future challenges and opportunities for community energy ...€¦ · challenges and opportunities...

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Future challenges and opportunities for community energy: Renewable energy at a tipping point Jake Burnyeat Communities for Renewables CIC (CfR) www.cfrcic.co.uk

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Page 1: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

Future challenges and opportunities for

community energy: Renewable energy at a

tipping point

Jake Burnyeat

Communities for Renewables CIC (CfR)

www.cfrcic.co.uk

Page 2: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

Delablole wind farm 1991

NFFO (1990)

Page 3: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

Subsidies have driven rapid grown in

renewables

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/547977/Chapter_6_web.pdf

RO (2002)FIT (2010)

Page 4: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for
Page 5: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

https://s3-eu-west-1.amazonaws.com/16058-drax-cms-production/documents/Drax_Electric_Insights_Report_2017_Q1.pdf

Nearly 25% of UK elec from renewables Q1 2017

c.9% over the full year of 2016

Page 6: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

http://electricinsights.co.uk/

Nearly 18% of UK elec this morning

Page 7: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

That’s happened despite reducing subsidies

http://www.nesltd.co.uk/

Page 8: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

Because global market grown is driving down costs

http://www.theecoexperts.co.uk/

Domestic solar install costs and market growth

Page 9: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

£ billions invested in UK renewables

www.carbonbrief.org

Where does the money come from and go to ?

Page 10: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

The rise of community energy

communityenergyengland.orgFigs exclude Scotland and NI

Page 11: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

Challenges and opportunities

Challenges

•Revenue subsidy cuts

•Economics marginal

•Planning shut-down for wind

•Grid constraints

•Finance in a post-subsidy market

Opportunities

•Roof-top solar viable where

power used on-site

•Ground-mount solar close to

being viable without subsidy

•Community buy-back of

operational projects

•Low cost finance models and

ISA-based crowd funding

•Local supply models in next few

years

•Storage

Page 12: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

A local energy enterprise in 5 years’ time?

South DartmoorCommunity Energy

Generating a significant

share of the locality’s

energy needs

Supplying homes and

business with electricity

and heat

Storage to help balance

the grid

Advice service to help

people struggling with

their bills

Providing advice and

services to help make

buildings more efficient

Employing local people Low carbon transport?

Funding for local

community projectsReturns to local investors

(inc ISA/SIP)

Page 13: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

Contact

Jake Burnyeat (Director)

[email protected]

f.01326 567 161

www.cfrcic.co.uk

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Page 14: Future challenges and opportunities for community energy ...€¦ · Challenges and opportunities Challenges •Revenue subsidy cuts •Economics marginal •Planning shut-down for

About CfR CIC

Not for profit CIC providing:

• Local energy enterprise set up and strategic advice

• Renewable energy project development support

• At-risk investment to fund development costs

• Finance raising commercial advice and management

• Asset management and company admin support

Experience includes:

• Worked with over 20 local energy enterprises, mostly in the South

West

• Helped deliver £30 million of community solar over last 2 years

• Advised local authorities and social landlords on renewable energy

business models, project development and financing

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