SCOTTISH ENERGY PRODUCERS FACE “DOUBLE WHAMMY” OF CHARGES

BRECHIN BRANCH MOTION PASSED BY SNP CONFERENCE 

At the party’s annual conference at Aviemore this week Brechin branch of the Scottish National Party were successful in moving a motion opposing the plans by Ofgem to introduce “discriminatory” transmission and distribution charges on Scottish electricity generators.

Moving the motion Mike Weir MP, who is the SNP Westminster Spokesperson on Energy, strongly condemned the proposals as a “double whammy” on Scottish energy producers.

“Ofgem charge generators for access to the national grid based on location, which means that electricity generators in Scotland would see charges rise from £5.44 per kilowatt hour to around £20 whilst generators in the south of England would effectively get a subsidy of around £9 per kilowatt hour. This is patently unfair and would seriously undermine the prospects of generators in Scotland.”

“Not content with this Ofgem now propose a double whammy of introducing zonal distribution charges which would mean that generators in Scotland would also have to pay a much higher price to actually transmit their electricity  over the national grid. This is utterly unacceptable.”

“These proposals would undermine the huge potential that Scotland has in renewable energy generation. It is, perhaps, not a coincidence that these charges are being proposed at a time when the UK government is ditching its target to produce 20% of our energy from renewable resources by 2020.”   

Seconding the motion Brechin Councillor Mairi Evans pointed out that the charges would not only effect renewable generators.

“Scotland has been described as the Saudi Arabia of renewable energy and that will be at serious risk due to these charges. “

“It is not only renewable generation that will be hit however, the distribution charges will also hit all  forms of generation which means that the Peterhead power plant, the most advanced gas plant in Europe, will also face discriminatory charges to get its energy to market.”

“Ofgem are following a ludicrous policy based on a daft economic model which will seriously damage Scottish energy production.”  

The motion was passed by a huge majority.