The World Bank has decided to support the climate pledges made in the Paris Agreement and take radical steps to decarbonise the world by halting funding for fossil fuel industries after 2019.
This is a significant gesture that will not only help in the mitigation process to limit global warming to 2°C by the end of the century, it also gives a green light for more investment in renewable energy around the world. It might be the breakthrough we have been waiting for as it presents big opportunities to develop promising clean technologies that have suffered from a lack of investment.
This will hopefully mean an acceleration of renewable energy projects around the globe, and the creation of many new job opportunities for communities that desperately need them. Furthermore, we will all be able to enjoy such benefits as decreased levels of pollution, cleaner air, and a healthier climate!
Another benefit of this decision is that it could help exciting new technologies become available for everyday use, such as solar panel-integrated windows or efficient energy storage systems.
We must remember that fazing out fossil fuels will not happen overnight. Polluting power stations will continue to operate for as long as they are financially viable and as long as they are supported by tax-breaks and subsidies from governments.
However, the fact that action is being taken by the World Bank, a major influential institution, brings hope that change is coming. This announcement not only sends a clear message that the days are numbered for the fossil fuel industry, but it simultaneously encourages governments and other institutions to follow suit.
Gyorgy Dallos, Greenpeace International climate campaigner, told The Guardian:
“The world’s financial institutions now need to take note and decide whether their financing is going to be part of the problem or the solution.” (2017, 12th Dec)
While there is still uncertainty ahead and a need to keep up the pressure, this news is a positive step and brings fresh wind into the energy sector. Please support BHESCo in creating our clean energy future by becoming a member.
02 Nov 2017
Some people, including political leaders, believe that environmental levies add cost to our annual energy bills, subsidising the construction of expensive wind and solar farms, making energy unaffordable for millions of people. Sadly, these people are being mislead, influenced by the large energy suppliers, like British Gas who recently blamed environmental taxes for their most recent price hikes.
The misinformation spoon fed to politicians by those whose interests lie in the preservation of a fossil fuel based energy industry is consumed blindly by our politicians who are overwhelmed by the amount of data that they must process to keep up to date. The energy industry seems to be an area in which most politicians are especially uninformed, or worse, deceived. Consumers are just concerned about rising energy prices, accepting the information given to them by energy suppliers trying to keep their customers.
The truth is that fossil fuel energy is subsidised at a much higher rate, more than two thirds higher, than renewable energy. These subsidies are funded directly by the taxpayer, through tax credits to the shale gas exploration companies or tax breaks on investment of oil drilling and refining equipment. Since tax breaks are not transported directly to our energy bills, they are less obvious to consumers. Other subsidies funded by the taxpayer are embedded in departmental budgets, like the billions per year spent to maintain our nuclear power infrastructure is embedded in the budget of the department of Business and Industrial Strategy. Direct funding of activities by the taxpayer allows for the activities to take place outside of public scrutiny.
Tax breaks for fossil fuels are funded by the taxpayer, investments in the renewable energy infrastructure that we need to ensure affordable and long lasting sources of energy for the future are funded by the bill payer. There are many arguments that can be supported economically, that investments in renewable energy like wind and solar, pay back over the life of the energy generation because we don’t have to pay for the cost of the fuel, it is free. The cost of the fuel incorporates the exploration cost, drilling cost transport cost of these fossilised relics we use for “cheap energy”. If the taxpayer funded our renewable energy infrastructure, by diverting less tax breaks to the fossil fuel industry and funding clean energy, our energy bills would also decline, there would be no need for ‘eco taxes’.
The truth is that for years onshore wind has been the cheapest form of energy, yet development of onshore wind generation has been discouraged by this government. In June, 24% of the electricity in the UK was produced by solar panels. 800,000 homes have solar panels on their roofs and 200,000 have solar thermal hot water. Just recently, the price of electricity from offshore wind was trading at half the price of electricity from new nuclear power on the capacity market. It is time to stop the distorted, misinformed news on renewable energy and to hold our politicians accountable for supporting the construction of more renewable energy in our communities.
We can work together to ensure that we have affordable heat and electricity into the future and stop listening to the propoganda on Eco Tax, or that the lights will go out without expensive new nuclear. Battery storage is creating the reliability we need into renewable energy, eliminating the need for base load power.
Now is the time to support your local community energy group, to get behind the movement for local energy and stop accepting the highly selective news intended to manipulate public opinion coming from the media as our truth. We can create a cleaner, safer world for our children if that is what we choose to do.
