New figures released this week by industry trade body Scottish Renewables have demonstrated that renewable energy generation is providing almost £20 million of annual revenue to businesses, farmers, landowners, public sector organisations and homeowners across the country.
Revenue is being produced by generating electricity on site and then feeding it into the national grid. Precisely £19.3 million was earned in this fashion over the last year.
Of course this figure is fully expected to increase in the future as more renewable energy developments are completed and more energy is fed into the grid. This upward trend can be seen in the fact that the amount of renewable energy being generated ‘on-site’ (i.e. on business premises or farm land) has tripled over the past five years. A vast variety of renewable energy technologies are being utilised in this fashion; rooftop solar arrays, onshore wind turbines and heat pumps are just a few examples of the technologies being used.
Stephanie Clark, Policy Officer for Scottish Renewables, commented on the news:
“It’s not just big companies who are building renewable energy projects, but more and more private individuals and businesses are taking their energy needs into their own hands by looking to renewables.
“We’ve seen farmers use wind power to generate electricity to make ice-cream, universities using biomass boilers as a heat supply and minibuses powered by biodiesel. In all of these examples they are managing to do three things; lower their energy costs in the future, reduce their carbon footprint and potentially generate income.”
At Intelligent Land Investments (Renewable Energy) we have been helping farmers, landowners and public sector organisations to obtain their own renewable energy developments and realise the potential of their land for several years. With particular emphasis on small and medium scale wind developments and Scotland’s agricultural industry we have erected wind turbines for individuals across the country.
Scotland’s agricultural industry has come under increasing financial pressure over the last few years due to several factors including reforms to the European Unions Common Agricultural Policy payments but predominately due to ever rising energy costs. According to DECC (Department of Energy and Climate Change) statistics the average annual prices for gas and electricity for non-domestic customers have increased by 121% and 93% respectively. The use of ‘on site’ wind generation of the scale suitably appropriate for the average Scottish farm provides access to the UK Governments FiTs (Feed-in Tariffs); a significant and much needed revenue stream. In the past few years experience we have built up here at Intelligent Land Investments (Renewable Energy) we have gained an insight into how much of a difference this can make. Several of the farmers we have helped to progress and complete development stated to us that the wind turbine we delivered was the game-changer that would allow them to continue to operate their business. It was a service we were delighted to give them
Of course, as we have discussed on this blog before, the owner of the land on which a renewable energy development sits is not the only beneficiary from the revenue it brings in. It has long been company policy here at Intelligent Land Investments (Renewable Energy) for all of our renewable energy developments to provide a community benefit to the area in which it is situated. This Community Benefit has generally taken one of two forms. In cases when the Local Authority in which a development is sited operates its own Renewable Energy Fund we turn funding over to the Local Authority to allocate as it sees fit. In many of the Local Authority Areas in which we completed developments the contribution they required was less than the standard amount we provide for our own Community Benefits. In all these cases we provided our full and usual amount. In cases in which the Local Authority has no Renewable Energy Fund (and frequently no requirement for a Community Benefit at all) we entered into partnership with a local charity operating within the Local Authority boundaries. We have agreements with several community charities across Scotland with groups such as East Renfrewshire Good Causes; who provide expertise, support and funding for those in need within the local authority. Here at Intelligent Land Investments (Renewable Energy) our charity partnerships are very much a source of pride.
It should be emphasised that small and medium scale wind turbine developments are not just the preserve of Scotland’s farmers. For example, Stewart Tower Dairy in Stanley, Perthshire, has installed a single wind turbine which has been operational since January. It has already helped the business – which makes ice cream for Harvey Nichols and Gleneagles, among others – offset rising energy costs.
Owner Neil Butler said: “Making ice cream uses a lot of power, for fridges, freezers, compressors, and as we are on a plateau – about 300ft up with good wind speeds – a turbine seemed to make sense.
“The benefit for us is not selling power into the grid, but the offset; we are providing almost half the power we need using the turbine and that is saving us enormous amounts when power bills are rising around 10 per cent a year. When you look at that kind of price rise, on-site renewables look very attractive.”
Scotland’s renewable energy industry has achieved much in a short space of time and we at Intelligent Land Investments (Renewable Energy) have played our part in that process but there is still so much more that can be achieved.