North-south divide threatens green energy investment. A growing north-south divide could risk future investment in major renewable energy projects worth billions of pounds to Scotland, according to a leading industry figure. The concern centres on the way charges are levied for using the GB-wide electricity transmission system which makes it more likely that projects in heavily populated areas will receive backing under a renewable energy subsidy scheme. Adam Morrison, project director of the proposed Moray West offshore wind farm off the Aberdeenshire coast, has now called for immediate reform to address the problem. He argues the current mechanism – known as Transmission Network Use of System (TNUoS) charges – risks making projects that are more distant from population centres prohibitively expensive as it increases costs to generators depending on how far they are from the big demand centres in the south-east of the UK. Higher costs for northern generators makes it more difficult to win subsidy support under the Contract for Difference auction system developed by the UK government where only projects bidding the lowest price to produce power win backing.
Scotsman 10th July 2020 read more »