Renewable Energy

Renewable Energy –

Government moves to end uncertainty about support for solar

Today 31 January, leading green media companies agree a blackout on misleading claims by solar installers

James Murray, editor of BusinessGreen, said the aim of the blackout was to protect both readers and reputable solar firms from misleading claims about the current level of incentives for solar installations.

"Rightly or wrongly the government has created confusion in the solar market by again appealing against a court ruling that deemed its proposed cuts to feed-in tariffs were unlawful," he explained. "But there are some adverts and claims circulating that ignore the nuance of the case and are attempting to drum up short term business based on misleading claims.

CLA members get accurate impartial advice on what the Government appeal means.

On Thursday 19 January the Department of Energy and Climate Change (DECC) laid new regulations before Parliament which will confirm the rates of Feed In Tariff payable to the 1 April. The rates will come into effect on 3 March, whatever the Court decision in respect of the consultation and the original proposed date for reductions in Solar FIT (12 December - which was before the end of the consultation on the rates).

CLA cannot say if installations made before 3 March will get the pre December 12 rate: it depends entirely on the Appeal Court judgment, which may still be some weeks away. 

CLA is still deeply concerned that the amount of FIT budget taken for solar PV will affect the amount left for other technologies, and am doing all I can to try to ensure that we have a viable FIT for all technologies going forward. This may need further boosts to the FIT budget (We were am sorry to note that £103 million of the additional funds that arose from the sale of NFFO contracts were given to Scotland for a new scheme*, as they would have been better as a reserve for FIT). 

CLA expects the consultation on the second phase of the FIT review in early February. Happily, the Chief Surveyor has been reliably informed that DECC is minded to include a question on pre-registration for FIT, with or without grandfathering –when the consultation comes out CLA will ask everyone with an interest to respond so that DECC gets as many votes in favour of pre-registration with grandfathering (a guarantee of the rate of FIT at an earlier date in any project) as it has had complaints about the solar consultation (over 2000!).

New evidence on wind turbines and health from the USA

The Massachusetts Department of Environment has published a study which finds that “there is no evidence for a set of health effects…that could be characterized as ‘Wind Turbine Syndrome.’” . For full details click here

NEW VIDEO: Oliver Harwood talks about renewables at the CLA Game Fair

January 2012

Uncertainty prevails over policy, a sea change from this time last year when we basked in the glow of Greg Barker's promise as Energy Minister of "TLC - Transparency, Longevity and Consistency". This was shortly followed by the emergency review of support for large scale solar PV. 

We have seen the first phase of the Feed In Tariff (FIT) review brought forward (see below) for solar pv, and successfully challenged by Friends of the Earth: we now await the Appeal decision, concerned that if the Government loses the short term gain made by solar pv will be at the cost of other renewables who share the same FIT budget. Our consultation response may be found here .

We have been working hard on both Anaerobic Digestion and other forms of bioenergy, arguing that CLA members can deliver both food and energy with the right policies. We now await the outcome of these labours in the publication (due soon) of the Government's Bioenergy Strategy.

We await publication of phase 2 of the FIT consultation, but in the interim have been feeding ideas on what changes CLA would recommend in our lobbying work.

We have engaged with the welcome Government energy red tape review and our response may be found here

We are currently working on a response to the Government consultation on the proposed changes to support for larger scale renewable electricity under the Renewables Obligation.

Renewable Heat Incentive live from today - 28 November 2011

Landowners and farmers can finally enjoy a warm winter thanks to CLA lobbying, after the Department for Energy and Climate Change (DECC) announced applications for the Renewable Heat Incentive (RHI) will open from Monday, 28 November.

The CLA has lobbied for more than 10 years for an incentive to deliver renewable heat. Payments will be on top of existing opportunities for renewable electricity and in supplying feedstocks for renewable transport fuels.

CLA President Harry Cotterell said: "The news that the applications are finally about to begin means farmers and landowners can benefit from the £840million payment pot set up to deliver biomass and other renewable heat technologies over a 20-year period.

The last-minute delay to the launch of the RHI scheme in September badly affected the cashflow of CLA members who had already geared up to launch their projects.

"This is fantastic news for the rural economy as the RHI will provide markets for sustainable heat, drive down carbon emissions and offer new business opportunities to land managers and farmers."

Mr Cotterell added: "Timber prices have been on the rise as a result of the popularity of woodfuel, and this incentive will provide an added boost to English and Welsh forest and woodland owners, most of whom have hardly seen any profits this century."

