Government moves to “drastically reduce” the carbon biomass plants can emit in order to enjoy support under contracts for difference (CfD) will make it “harder and more expensive” to drive coal off the grid, the Renewable Energy Association (REA) has warned.
Responding to yesterday’s (30 August) publication of the government’s response to its consultation on the future of the CfD scheme, the REA expressed concern over its decision to cut the emissions threshold for biomass-fired combined heat and power plants.
The government plans to adopt a new greenhouse gas (GHG) threshold of 29kgCO2e/MWh for new biomass CHPs seeking support under the CfD scheme.
This figure is “significantly lower” than the 180kgCO2e/MWh threshold that will apply from 2025-2030 for existing biomass generators under the Renewables Obligation (RO).
It says the weighted average of greenhouse gas emissions for biomass plants under the RO for 2016/17 was 97.03kgCO2e/MWh
Commenting on the reduction in the greenhouse gas threshold for new biomass, Benedict McAleenan, head of the REA’s Biomass UK arm, said: “With this decision the government has undermined its own energy policies by attacking biomass yet again. Just when we need low-cost, flexible power to back up technologies like wind and solar, this decision risks it all. It will make it harder and more expensive to remove coal from the UK power grid.
“Developing sustainable, efficient renewable CHP plants will be much more difficult, despite the joined-up value they provide across heat and power sectors. With no coherent strategy on decarbonising heat, the government is undermining a key option.
“The government is shooting itself in the foot on three key policies: energy bills, heat decarbonisation and carbon capture. A triple whammy.”