UK govt said to be planning reset of green support

The UK renewable energy industry is facing further support cuts as the government is said to be planning a "big reset" of green subsidies.

According to a cabinet source cited by local media on Friday, there is a hardening view in the government that green subsidies, which increase energy bills, should be dealt with.

Renewable energy subsidies were discussed by the government's most senior ministers at their latest weekly meeting, the BBC said.

After already announcing an early end to onshore wind subsidies, the government is expected to review all green energy support, with the solar sector particularly braced for subsidy cuts, Daily Mail said. An announcement about the "reset" is expected within weeks. According to the paper, the government plans a nuclear and gas expansion and could ditch the tidal lagoon power scheme off the Swansea coast.

In response to the news, the Renewable Energy Association's (REA) head of external affairs, James Court said that technologies such as solar, biomass and onshore wind are the cheapest to cut emissions in the most cost effective way. "Solar is the closest to grid parity, and we need to ensure it has a smooth transition to post-subsidy, not a cliff edge that threatens the industry, the cost reductions and investor confidence," Court added.

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