Tories plans to phase out cheap energy Renewable Obligation scheme - 13/04/2010
The Conservative Party has announced that if elected, they will phase out the current cheap energy Renewable Obligation scheme.
A spokesperson for the Tories confirmed in Business Week that as part of a strategy to overhaul the UK's renewable energy policy, they would replace the Renewable Obligation scheme with an extended feed-in tariff scheme.
The party said there would be a smooth transition between the two systems and promised to maintain a fair way of continuing to use Renewable Obligation certificates by existing frameworks.
"It is important that we support the development of renewable energy, but the Renewables Obligation in comparison to the feed-in tariff system used in other countries is expensive, bureaucratic and produces an unpredictable revenue stream," the spokesperson told Business Green.
The plans are aimed at reducing the cost of cheap energy to consumers and the risk to investors by allowing feed-in tariffs to be used for future projects.
Energy association RenewableUK questioned the plans, stressing that the Renewable Obligation scheme has brought nearly 20,000MW of onshore wind projects into the planning system.
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