Scottish Executive consults on strengthening renewables market

The Scottish Executive has announced a consultation on proposals to increase the obligation on Scottish electricity suppliers to provide renewable electricity.

The proposals are designed to secure confidence in, and attract new investors to, the Scottish renewables sector by raising the obligation levels from 10.4% by 2010-11, to 15.4% by 2015-16.

Deputy Enterprise Minister Lewis Macdonald said: “The renewables obligation Scotland (ROS) is designed to create a renewables market for the long term. It is operating very effectively, and it is vital that we ensure its continued ability to do so. The proposed increases in the obligation levels should maintain investor confidence, which is vital to the continued growth of a renewables industry in Scotland.”

The ROS compels licensed suppliers to provide increasing proportions of their electricity from renewable sources and applies until 2027. Suppliers have to provide evidence to Ofgem in the form of renewable obligation certificates that they are meeting their obligations. The system operates in tandem with the RO covering England ands Wales.

Mr Macdonald added that the Executive was also consulting on additional measures to address risk in the market, proposals for UK trading in renewable obligation certificates and steps to increase flexibility for smaller generators.

“I hope that as many of our stakeholders as possible are able to respond to this consultation exercise,” he said.

By David Hopkins

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