On Thursday 1st June 2017, US President Donald Trump proceeded to do what everybody knew he was going to do and announced that he was pulling the USA out of the Paris Climate Agreement.
The agreement was made in December 2015 and brought together 195 nations from around the world to create a united response to the threat of global warming. Given his history of describing climate change as a hoax created by and for the Chinese, it was widely expected that the Trump administration would reverse the sustainability actions put in place by Barack Obama in favour of policies promoting fracking, coal, and oil, industries in which he has considerable investments.
And that’s exactly what he did.
However, what at first may appear to be a catastrophe for the climate movement may in fact prove to be a catalyst.
There has been magnificent response from America’s states, defying their President’s agenda and declaring their intention to build a sustainable future despite Trump’s decree.
As the Mayor of Pittsburgh, I can assure you that we will follow the guidelines of the Paris Agreement for our people, our economy & future. https://t.co/3znXGTcd8C
— Bill Peduto (@billpeduto) June 1, 2017
In the days following Trump’s announcement, over 246 city mayors signed a joint statement pledging to “honour and uphold the commitments to the goals enshrined in the Paris Agreement”. Together, city and state officials have committed to reduce emissions by more than one gigatonne of carbon-dioxide by 2030 — the same amount pledged by the US in the Paris Agreement. Commenting on these developments, former mayor of New York Michael Bloomberg said:
“The fact of the matter is, Americans don’t need Washington to meet our Paris commitment, and Americans are not going to let Washington stand in the way of fulfilling it”.
It seems that Trump has misjudged the mood of his people, and unwillingly ushered in an newly invigorated spirit of environmental determinism. As one reporter from CNBC writes:
“The Trump presidency marks a new era. As citizens and business leaders, it is now up to us to take the future into our own hands and create the change we want to see”.
And it’s not just Americans who have beeen vocal about a renewed fever of climate activism. The day after Trump’s retraction, China, India and Europe repeated their commitment to save the future of our planet. German Chancellor Angela Merkel said:
“To everyone for whom the future of our planet is important, I say let’s continue going down this path so we’re successful for our Mother Earth.”
In fact, one of the only global leaders not to decry the actions of the U.S. president was the UK Prime Minister Theresa May. Very little was said about the threat of climate change during the recent election campaign, the topic receiving minimal attention from mainstream politicians and media alike.
That’s why we must follow the example of American environmentalists and unite locally to set our own emissions targets and carve our own path to a sustainable future. We cannot rely on leadership from above.
There are many examples of community energy projects across the UK, with at least five thousand community groups undertaking energy initiatives in the last five years, all motivated by a desire to develop locally owned low carbon energy solutions.
We’re in the middle of a seismic shift in the way we produce and consume energy, with the impetus coming from grassroots communities. The change is unstoppable, whatever President Donald Trump and other backwards looking politicians think.
Be a part of the energy revolution. Find your nearest communtiy energy group and get involved today.
15 May 2017
In the face of catastrophic climate change, we need to encourage energy efficiency and cleaner, renewable energy production, more than ever before. Unfortunately, our current government seems to be indifferent, if not intentionally hostile, to promoting this constructive, job-creating transition to a cleaner, income-generating and robust energy bill saving economy. This government is promoting funding of the destructive fossil fuel and nuclear industries. Our MPs own pension scheme invests in the fossil fuel industry for starters. While a significant minority recently backed divestment from fossil fuels, sadly the majority of MPs in government did not1.
Then there’s the promotion of the hugely unpopular hydraulic fracturing industry against the democratic will of the people2 and the attacks on onshore wind3 and solar energy4, both very popular renewable energy technologies5. These renewables, given the chance to flourish, as it did before the government started taxing and wrapping the renewable industry in red tape, can transform the UK’s energy security fears, reduce fuel poverty and meet our vital climate targets. We could have an economy that works for local, small to medium-sized businesses and domestic consumers alike, rather than an economy that benefits only the large energy corporations which still dominate over 80% of the UK’s energy market. The constant drain on the public’s finances by the UK’s large, enormously profit taking energy companies, duping the customer with over-priced energy tariffs, have serious consequences for people’s livelihoods and wellbeing.
One significant step to reducing energy bills for both domestic customers and businesses is to improve energy efficiency. According to the Office of National Statistics’ 2011 census, Brighton & Hove had the highest proportion of residents privately renting out of any town or city in England and Wales; more than 30% of households. Around 26,000 people are on the council housing waiting list and 1 in 69 people in Brighton & Hove are homeless6.