Readers are asked to carefully analyse the claims behind the advertising campaign (now seen in London with a photo of a sapling saying 'dont burn me I want to grow up into a tree' ) - an obvious response to the Renewable Heat Incentive.

It is unfortunate that they have chosen to pitch one part of the sector against another but it is important that we do not do the same. The answer here is for a value to be put upon the carbon in the timber being used in construction and for more timber framed houses to be built. Whilst shuttering ply has a very short life, and cheap MDF furniture only slightly longer, chipboard and plywood used as part of the building has a very long life and is a good way of locking up carbon.

There are claims that increasing energy use of wood may harm board manufacturing industry as it pushes up prices.
The thing is the advert covers a hidden agenda. Particle board manufacturers (who we think paid for the advert) want cheap wood for processing, not furniture grade timber.  They would be perfectly happy to take the sapling in the photo as woodchip.

Particle board is different and has the following characteristics:
1. High energy use in manufacture
2. Relatively short life (compared to building or fine grade wood furniture)
3. Difficult to recycle or reuse (owing to glues used in the manufacturing process).

CLA members want to both grow fine timber and use early thinnings/side branches etc for energy - or board making if they will pay a decent price. We wish no harm to board manufacturers. But for decades board makers have kept prices too low to warrant woodland management, hence declining biodiversity in abandoned woods. This is why the Renewable Heat Incentive is a good thing.

Red Tape Challenge - Energy Theme: 25 November

The CLA attended the launch of the Energy red tape challenge on 25 November, where Energy Minister Charles Hendry heard our call for a reduction in red tape which is holding back renewable energy. In particular we made the point that inappropriate regulations and red tape were holding back innovation in the Microgeneration Certification Scheme, that the recent changes in the Feed In Tariff makes pre-registration essential to give confidence to investors, and that Ofgem needs both to ensure that grid connection are made easier and to improve the user friendliness of the application process under ROO-FIT and RHI.

We also raised concerns over permitting for hydropower and anaerobic digestion, where regulators have no incentive to make it simpler for applicants.

Biogas - the role for crops in sustainable farm based Anaerobic Digestion 7 November

CLA is pleased to have worked with representatives from other organisations to deliver a comprehensive report on the role of purpose grown crops for farm based AD. The report covers land use, environmental and GHG outputs, impact on food supplies and the wider role of AD in sustanable farming. A copy may be downloaded here

Solar support slashed (October 31 2011)

The CLA was aghast to read the savage cuts that are proposed, from the advanced cut off date of 12 December 2011 (six weeks from today) that are set out in the Government consultation on the Solar PV Feed In Tariff.  Not only will this halve the FIT rate that is payable to those who cannot complete, connect and register their projects by this date, but there is a further 20% cut to be applied to those who install multiple PV projects after 1 April 2012 - which will hit many farmers and land managers as well as councils, housing associations and others who are seeking to provide their tenants  with cheaper energy.

The Consultation is available on the DECC website at www.decc.gov.uk/en/content/consultations/fits_comp_rev1/fits_comp_rev1.aspx

CLA members who log in will be able to access the CLA Guidance Notes on renewables, including today's analysis and guidance on the impacts of the changes to solar PV.

see www.cla.org.uk/Professional_Advice/Guidance_note_archive/#catTitle_Renewable_Energy

Happily, renewables other than Solar PV are not (yet) affected by budget constraints, though the Feed In Tariff is due for a comprehensive review of rates payable (and other terms) for installations that are completed and from 1 April 2012.

Renewable Heat Incentive

CLA gave a warm welcome to the announcement that the new groundbreaking heat incentive (a world first) is to be launched at the end of November (albeit with sharply reduced support for larger installations).

July 2011: In the last few weeks we have seen the launch of the Government's Anaerobic Digestion (AD) Strategy and Action Plan, confirmation that not only was the Government determined to cut payments for larger scale solar PV (over 50kW), and the launch of the Electricity Market Reform consultation and White Paper.

The CLA has been involved in all of these, sitting on the steering group of the AD Action Plan (and managing to ameliorate some of the less favourable things the original draft placed at AD's door), responding to  the Emergency Review of the Feed In Tariff, and ensuring that the officials who put together the electricity market reform were careful to exclude smaller scale renewables from their proposals, so that t current Feed In Tariff can continue unchanged.

The CLA has been pressing the Government for action on environmental regulation of AD and briefed the House of Lords in the debate on the Feed In Tariff review.

Anaerobic Digestion and Biomass energy

The new Defra lead official responsible for AD policy has just been appointed, and one of his first actions was to ring the CLA to introduce himself. A meeting has been set up for 8 August to discuss the CLA agenda.

