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Renewable Energy – Who Benefits?


                               Nicholas Gubbins March 2011




Scotland’s Community Energy Development Charity

     http://www.communityenergyscotland.org.uk
     Scottish Charity Number: SC039673
Who we are / what we do
                     Registered Scottish Charity

                     Help communities to benefit from RE

                     Restricted Fund management: services for
                     Scottish Govt; HIE and BLF ~ £6m this
                     year – grants to community groups

                     Advice and support to community /
                     voluntary / non-profit sector

                     Social enterprise
Scotland’s Targets – by 2020

80% electricity consumed from renewables

11% heat consumed ~ need 2.7GW installed

10% transport consumption from renewables
Scotland’s Renewable Resources




Wind                 Wave
Scotland’s Renewable Resources




Tidal                   Biomass
Installed Capacity




 Source: Scottish Renewables March 2011
Focus on electricity
~ By 2011 31% electricity consumption expected to be met by
renewables = 4GW installed capacity

~ a further 10GW installed capacity required

                ~ 6GW onshore wind consented or in planning

                ~ 10 GW offshore wind – early stage

                ~1600 MW wave and tidal – early stage

Significant expansion in onshore wind required
Community Benefit

Rough rule of thumb: £100k net annual profit per 1MW installed
capacity onshore wind

4GW installed capacity = £400,000,000 net annual profit

‘Community Benefit’ : £700 - £2000 per MW

£2.8m - £8m pa

0.7% - 2% pa
Source: Elaine MacIntosh, SAC / University of Edinburgh 2008
Community benefit arrangements
Currently free for all – voluntary payments, no regulated system

Ministers well aware of scale of development required to meet targets +
wish to see a significant increase in the scale of benefits accruing to
communities from renewable energy

SG consultation on ‘securing the benefits’ just undertaken

Communities can need assistance in establishing structures and plans
for investing community benefit income
Vision


Decentralised • Community Owned • Secure • Resilient
Re-
      £10,000 pa
                                investment
       saving on
                                 in service
          fuel
                                 provision




   8500                                Additional
additional                             events and
 visits pa                               classes

                   Additional
                    income
                      from
                   additional
                     events
3. Community
   Owned (non-profit
   distributing)

900kW Enercon Turbine

Commissioned 2010

Income via trading company to
Tiree Community Development
Trust
fuel
                           poverty
             greening       action     school
               local
                                      projects
             facilities

                                                              Transformational
    local                                                     impact
                                                 Local food
  business



  social
enterprises                                        skills



        sustainable                    energy
         transport                    efficiency
                                      measures
                          awareness
                           raising
To view all the papers in the Whose
       Economy series click here

To view all the videos and presentations
       from the seminars click here

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Renewable Energy - Who Benefits? - Nicholas Gubbins

  • 1. Renewable Energy – Who Benefits? Nicholas Gubbins March 2011 Scotland’s Community Energy Development Charity http://www.communityenergyscotland.org.uk Scottish Charity Number: SC039673
  • 2. Who we are / what we do Registered Scottish Charity Help communities to benefit from RE Restricted Fund management: services for Scottish Govt; HIE and BLF ~ £6m this year – grants to community groups Advice and support to community / voluntary / non-profit sector Social enterprise
  • 3. Scotland’s Targets – by 2020 80% electricity consumed from renewables 11% heat consumed ~ need 2.7GW installed 10% transport consumption from renewables
  • 6. Installed Capacity Source: Scottish Renewables March 2011
  • 7. Focus on electricity ~ By 2011 31% electricity consumption expected to be met by renewables = 4GW installed capacity ~ a further 10GW installed capacity required ~ 6GW onshore wind consented or in planning ~ 10 GW offshore wind – early stage ~1600 MW wave and tidal – early stage Significant expansion in onshore wind required
  • 8. Community Benefit Rough rule of thumb: £100k net annual profit per 1MW installed capacity onshore wind 4GW installed capacity = £400,000,000 net annual profit ‘Community Benefit’ : £700 - £2000 per MW £2.8m - £8m pa 0.7% - 2% pa
  • 9. Source: Elaine MacIntosh, SAC / University of Edinburgh 2008
  • 10. Community benefit arrangements Currently free for all – voluntary payments, no regulated system Ministers well aware of scale of development required to meet targets + wish to see a significant increase in the scale of benefits accruing to communities from renewable energy SG consultation on ‘securing the benefits’ just undertaken Communities can need assistance in establishing structures and plans for investing community benefit income
  • 11. Vision Decentralised • Community Owned • Secure • Resilient
  • 12.
  • 13. Re- £10,000 pa investment saving on in service fuel provision 8500 Additional additional events and visits pa classes Additional income from additional events
  • 14. 3. Community Owned (non-profit distributing) 900kW Enercon Turbine Commissioned 2010 Income via trading company to Tiree Community Development Trust
  • 15. fuel poverty greening action school local projects facilities Transformational local impact Local food business social enterprises skills sustainable energy transport efficiency measures awareness raising
  • 16. To view all the papers in the Whose Economy series click here To view all the videos and presentations from the seminars click here