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End of wind farm subsidies 'could cost Scotland £3bn' End of wind farm subsidies 'could cost Scotland £3bn'
(34 minutes later)
Scotland could lose £3bn in investment because of a UK government decision to exclude new onshore wind farms from a subsidy scheme a year earlier than planned, an industry body has said. Scotland could lose £3bn in investment because of a UK government decision to exclude new onshore wind farms from a subsidy scheme a year earlier than planned, an industry body has said.
The subsidies will end from 1 April 2016 although there will be a grace period for projects which already have planning permission.The subsidies will end from 1 April 2016 although there will be a grace period for projects which already have planning permission.
About 3,000 wind turbines across the UK are awaiting planning consent.About 3,000 wind turbines across the UK are awaiting planning consent.
Scottish Renewables said the move was "neither fair nor reasonable".Scottish Renewables said the move was "neither fair nor reasonable".
Its chief executive Niall Stuart said it was "bad for jobs, bad for investment and can only hinder Scotland and the UK's efforts to meet binding climate change targets".Its chief executive Niall Stuart said it was "bad for jobs, bad for investment and can only hinder Scotland and the UK's efforts to meet binding climate change targets".
The money for the subsidy comes from the Renewables Obligation, which is funded by levies added to household fuel bills.The money for the subsidy comes from the Renewables Obligation, which is funded by levies added to household fuel bills.
'Deeply regrettable''Deeply regrettable'
Fergus Ewing, Scottish minister for business, energy and tourism, said he had warned the UK government that the decision could be the subject of a judicial review.Fergus Ewing, Scottish minister for business, energy and tourism, said he had warned the UK government that the decision could be the subject of a judicial review.
"The decision by the UK government to end the Renewables Obligation next year is deeply regrettable and will have a disproportionate impact on Scotland, as around 70% of onshore wind projects in the UK planning system are here," he added. He added: "The decision by the UK government to end the Renewables Obligation next year is deeply regrettable and will have a disproportionate impact on Scotland, as around 70% of onshore wind projects in the UK planning system are here."
The move was part of a manifesto commitment by the Conservative party ahead of the general election in May. The move was part of a manifesto commitment by the Conservative Party ahead of the general election in May.
"We are driving forward our commitment to end new onshore wind subsidies and give local communities the final say over any new wind farms," said Energy and Climate Change Secretary Amber Rudd. Energy and Climate Change Secretary Amber Rudd: "We are driving forward our commitment to end new onshore wind subsidies and give local communities the final say over any new wind farms.
"Onshore wind is an important part of our energy mix and we now have enough subsidised projects in the pipeline to meet our renewable energy commitments," she said. "Onshore wind is an important part of our energy mix and we now have enough subsidised projects in the pipeline to meet our renewable energy commitments."
The Conservatives also say that the onshore turbines "often fail to win public support and are unable by themselves to provide the firm capacity that a stable energy system requires". The Conservatives also said that the onshore turbines "often fail to win public support and are unable by themselves to provide the firm capacity that a stable energy system requires".
Mr Stuart, who represents more than 300 organisations in Scotland's renewables industry, said: "We believe this decision could put around two gigawatts of onshore wind projects in Scotland at risk. Mr Stuart, who represents more than 300 organisations in Scotland's renewables industry, said he believed the decision could put about two gigawatts of onshore wind projects in Scotland at risk.
"These are projects that could provide the equivalent electricity demand of 1.23 million Scottish homes and significantly improve our energy security, while bringing around £3bn of investment." He explained: "These are projects that could provide the equivalent electricity demand of 1.23 million Scottish homes and significantly improve our energy security, while bringing around £3bn of investment."
He added: "A recent report by the UK government estimated that there are 5,400 jobs in the onshore wind sector in Scotland, and many of these could now be at risk. Mr added that a recent UK government report estimated that there were 5,400 jobs in the onshore wind sector in Scotland, and many of those could be at risk.
"Early closure of the Renewables Obligation will also serve to damage investor confidence, not only in the onshore wind industry, but in the wider UK energy sector." 'Irrational climate deniers'
'Backward step'
Mr Stuart pointed to a case where more than 100 future jobs would be under threat at an eco park development in rural Perthshire, as well as £10m of investment at the site.Mr Stuart pointed to a case where more than 100 future jobs would be under threat at an eco park development in rural Perthshire, as well as £10m of investment at the site.
Patrick Harvie, Scottish Green MSP and a member of Holyrood's economy and energy committee, said: "The Conservative government is far too willing to appease the irrational climate deniers on its backbenches, and this can be the only rationale for pulling the plug on the renewable energy industry.Patrick Harvie, Scottish Green MSP and a member of Holyrood's economy and energy committee, said: "The Conservative government is far too willing to appease the irrational climate deniers on its backbenches, and this can be the only rationale for pulling the plug on the renewable energy industry.
"To do so while committing to decades of funding for nuclear energy, giving the green light to new fossil fuel extraction and dragging their feet on demand management shows that their energy policy is stuck in the 20th Century and failing to grasp the challenges and opportunities facing us today.""To do so while committing to decades of funding for nuclear energy, giving the green light to new fossil fuel extraction and dragging their feet on demand management shows that their energy policy is stuck in the 20th Century and failing to grasp the challenges and opportunities facing us today."
WWF Scotland director Lang Banks said: "This decision risks undermining the development of the cheapest form of renewables in the country, and is bad news for Scotland's clean energy ambitions. WWF Scotland director Lang Banks said: the decision risked undermining the development of the cheapest form of renewables in the country, and was "bad news" for Scotland's clean energy ambitions.
"Cutting support early for the lowest cost renewable technology is a backward step that will either see bills rise or climate targets missed. Graham Lang, chairman of Scotland Against Spin, a national alliance of groups and individuals which campaigns for reform of Scottish wind farm policy, said: he was delighted the government was sticking to its promise to end the "ludicrously generous subsidies" for onshore wind farms.
"Opinion polls consistently show onshore wind to be one of the most popular forms of electricity, generating thousands of jobs across Scotland and helping to cut our carbon emissions."
'Ludicrously generous'
Graham Lang, chairman of Scotland Against Spin, a national alliance of groups and individuals which campaigns for reform of Scottish wind farm policy, said: "We are delighted the Conservative government is sticking to its promise to end the ludicrously generous subsidies for onshore wind farms.
"Speculative developers from across the world have flocked to Scotland because of the SNP's open door policy to the wind industry. Scottish communities besieged by subsidy-chasers can at last look forward to some respite."
He added: "Ending the renewable obligation scheme will not check the runaway development of smaller wind farms eligible for feed-in-tariffs. These can be even more damaging for local residents, and cumulatively for local landscapes, than larger wind farms."
The grace period could allow up to 5.2 gigawatts (GW) of wind capacity to go ahead, which could mean hundreds more wind turbines going up across the UK.The grace period could allow up to 5.2 gigawatts (GW) of wind capacity to go ahead, which could mean hundreds more wind turbines going up across the UK.
Do you live near a wind farm or a proposed site? Do you work in the wind power industry? What do you think of this move? You can email haveyoursay@bbc.co.uk with your experience.Do you live near a wind farm or a proposed site? Do you work in the wind power industry? What do you think of this move? You can email haveyoursay@bbc.co.uk with your experience.
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