Meanwhile, the CLA is working with farming and allied interests to rise to the challenge set us in the AD Action Plan on best practice guidance for farm based AD.

The CLA has also inputted to the work being undertaken on the biogas and biomass sustainability standards, aiming to ensure that UK produced feedstocks (both timber and non-timber) used for energy are not caught up in red tape designed to ensure that tropical rainforests are preserved. The CLA strongly made the point that existing UK standards (Cross Compliance on farmland and the UK Forest Standard with allied felling licence provisions) ensured home produced fuels are fully sustainable at a meeting at the Department of Energy and Climate Change on 14 July.

Grid connections

Update 1 November

Many members face difficulty in securing cost-effective connections to the local grid to meet demand (for new grain dryers, for example) or supply (smaller scale renewables). The CLA has been arguing the case with Ofgem, the regulator appointed by the Government to manage monopoly grid owners, and members who have supplied information on grid problems have been most helpful. 

CLA has presented the grid customer at two Ofgem events in September and October, and a copy of our presentation is available for download here

The slides, presentations and proceedings of the DG fora in London, Glasgow and Cardiff have now (1 November) been published onto the Ofgem website which may be accessed here.

The CLA is delighted that Ofgem is now willing to begin to address the concerns over the costs of grid upgrading which many generators face. We look forward to working with the regulator to seek solutions.
 


18 March: Many members have invested time, energy, and in some cases large sums of cash in seeking to bring forward larger scale solar PV projects (over 50kW). These were effectively stopped dead by the announcement of the proposed new rates in the Emergency Review that were published on 18 March. There remains a narrow window for those who are in a position to complete, connect and register projects over 50kW before the rates change on 1 August.

10 March: Members have been anxiously awaiting the announcement of the details of the Renewable Heat Incentive (RHI) which were published on 10 March. The CLA has been lobbying for more than 10 years to persuade the Government to provide long-term stable support for those who want to switch from fossil fuels such as oil and LPG to renewables for providing the heat requirements of their homes and businesses. We were delighted that at long last the policy has been announced, but disappointed that at least initially the support will be made available only to non-domestic premises and district heating schemes.


CLA defends solar PV
The CLA will also respond to the review of large-scale ground-mounted solar photovoltaics (PV) “Few solar PV projects have yet to come forward since Mr Barker expressed his concern on the potential costs for supporting this technology. We will respond to the consultation, aiming to ensure that existing projects are not harmed, and that roof-mounted solar retains support at all scales.”

The REA has produced a useful fact-checker on solar PV which challenges many of the myths that pervade discussion on the technology. It is available at www.r-e-a.net/info/rea-news/solarfactchecker/

The CLA is lobbying to secure ongoing support for solar PV at both large and smaller-scale. On 3 March, CLA Council approved our response to the review, which may be downloaded here.

The CLA will continue to argue that larger scale solar PV should be properly supported under the Renewables Obligation, where a quadruple ROC payment (worth about 22p/kW) would ensure that members could benefit from this sustainable technology.

Anaerobic Digestion (AD)
The Government’s decision to offer an early increase to smaller scale AD is welcome, but the additional penny proposed is far less than the amount the CLA and our partners advised (and demonstrated to Government with spreadsheets and evidence) would be necessary to see a wider uptake of farm scale biogas. We will continue to argue for higher rates. We have been working further with the Department of Energy and Climate Change to determine the right level of FIT payments to ensure that on-farm AD flourishes. Jointly with the Renewable Energy Association and the NFU, we have proposed to Government (with supporting evidence) that rates for farm AD should be increased by 12p up to 100kW, 6p up to 250kW and 3p up to 500kW.

The CLA will be responding to the consultation and taking our lobby direct to Ministers and senior civil servants.

The CLA has campaigned for changes to payments since the tariff was first announced in February 2010, leaving many renewable energy projects short of finance, and called on Minister of State for Energy and Climate Change Greg Barker to review the FIT.

Farm-based AD will help agriculture drive down its carbon emissions, deliver sustainable energy and other wider benefits to the rural economy, without affecting food supplies: download the CLA briefing on energy crops and AD here.

The Government's own adviser, the Waste Resources Action Plan (WRAP) has started a research project to detail the benefits of digestate use in agriculture (digestate is one of the two products of AD - the other being biogas. Their newsletter is available here.

The CLA, through its support of the UK involvement in the International Energy Agency Task 37 on energy from biogas, is well placed to help the Government to find the right solutions to making farm AD a success for agriculture and the countryside.

