The Renewable Energy Association has again called on government to make an immediate announcement on how it intends to support renewable heat.
Details of the proposed Renewable Heat Incentive (RHI) have been delayed since last year and the continually moving date was “sapping the confidence of potential investors”, the REA said in an open letter to the secretary of state.
“The government has promised to introduce the Renewable Heat Incentive this summer, but we still do not know the details of the mechanism. Numerous projects are on hold, with recruitment frozen in many companies and other companies having to lay-off staff. Uncertainty and delay is damaging the industry and the prospects for the rapid development of green heat.”
“We have seen heating oil prices double in some areas in the last few months as the price of wood pellets stayed constant. We urgently need alternative fuel sources to address fuel poverty in rural communities. Holding back on renewable heat is a false economy.”
The repeated delays meant government was in danger of undermining its own good intentions and the proposals for renewable heating should be published without further delay, it added. The REA expected an announcement within the next fortnight.