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Transmission charging based on different era and must change

December 20, 2011 4:47 PM
Originally published by Scottish Liberal Democrats

Commenting as Ofgem plans to consult the Energy industry on proposals to change the formula to set transmission charges for power generators using the high voltage grid, Scottish Liberal Democrat Liam McArthur MSP said:

Liam McArthur MSPLiam McArthur MSP"Today's announcement shows that the UK Coalition Government is making progress on an issue that has been ignored by Ministers and the regulator for too long.

"Ofgem now accepts that the current system of transmission charging is based on the needs of a different era and that if we are serious about reducing emissions, harnessing our renewable energy and tackling fuel poverty, reforming our antiquated charging system is long overdue.

"However, while a number of the proposals in Ofgem's consultation are welcome, they do not go far enough. In particular, it is disappointing that the challenges facing developers in the islands have not been adequately addressed.

"This is more than simply unfortunate. It risks seriously undermining our ability to achieve our renewables ambitions and climate change targets.

"The UK and Scotland need Orkney and the other island groups to pull their weight in delivering renewable energy projects. The proposed charging model for islands-based developments makes this impossible and Ofgem must use the consultation period to think again."