The Chief Surveyor continues to work on the steering group set up across government to deliver a new Anaerobic Digestion action plan. Our work with the Government on the AD action plan will support increased payments by reducing red tape.

Download the CLA Biogas Briefing Update - January 2011


Electricity Framework Reform
The Government launched a consultation on the reform of the electricity framework which was considered by the CLA’s Business and Rural Economy Committee on 19 January.

At a meeting with DECC on 3 March (Richard Sargeant, Deputy Director Energy Futures), it was confirmed that Energy Market Reform will not be applied to smaller scale renewables (under  five MW) supported under the Feed-in Tariff. This is welcome news.

Members set out guiding principles to inform the CLA response. Firstly, any changes to the supporting framework should protect existing investors in renewable energy and secondly, it should be user-friendly for smaller-scale energy businesses.

The DECC consultation on Electricity Market Reform ends in March. This has major implications for the renewable power sector, and for the prospects of decentralised generation and energy efficiency. It is essential that the proposals work to maximise investment in renewable power to ensure CLA members can benefit and help the UK meet the 30 percent renewable electricity target.

The CLA will again be working with a wide coalition of like-minded organisations with the aim to secure the above objectives.

Renewable Heat Incentive
The Renewable Heat Incentive announcement is expected imminently, and details will be available here as soon as they are available.

Feed In Tariff RPI rates increase announced

DECC has announced that from 1 April 2011 the export rate paid under the FIT shall be 3.1p/kWh.

All the rates payable (to both new investors and existing generators) will go up by the Retail Price Index (RPI). Existing generators should be sure to get a meter reading on 31 March.

CLA Renewable Energy Policy

The CLA has been lobbying to influence the UK Renewable Strategy since 1999.

CLA members own or manage half of the land in England and Wales and many provide the space and raw materials needed to achieve the Government renewable targets.

We have consistently called on government to recognise the role of the countryside in delivery of renewable energy, and questioned the emphasis given to renewable electricity. While electricity is important, it accounts for less than a quarter of UK energy consumption and a similar percentage of our carbon emissions. The use of transport fuels accounts for another quarter.

Heat accounts for about a half - both in process heat for industry and in delivering warmth to domestic and commercial premises. Energy efficiency alone cannot decarbonise our heat needs - it has always been clear that renewable heat is an important part of the answer, and one that can be delivered relatively cheaply with simple technologies, compared to expensive renewable electricity.

The CLA calls on the Government to:

• Ensure the Renewable Heat Incentive is delivered in April 2011 with red tape stripped out,
• Support the use of biomass and woodfuel,
• Raise Feed-in Tariff rates to fix the last Government's mistakes and support farm based biogas,
• Build an off-shore electricity grid, incentivise smart grids and change the connection regime,
• Prioritise support for some renewable transport fuels, including biomethane, to reward carbon savings,
• Support sustainable waste use rather than landfill avoidance and incineration, and
• Help renewables through planning presumptions in their favour.

Read the CLA lobby agenda on renewables that was launched with the International Energy Agency biogas upgrading technologies review at a packed meeting in the House of Lords in June.

Entitled CLA members can also download Renewable Energy Guidance Notes for free that contain advice on many aspects of renewables.

CLA Renewable Energy Advisory Handbooks:

The following handbooks cover the practicalities of investment in renewables from a land manager's perspective, and provide advice and links to information on the relevant policy supports (including grant aid) and regulations affecting development of a successful project:

CLA59 – Solar energy: a guide for land managers
This handbook looks at the background to solar power, considers the opportunities for landowners and rural businesses and includes an outline of the planning and engineering constraints that apply.

CLA55 - Hydropower as an enterprise
Hydropower is of real interest to riparian owners and the rural economy as it not only uses a natural resource to deliver energy, and is supported by Government regulation in the form of the Feed-in Tariff (payable from April 2010) and the Renewables Obligation, but it also offers the opportunity for a profitable contribution to the reduction of greenhouse gases.

CLA50 – Wind farms and land-based turbines as an enterprise
This handbook on wind covers the costs and benefits of wind development from the landowner’s point of view. It is very much a warts-and-all handbook, detailing the factors that drive investment, and the costs and controversy that it can engender.

CLA49 - Biogas: anaerobic digestion of manures, crops and wastes as an enterprise
This handbook provides an introduction to the exciting opportunities for members in the area of anaerobic digestion.

CLA48 - Biomass: green energy from forestry and agriculture as an enterprise
This handbook covers the use of biomass for both heat and electricity generation, as well as energy crop production.

Reader comments

"Thank you for sending me a copy of the Wind handbook. It is a very comprehensive publication, covers just about everything and is well presented. Congratulations!"

