Councils poised to sell electricity (From Hampshire Chronicle)

Councils poised to sell electricity

6:12pm Wednesday 1st September 2010 in

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HAMPSHIRE County Council could soon start generating cash from its green energy projects.

New Government rules have been introduced which could see the authority selling electricity back to the national grid.

Local authorities are no longer restricted from selling renewable electricity.

Councillor Mel Kendal, executive member for environment, said: “We welcome plans to allow local authorities to develop heat and electricity from all forms of renewable sources, and strongly support the power to sell the electricity we produce from all renewable forms of generation.

“Against a backdrop of increasing pressure to reduce carbon emissions whilst satisfying our need for energy, there will be a greater focus on the development and construction of new facilities.

Cllr Kendal said the rule change would boost investment: “Having the ability to sell our own generated electricity - instead of through an energy supply company - would really help us to invest in cleaner and more efficient generation technologies. The benefits for Hampshire include ensuring energy security and reducing our vulnerability to future price increases.”

Chris Huhne, secretary of state for energy and climate change and MP for Eastleigh, said: “For too long, Whitehall’s dogmatic reliance on ‘big’ energy has stood in the way of the vast potential role of local authorities in the UK’s green energy revolution.”

Mr Huhne said: “Forward thinking local authorities such as Hampshire have been quietly getting on with it, but against the odds, their efforts frustrated by the law.

He added: “I’ve taken the early step of overturning the ban on local authorities selling renewable electricity to the grid.I’ve today written to all council chief execs urging them to take advantage and lead a local energy revolution.

“This is a vital step to making community renewable projects commercially viable, to bring in long-term income to benefit local areas, and to secure local acceptance for low carbon energy projects.”