However, the incentive for private landlords to increase the energy efficiency of their properties just isn’t there. The government’s weak legislation requiring landlords to improve their properties’ energy efficiency, by achieving a minimum energy performance rating of E on an Energy Performance Certificate (EPC) by April 2018, isn’t helping at all. Yes, there are other regulations, which came into effect from 1st April, where a tenant can apply for consent to carry out energy efficiency improvements in privately rented properties7 under the provisions of the Energy Efficiency (Private Rented Property) Regulations 2015. However, in the current climate of retaliatory evictions for tenants who merely ask for simple repairs, let alone applying for consent to carry out improvements, it makes this legislation appear a greenwash exercise, with no meaningful support for those threatened with homelessness8 or suffering in fuel poverty.
To make UK households truly energy efficient the government needs the EPC rating of landlords’ properties to be at least a D. This is overdue for the huge numbers of residents living in sub-standard, enormously expensive, energy inefficient properties across the country. The government could help landlords achieve warmer, more comfortable homes with incentives. With the new round of Energy Company Obligation 2 Transition (ECO2t) funding for efficient heating and insulation grants, there should be more focus on offering all those landlords’ properties with EPC band ratings below a D, more fully funded grant access9.
BHESCo is an award winning not-for-profit community energy co-operative offering an innovative PAYS (pay-as-you-save scheme) for those domestic and business customers who can’t afford to pay for the energy efficiency improvement measures up-front. The savings from their energy bills are used to pay for the installations over a period of time and the occupants or tenants feel more comfortable in a warmer home, helping to reduce their energy bills. However, to encourage uptake there needs to be more of an incentive and active promotion in all sections of our community.
Another reason for requiring a D rating, is those landlords who wish to invest in solar energy generation can do so, thus helping to stimulate the UK’s wounded solar PV industry10 and make it economically viable for landlords. To obtain the maximum Feed-In Tariff (FIT) for solar PV installations, a household must attain a minimum EPC band D rating11. However, the government also needs to realise that renewable energy is going to be the cheapest form of energy production in the near future. Onshore wind is already our cheapest source of electricity. Not to mention the benefits of secure, locally-produced energy and the dire consequences from global climate change if we don’t act now. The government’s own Department for Business, Energy and Industrial Strategy (BEIS) published a report saying a solar project commissioned next year was predicted to cost between £62 and £84 per megawatt hour (MWh) with onshore wind coming in at £49 to £79/MWh. Compare this to the cheapest form of gas costing between £60 and £62 and £154 to £166 for a more expensive gas system12.
We need active, forward-thinking local councillors and MPs to lobby Westminster and help promote energy efficiency and renewable technology in their constituencies, especially coming up to this general election in June. The technology and capability is already here, but we need the political will to make it happen now and not when it is too late.
- Holder, May 2017: 50 MPs back fight to divest parliament pension fund of fossil fuels, Guardian, 08/05/2017, https://www.theguardian.com/environment/2017/may/08/5o-mps-back-fight-divest-parliament-pension-fund-fossil-fuels?CMP=share_btn_link.
- Simple Switch, October 2016: Government Overrules Council to Allow Fracking in Lancashire, https://www.simplyswitch.com/government-overrules-council-to-allow-fracking-in-lancashire/
- 10:10, April 2017: Stop the government wrapping wind turbines in red tape, https://1010uk.org/articles/blownaway-planning
- Johnston, March 2017: Budget 2017: Solar industry facing devastating 800% tax increase, Independent, 08/03/2017, http://www.independent.co.uk/environment/solar-industry-budget-2017-800-per-cent-tax-increase-green-renewable-energy-a7618191.html
- BEIS, May 2017: Energy & Climate Change Public Attitude Tracker – Wave 21, https://www.gov.uk/government/statistics/energy-and-climate-change-public-attitude-tracking-survey-wave-21
- MAIS, May 2017: Housing Crisis: Community Solutions 2017, 11/05/2017, https://maisnetwork.net/2017/05/11/housing-crisis-community-solutions-2017/
- Residential Landlord’s Association, 2017: MINIMUM ENERGY EFFICIENCY STANDARDS, https://www.rla.org.uk/landlord/guides/minimum-energy-efficiency-standards.shtml
- Whitworth, February 2017: Revenge eviction law ‘not working’, 09/02/2017, http://www.bbc.co.uk/newsbeat/article/38795177/revenge-eviction-law-not-working
- NEA, Feb 2017: IN FROM THE COLD: The funding gap for non-gas fuel poor homes under ECO and a proposal to fill it.