"The Biogas handbook represents the condensed version of biogas technology that I envisaged - clear, concise and illustrative."

"The handbook is a very useful guide for those developing their farm-based biogas projects"

Save money if you are investing in renewables

If you are bringing in renewable energy plants and machinery from outside Britain, you may be losing as much as five percent because of the bank exchange rate.

You may be able to save money through using the CLA's Foreign Exchange Services. If you fix the exchange rate on a large purchase like a wind turbine you may also be able to save thousands of pounds. Read more here.

UK Renewable Strategy

In 2008, the Government consulted on a new renewable strategy to meet binding EU targets including 20 percent of total energy supply from renewables, and 10 percent of its transport fuels from biofuels.

The Department for Energy and Climate Change is charged with meeting these challenging targets. Without realistic support for those investing in renewable technology, these targets will not be met.

The Energy Act 2008

The Energy Act introduced banding of the Renewables Obligation (RO) – the main support for renewables – to give more support to biogas and biomass.

Amendments made in the House of Lords also give the Government power to introduce guaranteed prices for small-scale renewable electricity generation and renewable heat, as well as putting carbon saving higher up the energy regulator’s remit.

CLA renewable policy recommendations

"Renewable Energy – more than wind”- summary and recommendations

"Renewable Energy – more than wind” - full policy paper

The CLA welcomes the Government's recognition of the potential for renewable energy from the land and, in particular, the decision to band the Renewable Obligation to offer double the support to biomass Combined Heat and Power, and Anaerobic Digestion (Biogas) installations.

The work being undertaken by the Waste Resources Action Programme to deliver a digestate protocol to enable the output from biogas to be treated as biofertiliser rather than waste is welcome.

However, more action is required in order to secure the investment needed, and to deliver the potential of carbon saving:

• The Energy Regulator's objectives mean it must take action to put carbon in equal first place. As set out by the Sustainable Development Commission in its hard-hitting report "Lost in Transmission" the CLA has called on Ofgem to require and reward electricity companies to connect up new renewables speedily and at low cost.
• As described in "Renewable Heat - more than wind" and in the Strategy for Sustainable Heat, the Government must take steps to secure long-term stable support mechanisms for the delivery of renewable heat. This was enabled in the Energy Act 2008, and the CLA is currently working with DECC officials to help design the new support.
• The Feed-in Tariff provides guaranteed prices for generators of renewable electricity up to 5MW. This has already been very effective in engaging household and business investors, including land managers, in 23 EU states.

Renewable Heat

CLA lobbying, with others, has been successful in persuading the Government to introduce support for Renewable Heat, which is proposed by the new Renewable Heat Incentive (RHI) due to be launched in 2011.

The promised announcement on how the RHI is to be funded did not appear as planned in the Budget. The CLA has long argued that renewable heat cannot compete for funding with urgent pressing expenditures and the need for savings. The only logical way to fund it is by a levy on fossil fuel bills - on the "polluter pays" principle.

The CLA supports an incentive delivered via a guaranteed price mechanism for heat. It should provide additional stimulus for building-integrated and micro-power solutions – both areas where existing policies have had limited impact.

Existing limited grant aid has failed to deliver a step change in the delivery of renewable heat. We lag far behind our EU neighbours and are missing opportunities.

The CLA responded to the consultation on the DECC Renewable Heat Incentive (RHI). We have been pressing for it to be available in hard-to-heat houses as well as modern, well-insulated ones. The devil lies in the details, which are still being worked on:

Renewable Heat Incentive: Proposed RHI Financial Support Scheme
CLA response to DECC consultation on the proposed RHI Financial Support Scheme
[Policy Work/Consultation responses] - [28 April 2010]

Benefits of a Renewable Heat Incentive

An obligation on energy suppliers has proven to be an effective way of stimulating change, without imposing a financial burden on taxpayers.

This should be mirrored in the heat sector, so that the burden of support for renewable heat falls on consumers who use fossil fuels for heating.

The heat sector in particular would encourage the biomass industry, with substantial positive effects in agriculture and the rural economy. It would work with the RO and FIT to stimulate combined heat and power systems.

An accreditation process will be required to grant generators of renewable heat certificates matching their metered output in any given month.

The levy to fund the certificates should be placed on suppliers of fossil fuel heating fuels e.g. gas suppliers, coal, coke and oil suppliers. There is no one license that identifies these bodies; they are limited in number and all have a relationship with Customs and Excise that allows for their easy identification.

Retailers of small volumes of heating fuels i.e. garage forecourts, would not be included in the obligation.

