Govt 'should offer tax breaks' for community energy schemes - 16/02/2012

A new report has called on the government to enable more communities to get cheap energy from renewable sources by offering tax breaks for small-scale generation schemes.

The study, by think tank Respublica, set out ten recommendations for how to increase the number of community-led projects such as wind farms, solar installations and hydro-electric turbines, BusinessGreen reports.

It noted: "There are ... unprecedented opportunities for the community energy sector, in addition to those for government, local authorities, communities, businesses, energy suppliers and industry players."

Greater incentives for these schemes could cut fuel poverty, as well as contributing to national green energy targets, it added.

The report suggested the UK should look to the success of such initiatives in Germany, where 20 per cent of power comes from renewables, of which a quarter is provided by community projects.

It echoes a recent call from a range of social organisations, including the Co-operative and the Church of England, which said this strategy is the key to cutting the country's carbon footprint, the Guardian reported.

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