The Energy Bill is "cause for concern" for the renewable sector, a survey by the Renewable Energy Association (REA) has revealed.

More than half (51 per cent) of 68 renewable executives who responded believe Contracts for Difference (CfD) will not be effective in bringing forward new renewable power capacity.

The lack of a decarbonisation target in the Energy Bill sends a poor or a very poor signal to investors according to 69 per cent of the executives, while only 4 per cent rated the UK’s chance of meeting its 2020 15 per cent renewable energy target as good or excellent.

Gaynor Hartnell, REA chief executive, said: “Mixed messages remain a problem and industry needs policy certainty and political consistency.”

This uncertainty has been caused by “conflicting signals” coming out of the government, and doubts over whether the coalition has a unified position on the future energy mix.

One respondent said: “There is also doubt that the government is convinced that renewable have a long term role to play, and a widespread belief that HM Treasury has the upper hand in determining the ultimate rate of market adoption of renewables.”

This has led to the UK “falling behind other countries in Europe and Africa in terms of attractiveness for investment,” according to Tim Jackson, geothermal development manager at consultancy firm Sinclair Knight Merz.