A list of accredited sites could be set up and administered by Ofgem for metered sources of renewable heat. Any site could be accredited providing adequate metering systems are in place.

Ofgem, most energy suppliers, and a number of renewable heat generators are already involved in the RO, so already comfortable with the administration and operation of the applicable systems.

Banding the Renewables Obligation

The Energy Act 2008 bands the Renewables Obligation. This follows more than five years of consistent and strong CLA lobbying for banding.

What is banding?

Banding applies different levels of support and incentives to different technologies.

Put simply, the CLA’s recommendation – now accepted by the Government – is that newer, higher-cost technologies such as biogas generation, should attract more support than lower-cost, established technologies like wind power.

Banding boosts emerging technologies, enabling them to compete on an equal footing in the long-term.

How will livestock farmers profit?

Livestock farmers, faced with investment challenges in the Nitrates Vulnerable Zone review, may be able to use the reformed Renewables Obligation to develop a profitable enterprise by boosting storage capacity, making money from renewable electricity sales and meeting their heat needs for dairy washings.

At the same time they can save on fertiliser bills and help improve water and air quality.

How did the CLA lobby succeed?

• Responding robustly to each of the three energy reviews and to every consultation on the drafting of the Renewable Obligation,
• Making a strong response to the energy review, backed up with meetings with DTI officials,
• Carefully scrutinising the Utilities Bill and proposing specific recommendations,
• Lobbying members of Parliament across all parties, and senior civil servants,
• Convincing strong allies, such as The Royal Commission on Environmental Pollution, of our case, and providing evidence of the facts on the ground, drawing on wider European experience and,
• Setting out our reasoned analysis and recommendations for energy policy in a major report "Renewable Energy – more than wind."

The lobby timeline

2008 The Energy Act is passed, introducing banding from April 2009.

2007 The Government’s Energy White Paper is published in May 2007 confirming the Government proposal to Band the Obligation in 2010.

- It accepts the CLA’s argument for banding the Renewables Obligation stating: “banding would best deliver the Government’s aims of bringing forward emerging renewable technologies; improving the overall cost-effectiveness of the RO, and preserving investor confidence by applying changes only to new projects.”

2006 The CLA continues to campaign robustly through press and parliamentary lobbying.

2005 The CLA publishes a major report with analysis and recommendations for energy policy, including banding. Copies of "Renewable Energy – more than wind" are widely distributed in an opportunity to influence Government policy.

- A section on the CLA website is devoted to the CLA’s original policy ideas on renewable energy.

- The CLA takes its campaign for banding to major events throughout the year and responds to both the Environmental Audit Committee Inquiry and the DTI Energy Review.

2004 The CLA responds to the DTI consultation on Terms of Reference for the 2005-6 Review of the Renewables Obligation.

2003 The CLA responds to the DTI consultation on the Renewables Obligation (amendment) Order 2003, warning that without banding the Government will not achieve its 2010 target for either renewable electricity production or Greenhouse Gas (GHG) reduction.

2002 The CLA continues to call for banding through its press and parliamentary work – briefing all members of both Houses on the Renewable Obligation Order and responding to consultations from both the DTI and the Cabinet Office.

2001 The Government introduces the Renewable Obligation Order. The CLA President warns both the then Secretary of State for Agriculture, and the Environment Minister, that the Renewable Obligation will not promote biomass power.

2000 The CLA briefs the House of Lords throughout the passage of the Utilities Bill, consistently calling for banding and proposing specific amendments with the support of Lord Jenkin of Roding.

- CLA evidence persuades the Royal Commission on Environmental Pollution to publish calls for banding in its Biomass report and to make this submission to the DTI Renewables Obligation Preliminary Consultation.

1999 The CLA calls for a scheme supporting the emerging technologies of biomass energy in response to DTI consultation on new and renewable energy.

Feed-in Tariffs

The new Feed-in Tariff (FIT) provides guaranteed prices for generators of renewable electricity up to 5MW. This mechanism is very effective in engaging land managers and farmers in the 23 EU member states that operate the system.

But the level at which the previous Government set the FIT for anaerobic digesters in February was potentially disastrous.

The CLA has been contacted since then by many farmers cancelling long-planned investments in digesters because the returns meant the money could not be justified.

The assumptions made by the Department of Energy and Climate Change (DECC) when setting the tariffs were simply incorrect. Maize silage is not free. Engines driving generators do not last for 20 years without major overhaul costs.

The CLA has given detailed accurate evidence on costs. The returns given in Germany are much higher – as a result 4,500 anaerobic digesters are in use there.

