Green energy in Europe

Green Energy in Europe The surprising

Just over

green electricity market in UK

six months

electricity

market

pessimistic,

ago, views

in the United

rather

cautious.

2001

blew

and many more new green

using

all possible

Ouillet,

of change.

supported

Kingdom

Then,

Tariff

the market

a wind

of experts

developments United

of

Kingdom

the

GreenPlan,

green

not

marketing

flooded

on

electricity

Laetitia

the

latest

markets

in

tidal sources in the Untied are largely untapped,

Kingdom

the amount

of

green electricity available on the market

campaigns

Kingdom.

focuses

of

Green

products

in the United

www.greenprices.com

when

the summer

energy

by massive

media

were

with

Juice,

on the green

the

over the past six months.

for both the Renewables obligation and the customers wishing to be exempted from the CCL is greatly constrained. one

adds

demand

the

growing

If

voluntary

for green electricity, it seems

likely that the UK might fall short of its In line with the general trend in Europe, UK support for renewables is moving

to other forms

target and fail to cover the demand

of energy. Parallel to this tax, the gov-

from domestic

away from pure subsidies to more mar-

ernment

production.

ket-based

ties to be exempted

incentives. The government

has chosen

to make these incentives

available for business

customers

and

electricity suppliers rather than to place the future of renewables in the hands of

has also introduced

Exemption sumption

possibili-

from the CCL.

is granted

by the

con-

of electricity from renewable

Encouraging signals

and Gamble

In December

domestic customers.

lished the results of its latest customer

Bank, the University

of Edinburgh,

Renewables Obligation

and many other business

to be introduced United

(health

suppliers

renewable 2002-2003

care, public

sales in

receiving green power, or had signed up for a green fund. This indicates that the

sumed.

market has grown by 125%. There are currently 13 suppliers offer-

Enough capacity? Those

two

measures

Renewables mented

users as well as for the and

represented

(CCL

Obligation)

with

to

were imple-

already offering a green product in the

to reach

consumption

past few years as well, these new products are accompanied nication

an intermediary

pletely changed the face of the green power market in the UK. Products have

However, renewable

planning

target of 5% in 2005.

implementation production

of

new

capacity is not

mainly because of the of local authorities

permission,

which

for

causes

Combined

with the fact that most

resources of off-shore wind, wave and

January/February 2002

REFOCUS

www.re-focus.net

strategies,

by new commu-

from renewables sources by 2010 with

0.47

attracts by far the

the possibility

choose green power. While most were

the objective

10% of the electricity

ing their customers

and

large delays and problems.

other services.

per year. The last count,

million kWh of green electricity con-

and commercial

of

a

total of 149 million kWh of green ener-

591

involvement

level

which represents

shown that only 20,000 customers were

that, in November

2001, large customers

straightforward,

a taxation

Kingdom,

cusin the

mates established

by

Climate Change Levy (CCL). The Climate Change Levy is a tax bearing on all energy supplied to industrial

electricity

United

electricity

gy consumed

On the corporate market, the uptake of green electricity is also encouraged via the introduction last April of the

With

for green

by Future Energy in April 2001, had

Climate Change Levy

p/kWh,

etc)

tomers

There

domestic

from the Levy. Greenprices’ latest esti-

of their from

public administration

buildings,

Kingdom.

45,150

supplier in order to claim exemption

to 10.4% in 2011/2012’.

agriculture,

services

are currently

all

in the

sources. This share will go

from 3% of total electricity

and public

count in the United

pub-

have all switched to a green electricity

will be obliged

Law to purchase a proportion previous year’s consumption

customers,

2001, Greenprices

due

in April 2002,

Kingdom

NHS

local authorities,

Obligation’,

electricity

UK,

Procter

with inland

Co-operative

licensed

energy sources.

customers

Scotland,

Via the Renewables

52

highest rate compared

which

have com-

now dedicated sections on energy companies’ websites, marketing mass publicity telemarketers, ing

UK

teams and

(metro, direct mailing, etc.. ..). In the fat mov-

electricity

market,

where

100,000 customers a week are switching electricity

supplier

according

to John

GREEN

ENERGY

Widespread adoption of 10% RE target The

&ption

of the ch.lllcnging

target

~rcncw,ible\

I>\. 7010

mxlwtin~

inpirdtion.

ofC;rcen

.iccreditation. guideline\

One csample

Energy

Ixst

is

(;I-ccn I_ncl-gy

pr-actice”

denrly

rhcir

confidence

line wirh

need\

to gren

the governmcnt’~

in the

hour bit” type 0fmcss.igcs.

some

the

10% consumption

inn) play of the long

Kcn~wablcs

.~iid \\hith

might

rhroiigth

six3

comparable l)urch

energy

horh.

undcl-

Kcncw.~blcs

In any C.ISC,

\vill

rhe name

run

in

Scottish

Obligarion.

