Grandfathering guarantees generators will receive the same level of support throughout their Renewables Obligation (RO) lifetime, regardless of changes to the support levels after banding reviews. The RO requires licensed electricity suppliers to source a specific percentage of the electricity they supply from renewable sources. For each megawatt hour of renewable energy generated, a tradable certificate called a Renewables Obligation Certificate (ROC) is issued.
Currently, biomass projects are not grandfathered under the RO, which the renewables industry claims has caused around £13 billion worth of project proposals to get locked in planning due to a lack of confidence in support levels.
As a result, DECC's consultation document, published late yesterday (March 31), proposes grandfathering AD and EfW plants accredited by 31 March 2013 at the current Renewables Obligation Certificates level.
For a more details on the grandfathering consultation, see this NewEnergyFocus.com story.
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