The renewable energies market in the United Kingdom

Targets for renewable energies in the United Kingdom (U.K.) have been set at 10 per cent of the total electricity produced by 2010. Out of a total annual consumption of 364 000 GWh, renewable energies now provide 2.8 per cent of the electricity in the U.K. As a result, market growth over the next decade is expected to reach 250 per cent. Several specific new regulations have also been introduced to support these targets. U.K. electricity supply companies must now set percentages from renewable sources, and new fiscal measures penalizing fossil-fuel consumption while promoting renewables are included in these new regulations. Extra funding to support renewables research and development, pilot and demonstration projects, marketing and dissemination activities to increase renewables take-up in the country has been earmarked. Renewables application in the filed of transportation fuels has been identified. Duty cuts on biodiesel fuel were made following the recent Green Fuel Challenge consultation exercise. Once demonstration projects are proposed, additional duty cuts for other biofuels might be made. There should be considerable expansion of the U.K. renewables market. Biomass, for primary energy and transportation fuels, offshore wind, small-scale hydro and photovoltaics (PVs) are all sectors where opportunities exist. Fuel cell and wave/tidal technologies are likely to show some promise once they make it to the commercial/mass production phase. 35 refs., 4 tabs., 2 figs