[Iii\ per-iod

rhe level should

10.4“‘6until rhc end

Ircni.tin xT dl the

ro

ro keep dn eye on!

scheme

Scotland

sur-

grow

its German

countc‘rp.ir~s.

Footnotes 1 ,A siniil,lr

of

market

ir could

I0 both

the UK i$ ‘1 m,lrker

After

stages

rhen ct-rare some

on the market.

tht. geen

vive

7

not be \o

in the carlv

mighr

confusion

and

Obligation

hznitioning

Should

lvhich

by fraudulent

,ind deals.

srr.iighrforw,lrcii

target.

indepcn-

Ciisromcr’~ factor

down

coming

\t.hosc

to

thar

all existing

is d fragile

.i\v.jitcd

domcsric

b\f01-

it remains

needed.

be run

The

As cnd-con-

usi’rs xc‘ it .is thcil- t,lrk to contribute

bur

and their claims

.lcri\ itic

“do

the

isbued

To check

is much

could

obiccti~~cs.

CIc.i~-ly~ this firs pcrftcrly \iimc’r.~ of cleitl-icity,

products

po~+~r, in

foi

could serve ds a “guide

10. which offer-s the posihiliry for customers ro s\virch I O”0 of cnctsy

ro

formula

hlcanwhilc,

dn initiarivc

(UK) I’lc kvith irs

its

and

recenrl\

Ofgrin

1103

10 srop

sihcnie

anotlirr

rcrhink

10%

vicldcd

ha\

Lncl-gy

from

m source

consumption

-l.rus\r decided

Fururc

bv rhe LJK governmenr

ofthr UK clcctriciry

Ait

S.l\ing

scheme

Ohligarion

in

‘0X1202’.

Weather conditions l.M

Iwr

2nd

hc.iv!,

I-ale on c,lrrird ,ind

1101 klbl, \;forms

the ni.11~kcr.

SCVCI’C tloods also

95”o

JO0 I

ch.lngc”

surve!.

a

\\arniing”

effect”).

A~lxl,cting

“grernhoLlsr

campaigns

rhc

theme

drc’ then

likeI!.

to

and

rcvolv-

reccivc

.1

The

the green

in rhe

Llnricd

Kingdom.

confil-m gl-o\vrh m.lrkcr incrc.iscd energy Ilnircd

po\vcr

the imps-cssion .ind

Ir needs of.icrivit~~

CYOIYCinro .I more

\vith

st,lble

customer tar domcsric Kingdom

co,,-

marlicr

mature

structures confidence. cusromcrs

also

.iiid live up to two major

needs

I0 and

and

p.0.

iliallcngcs:

energy

counrry

Urtechr,

2808301

to

suggest

NL-3503 Netherlands, fax.

on

Heddeke

or Laetitia

+31.30.2808300,

on

or large cus-

not mentioned

8408, The

the

sections

please contact

editor,

Box

in

information

or

suppliers

currently

the website, Heijnes,

is

From here you can

Greenprices

tomers

which

For more

energy

in the f&r

green Union.

green energy about

United

The address

portal and gives informa-

on

(;rccn

to

Netherlands,

visit the separate

green

coun-

Belgium,

is www.greenprices.com,

tion

ahour

online:

and Sweden.

European

news. of Ecofys

the following are

Kingdom

Conclusion

products

and

Germany,

the general

Ir is of COIII-SCtoo c,lrl!, to dra\v

their

is an initiative

sections

and

on suppli-

policy

B.V. Currently

liighr~r level of dllenCon.

elusions

energy

prices,

web-

in Europe

wirh information

Greenprices

ny

cliin:irz

of

energy

ers of green

rhat

(.I \ucli, or d5 or

is an independent

site on green abroad,

in Scprembcr

rsrablished

of C;re;ll lirir.iin

ch.lll~c

d

is .I Limili.il- tc‘l-m for

“glob.il

.II-OII~~

Greenprices

played

In&d,

our 1,:. rhr RSPB Ocrohcr

“climarc

ins

the h.lvc

Ouillet, RK, tel. +3 I .30.

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