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Renewables Obligation Review

A response to the 2005/06 Review of the Renewables Obligation was prepared and submitted to BERR in June 2005.  The response provided a view of the members of RAB and it was submitted with the caveat that, due to the diversity of interests of the board members their individual detailed views varied as might be expected, given the range of technologies and interests concerned.

RAB believes that the RO has played a vital role in stimulating the renewables market and has proved effective in bringing forward the most mature and lowest cost renewables technologies.  An investment climate has been created that will lead to a substantial increase in the contribution from renewable energy to future energy needs, and at an affordable cost to consumers.

In reviewing the operation of the Obligation, it is very important that nothing is done which undermines investor confidence in the mechanism, particularly now, when investment decisions about a number of major projects are being considered.  Significant changes should therefore only be made where there are unambiguous benefits to be gained, and the underlying principles should not be compromised. 

On the other hand there are a number of practical issues which could be addressed and which would improve the operation of the Obligation and allow industry to develop projects which will contribute to the UK's renewable energy targets more easily.  RAB welcomes the suggestions in the Consultation document which would address these operational issues.

Membership
BERR Representative: Roy Collins
Industry member: Doug Coleman