our carbon emissions by 80% by 2050.

A Smarter Grid

One of the objections often raised against renewable energy, especially wind, is its variability. The Conservatives plan to counter this by the wholesale transformation of our current electricity network into a ‘smart grid’, which can more effectively respond to demand & supply. This will conserve electricity when supply is low and prices are high, and use more electricity (e.g. for fridges or charging electric cars) when supply is high and prices are cheaper.

Generating Local Support

A key pledge made by the Conservatives comes in the form of allowing local communities to keep the extra business rates generated by renewable energy projects for six years. Normally these rates go directly to the Treasury, but under this proposal local people will see real returns from having a wind farm in their area – which should help encourage their support.