- Solar Trade Association, August 2016: 2017 Business Rates Revaluation: Rooftop Solar PV.
- Ofgem, 2017: Feed-In Tariff (FIT) rates, https://www.ofgem.gov.uk/environmental-programmes/fit/fit-tariff-rates
- Johnston, February 2017: Government accused of trying to kill off UK solar industry before it can become cheapest form of electricity, Independent, 08/02/2017, http://www.independent.co.uk/environment/solar-energy-uk-government-accused-trying-to-kill-off-climate-change-theresa-may-a7570161.html.
23 Mar 2017
“I wouldn’t want to be the MP in Parliament who voted to oppose Hinkley C”.
With a very concerned look mixed with fear, this quote comes from an insider in the Halls of Power of the Energy Industry. Yet he works for a company that has chosen to put at the heart of its strategy the preparation and facilitation of the transition to a distributed network. This, in essence, is a bet on the proliferation of local renewable energy generation, and a move away from the inefficiency of centralised power stations. A distributed network is needed when there are lots of energy generators installed on rooftops, in the hills, in the sea and under the streets of our cities, towns and villages.
BHESCo estimates that there is almost 50GW worth of applications for battery storage facilities wanting to connect with the 8 Distribution Network Operators and the National Grid. This is about 10 times the power generation capacity of Hinkley C and Moorside combined, at a fraction of the price to the taxpayer and to future taxpayers. Granted, this is an emerging technology, as yet without a track record, however in the 10 years it will take for these nuclear power plants to be operational, battery storage will have become mainstream. As Steven Holliday, former CEO of the National Grid, announced in 2015, “base load power is obsolete.” Base load nuclear power is wasteful, where at present 60% of the electricity produced is lost in conversion, transmission and distribution.
Despite pleas from over 160 organisations, this year’s national budget includes a ‘Solar Tax’ collected in the form of business rates. If you own a solar array less than 50kW, the value of your property for business rates will be increased by the nominal value of the solar array on your roof. This will have enormous implications on small businesses that have become solar generators because the tax is most likely to approximate or exceed any benefit that they receive for the free electricity from the sun. Because any investment in energy generation requires a certain return in order for investors to commit their hard earned cash, a business rates tax on solar arrays eliminates any incentive to accelerate our transition from fossil fuels by investing in generating your own electricity. The ‘solar tax’ is an intentional assault on free power from the sun as, for example, gas combined heat and power systems have been exempt from business rates since 2001.
Now consider the subsidies for investors in shale gas exploration, or ‘fracking’. This subsidy comes in the form of tax breaks called Enhanced Capital Allowances that permit firms that are investing in shale gas exploration to deduct the cost of the equipment directly against their taxable income, in many cases virtually eliminating any tax due. For companies like Centrica, who are a large investor in Cuadrilla, these tax breaks run into the millions  . Other similar tax breaks will be enjoyed by Ineos, who intend to invest £168 million in shale gas exploration (which at 40% tax relief, amount to £68 million) or IGas who invested £16 million in equipment in 2015. Nuclear power on the other hand costs the taxpayer billions each year for transport, storage and decommissioning of existing power plants alone, before we even being to count the cost of constructing new ones such as Hinkley C and Moorside, as each of these proposed plants are being constructed using unproven technologies. Simply put, the “solar tax” is an assault on the little guy, just another addition to the unfair tax policies that protect the 10% and burden the 90%, in this case, small businesses.
For anyone who believes that we must take responsibility for our energy supply now for the sake of our climate and our energy security, we wonder: what is the difference in tax receipts for the Treasury if the money comes from the clean energy industry or from dirty fossil fuels or nuclear? Or do we really want to spend our money as taxpayers supporting a government that is afraid to make the decisions that we need to ensure that we have clean, affordable energy in the future? Wouldn’t we rather ensure that our schools have sufficient funds to properly educate our children, or that the NHS continues to thrive as an accessible customer service focused health care system?
Join the fight today by writing to your MP, signing an anti-fracking or anti-nuclear petition, or becoming an investor in Community Energy. Make sure that important decisions about our future are made from a position of courage, not fear. Mostly make sure that you are informed, as such short sighted changes to tax legislation will have long term impacts on our quality of life.
 www.greentechmedia.com energydesk.greenpeace.org