Happily for farmers in Northern Ireland, the NI Government takes a different view: The CLA applauds the Northern Ireland Department of Enterprise Trade and Investment’s proposals for a significant funding increase from the current 2 Renewable Obligation Certificates (worth about 9p/kWh) up to 4 ROCs for Anaerobic Digestion up to 500kW (worth about 18p/kWh) and 3 ROCs up to 5MW (worth about 14.5p/kWh) (subject to EU State Aids approval) from April 2011 and wishes that DECC would take the same view.

The CLA attended a meeting with the new Government Ministers where they promised a new and revised "action plan for Anaerobic Digestion" and to consult CLA closely on the agenda. The previous Government's Anaerobic Digestion Implementation Plan is now, effectively, out of date.

Small-scale renewables

Obligation mechanisms are not well suited to support for small scale renewables at a farm or household level.

Grant aid, as has been delivered under various Government schemes in the past, has failed to secure a step change in deployment.

The CLA welcomes the introduction of a Feed-in Tariff on a similar basis as is operated in Germany for microgeneration.

The Government has published the Microgeneration Strategy, which may be downloaded here.

Members can find detailed advice about feed in tariffs in our guidance note:

GN06-10 Feed in Tariffs: support for small and medium scale renewable electricity
This Guidance Note explains the design and potential opportunities under the new Feed in Tariff which guarantees support for smaller scale renewable electricity.
[Professional Advice/Guidance notes] - [10 March 2010]

Biogas (Anaerobic Digestion)

The Government has listened to the CLA's concern, echoed by others, that many were being held back from investing in biogas because of a lack of guaranteed support.

The Budget announced guaranteed support at current levels for Anaerobic Digestion (AD) and energy from waste with combined heat and power. A minimum support is also guaranteed for dedicated biomass. (Posted: 8 April 2010)

The CLA lobbies for better recognition of the widespread benefits of biogas. The CLA, through its support of "Task 37 UK", the UK not-for-profit company set up to promote biogas, works to ensure that the latest technological and market advances from other countries in the International Energy Agency (IEA) are made available to UK investors. The IEA website may be accessed here.

Dr Clare Lukehurst and Oliver Harwood are directors of Task 37 UK, a company limited by guarantee, set up with support from the CLA to promote and promulgate the latest biogas technology across the UK.

Clare, a CLA member, is also the UK representative on the International Energy Agency Task 37 which covers biogas.

Many other biogas proponents and businesses are also CLA members, and benefit from the lobbying, networking and advice the CLA can offer.

The CLA is especially grateful to Clare for all her hard work, not least in organising biogas study tours to Northern Ireland, Denmark, Sweden and further afield, from which many CLA members have benefited.

The CLA fought hard to get biogas technology recognition in the Biomass Task Force report and the Energy White Paper.

We continue to work with Government in the Biomass Implementation Advisory Group and look forward to the Government's conclusions on the best way to support renewable heat – a major output of biogas installations.

The CLA emphasises the wide-ranging environmental and other benefits of biogas deployment.

We address the barriers to it – not least of which is ignorance – and work to securing support for what is an infant industry in the UK, though well developed elsewhere in Europe.

We continue to make the point to the Environment Agency (EA) that applying waste regulations to slurry or manure that has been digested (even if food quality crops such as maize have been added) makes no sense at all, given that undigested manure is not subject to waste regulations.

Anaerobic Digestion kills pathogens and weed seeds, making digestate a safer product than raw manure.

Other EU States (apart from France) do not subject manure-based digestate to waste regulations, though all comply with the EU waste directive.

We have had partial success on the waste question, but the proposed exemption for farm-based biogas plants is still under discussion.

Lessons to be learned from Sweden

Sweden is working to develop the technology to turn waste wood into gas, an advance which could benefit British owners of woodland in the future. It has already buildt several hundred anaerobic digesters.

CLA Chief Surveyor Oliver Harwood said: "Sweden sees the use of biogas for transport as key for the rural economy - it puts its farmers and foresters at the heart of its plans for renewable energy."

Sweden is the leading country in using biogas for transport - it already has 25,000 vehicles running on the fuel and over 100 filling stations stocking it. CLA members could benefit if Britain follows.

In May, Oliver led a study tour there so that officials from the Department for Transport and the Health and Safety Executive could see grid injection and the use of biogas for vehicle fuel in Malmo.

Review of biogas upgrading

Members who want to invest in biogas may be interested in the review of biogas upgrading by the International Energy Agency Task 37. This was launched in the House of Lords with CLA support in June.

