The Scottish Government does not have the cash to take over funding a
subsidy for on-shore wind farms that is being axed by Westminster,
Holyrood’s energy minister has said.
Fergus Ewing said the SNP government did “not have the budget in order to
pay for reserved matters which are the responsibility of the UK Government”.
Concerns have been raised that ending the Renewables Obligation (RO) scheme
– which is funded by levies added to household bills – a year earlier than
planned could cost up to £3 billion of investment in Scotland and put
thousands of jobs at risk.
Labour MSPs called on Scottish ministers to continue the subsidy scheme
using its own cash.
Ken Macintosh raised the issue with Mr Ewing as MSPs at Holyrood debated
renewable energy.
The Labour MSP asked the energy minister if he had considered “using the
Scottish Government power to extend the ROCs (Renewables Obligation
Certificates) over the transition period”.
Mr Macintosh said: “Until the ROCs are closed, in other words for the next
year, the Scottish Government has the power to issue its own ROCs paid for
not by the UK consumer, but paid for here in Scotland.
“Has the Government considered using its power to do just that?”
Fellow Labour MSP Sarah Boyack said that in 2005 the Scottish Executive had
acted in a similar fashion when it subsidised help for marine renewables as
she called on Mr Ewing to “look at all options”.
Mr Ewing criticised the UK Government’s decision to end the Renewables
Obligation for on-shore wind energy projects
“The UK Government has carried out what can only be described as an assault
on renewables,” he said, adding this and other measures had created
“widespread uncertainty and concern” in the green energy sector.
Conservative MSP Murdo Fraser defended the UK Government’s decision to end
the subsidy a year early.
He said subsidy costs had been spiralling too high, paid for by increases
to consumer energy bills.
“We cannot go on pouring public subsidy into one technology when our
targets are already being met,” he said.
“Renewable energy still has a bright future despite all the doom-mongering
we hear from the other benches today.”
Liberal Democrat MSP Liam McArthur said the UK Government had adopted a
“cavalier attitude”.
Commenting on the early closure of the subsidy, he said: “The decision to
accelerate those plans was irresponsible and, I believe, in bad faith.
“Not only has it undermined a great many projects – including around £100
million of community projects – it has knocked confidence in the wider
renewables sector beyond onshore wind.”
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