Hope for a fair transition from fossil fuels that puts power in the hands of communities has received a boost with the release of the government’s Local Power Plan (LPP) today. The much anticipated plan sets out how the government will use £1bn of investment to support community energy groups to manage and finance renewable energy projects. By 2030, the aim of the LPP is that “every community in the UK will have the opportunity to own a local energy project.”
So how is it doing that? The £1bn investment, “the largest public investment in community energy in this country’s history”, will be delivered through a combination of “grants, loans, advice, expert help and more” through the publicly owned clean energy company Great British Energy. It supports the growth of “local power”- in other words, local ownership of renewable energy projects through community groups like Bristol Energy Cooperative, rather than big energy companies. This approach means local control over projects, lower bills for local energy users, and keeping the financial benefits local, by channelling profits back into community projects. Local power projects can also create local jobs and strengthen energy security by reducing exposure to volatile fossil fuel markets.
The plan promises to directly support over 1,000 local and community energy projects by 2030. Importantly, GB Energy also commits to moving forward policy and regulatory changes to support local energy over the long term, such as price mechanisms that recognise the benefits of generating energy close to where it’s used.
What does it mean for Bristol? Since 2011, Bristol Energy Cooperative has built 25 solar projects with a combined capacity of 12 Megawatts, including 23 rooftop solar arrays on buildings like Great Western Air Ambulance Charity, Bristol Beacon, TBY2 and Easton Community Centre. These projects generate enough electricity to power 4,500 homes a year with revenues supporting local projects that keep our city thriving. We’ve achieved this despite regulatory obstacles over the years and lack of government support.
The Local Power Plan is a great step to addressing some of those challenges, and is a clear appreciation of the benefits of community energy. With the right framework in place, there is so much more we can do to achieve our mission to build a fairer, greener energy system – owned by the people it serves.