It covers research and development and best practice in the processes of upgrading raw biogas to biomethane, so that it can be injected into the gas grid or used as vehicle fuel.

The Secretary of State for Energy and Climate Change, Chris Huhne, was at the launch, along with representatives from industry, Government and politicians.

Biofuels

The CLA supported the introduction of the Renewable Transport Fuel Obligation (RTFO).

Current lobbying seeks to ensure that imported biofuels match the sustainability criteria demanded of those grown in the EU under the strict CAP regime that protects "Good Agricultural and Environmental Conditions" and both natural resources (soil, air and water) and habitat in the EU.

The CLA supports the work being undertaken by the Low Carbon Vehicle Partnership, and welcomes the moves towards implementation of better carbon assurance for biofuels.

The key issue is that public support for biofuels, in the CLA's view, should be directly related to the carbon saving and other benefits that they can deliver.

The question of "food v fuel" is much more related to world demand and imports. The UK has the land, previously in set-aside, and an excess productive capacity which has, in the past, led to dumping of our grains on world markets.

It is clear that an increased demand for biofuels will tend to increase crop prices, but the effects are hard to determine, given the wide range of other influences on the world price of grain.

The bigger issue is the indirect effects. Demand for biofuel feedstock can increase the felling of rainforest and other high nature value habitat.

The CLA is delighted to have helped persuade the EU Commission that where biofuel comes from such important habitats it will not qualify for support under the RTFO and will not count towards the EU biofuels target.

We continue to work with the Renewable Fuels Agency to press for the early introduction of legislation to enforce sustainability.

The CLA continues to argue for support for businesses that produce biofuels from waste cooking oil to be continued through the current fuel duty concession. We have been successful in this in the Finance Act 2010.

We also lobby for more support for "flex fuel" vehicles which can use varying and higher percentages of biofuels.

The CLA has been instrumental in bringing the potential for vehicles fuelled on renewable gas (made by Anaerobic Digestion or gasification of waste and waste wood) to the attention of the Government.

Biomethane offers better carbon savings than almost any other biofuel. Gas-powered vehicles offer wider benefits, including better air quality - no soot or fumes - and reduced vehicle noise.

The CLA is particularly concerned that biofuel processors should use best available techniques for low carbon processing of the feedstock in order to ensure the best carbon savings.

Prof Nigel Mortimer of North Energy Associates has demonstrated the very large differences in carbon savings and the potential for carbon neutrality, if renewables are used to power fuel processing.

See the paper he gave to the Agricultural Economics Society "Carbon Life Cycle Analyses"

The CLA responded to the Renewable Fuels Agency “Gallagher Review” where the sustainability of biofuels targets was discussed. Further information is available on the RFA website

Most recently CLA has publically attacked importers of biofuels that do not meet UK sustainability standards. See Latest releases for more details.

Biomass and woodfuel

The CLA continues to play its part, both in advising DECC and Defra on policies and instruments to support renewables and in its work with the Forestry Commission.

Biomass (woodfuel from existing woodlands and energy crops such as miscanthus and short-rotation coppice willow) is a carbon-friendly fuel widely used in many other EU states for energy. The CLA lobbies for support for the use of biomass, and advises members on the policy and practicalities.

The Biomass Task Force reported its recommendations in 2006, and the CLA is part of the Biomass Implementation Advisory Group which is advising on, and monitoring the delivery of the Task Force recommendations.

The CLA supported the Green Alliance and others in the design and launch of a strategy for sustainable heat, available here.

At the same time, the Forestry Commission, after consulting the CLA and others, published its “Woodfuel Strategy” available here, calling for the release of two million tonnes of wood to be used for heating fuel, either in woodchip or woodpellets.

The Biomass Strategy, which sets out a path to delivery of up to one million hectares of land for energy crops - both biofuel and biomass, may be downloaded here.

Links to external websites

The Government's green energy website

The Department for Energy and Climate Change (DECC) - the Government's energy department

International Energy Agency Bioenergy Task 37 - the international resource for information and updates on Anaerobic Digestion

www.biogas-info.co.uk/ - the Government's portal for UK information on biogas

www.biomassenergycentre.org.uk - the Forestry Commission's expert advice service on all biomass matters

Renewable Energy Association - the trade association for renewables

British Wind Energy Association - now renamed Renewables UK - covering wind (on and offshore) and offshore wave power

Farming Futures - its renewables page gives excellent case studies of farmers' experience of renewable technologies.

Geronimo - the new European Dairy Portal with advice on saving energy and interactive support with dairy farmers from around the EU.