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Ministers urged to support renewable energy

24 July 2008

The government must intervene to aid the renewable energy industry as gas prices looked set to rise for the foreseeable future.

Andrew Cooper, head of renewables at the Renewable Energy Association, called for assistance in case the industry is overwhelmed by consumers turning to renewable energy such as solar panels, heat pumps and wood pellets as gas prices inflate by 70 per cent.

"What we need from the government is a commitment to help the industry grow and move forward," Mr Cooper said.

"What we don't want to do is wait until prices are so high that everybody's clamouring for renewable energy when the industry has not been well-developed and supported to grow.

He predicted renewable energy would become more cost effective compared to fossil fuels.

"If you look at solar energy, it costs 0.00p per KW hour and that price is guaranteed for a number of years to come. You can't say that about the price of a barrel of oil," he said.

A recent report by analysts Eclipse Energy for Centrica, the owner of British Gas, predicted that gas prices would remain high for the foreseeable future. It predicted an annual domestic gas bill could cost more than £1000 within a few years.


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