SNP ANGER OVER OFGEM ZONAL CHARGES

SNP Energy Spokesperson Mike Weir MP today(Friday) reacted angrily to Ofgem's proposals to introduce locational charges and has urged Ofgem to stop discriminating against small renewable energy producers.

Ofgem has proposed to approve plans to increase charges in remote regions for energy producers, many of which are new renewable generators in Scotland. This ‘zonal loss transmission charge’ will make it difficult for Scottish producers to compete with those in the South, where transmission charges are reduced.

Mr. Weir said:

“Ofgem has yet again proved it is prepared to undermine the Scottish renewable industries through it's mad obsession with the theory of locational charges. Scotland has the potential to be the Saudi Arabia of renewable energy but time and again Ofgem put obstacles in the way, rather than promoting this vital national benefit. If these ludicrous proposals go ahead then future developments in wind, wave and tidal power may never get off the ground.”

“You have to seriously wonder if this is a deliberate ploy to try and make nuclear generation in the south attractive to energy companies.” 

“The present Government claims to be serious about carbon reduction - now is the time for them to prove just how serious they are willing to be and stop Ofgem imposing these ludicrous and discriminatory locational charges on the Scottish renewable industry."