Renewable group responds to Industrial Strategy
13 Sep 2012
The Renewable Energy Association’s head of external affairs Leonie Greene comments on BIS Secretary Vince Cable’s strategy for the future development of the UK economy:
Energy is identified in one of three target categories for support, with an industrial strategy for energy expected in ‘early 2013’.
The category is identified as ‘enabling’ and the accompanying BIS analysis says strategic partnerships with the energy sector are ‘likely to be highly beneficial to the growth agenda’.
It is helpful that Vince Cable understands a successful approach to infrastructure investment requires a long-term perspective. The Olympics is a brilliant example to draw lessons from. It was supported by a cross-party consensus, something the renewables sector and the public would greatly benefit from, because certainty reduces costs.
The REA is urging the Coalition Government to join up the renewable energy agenda with the pressing national need for jobs and growth.
The renewable energy sector and its supply chains turned over £12.5 billion in 2010/11 with weighted average growth from 2009 to 2010 of 11%, far higher than GDP growth over this period.
Public support for renewables during 2010 amounted to £1.4 billion in 2010, showing how successful the renewables sector is at leveraging private investment.
REA analysis suggests that meeting the binding 2020 renewable energy targets will require up to 400,000 highly diverse jobs by 2020. However, BIS’s own ‘Skills for a Green Economy’ report makes clear there is a risk of market failure in employment in the renewables sector.
The Secretary of State has highlighted the serious shortage of engineers, an issue which concerns the renewables sector.
The REA has called for a dedicated skills strategy for renewables to address expected skills shortages, and for a Minister with responsibility for renewables at BIS.
This is a step forward by BIS, but the Coalition Government could inspire the nation right now with a much bolder vision for jobs and growth right across the renewable energy sector.
Given huge public support for renewables and the tremendous opportunities this sector opens up for the UK economy, it’s frustrating that parts of Government have been allowed to muffle an exciting agenda that should be shouted from the rooftops.
