REG says its 38 MW of wind entering construction should get RO

UK firm Renewable Energy Generation Ltd (LON:WIND), or REG, said Monday its 38 MW of onshore wind projects that are currently moving into construction should be eligible for proposed grace periods under the Renewables Obligation (RO) scheme.

The UK government last week announced plans to close the RO to new onshore wind farms one year early, from April 2016.

The five projects are the 4-MW French Farm, 4-MW Rodbaston, 6-MW Brackagh Quarry, 12-MW Mynydd Portref and the 12-MW Hallburn Farm wind parks. Earlier this month, REG said it had ordered 19 Gamesa wind turbines for the parks. Once completed, the five wind farms will boost the company's annual wind energy output by about 92,000 MWh to 183,000 MWh, according to the announcement.

With respect to solar, REG said that construction of its 2.6-MWp Mendennick solar project was underway, while its 12-MWp Netley solar project was moving to procurement under its contract for difference (CfD).

"Onshore wind remains the lowest cost, readily deployable renewable energy technology, embraced by over two thirds of the UK public. We continue to believe it should play an important role in decarbonising energy generation at the lowest cost to the consumer," said REG chief executive Andrew Whalley.

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