Business

Wind power sector 'worth £32m annually' industry body claims

The wind farm sector contributes £32m to the north's economy a year, NIRIG has said
The wind farm sector contributes £32m to the north's economy a year, NIRIG has said

THE onshore wind industry contributed £32 million to the north's economy last year, according to the sector's representative body.

The Northern Ireland Renewables Industry Group (NIRIG) said the industry supported hundreds of jobs and said the economic payoff was greatest in areas where windfarms are situated.

Earlier this month, the DUP's Jonathan Bell announced plans to stop the current system of subsidising onshore wind farms a year earlier than expected in one of his brief stints as enterprise minister that have characterised the ongoing political impasse.

The Northern Ireland Renewables Obligation (NIRO) will run out in April 2016 with the north being brought into line with Britain.

Mr Bell had previously said he would not fall in with plans from the Department of Energy and Climate Change (DECC) to shut the scheme.

However, DECC told Stormont’s Department of Enterprise (Deti) any additional cost for keeping the scheme open would have to be borne locally – with the ultimate cost falling to consumers.

Lobbyists in support of the renewable sector argue moving in line with the British system will put government targets for achieving 40 per cent of electricity renewables by 2020 in jeopardy.

It means projects in the north will have to compete alongside those in Britain for a share of money, rather than a blanket subsidy for all.

In its report NIRIG said "In Great Britain, the new support system for renewable electricity, the Contract for Difference (CfD), will bed in, although recent announcements have created uncertainty around teh role of onshore wind with in the CfD scheme.

"The CfD scheme will run for 10 years from April 2015, with a budget of £15 billion. Selected individual projects will be able to receive support for up to 15 years."

NIRIG policy and communications coordinator Meabh Cormacain said the body's report "makes a compelling case for the on-shore wind sector".

"Renewable energy is not only 'the right thing to do', it is in the economic interests of Northern Ireland, to the tune of over £32 million last year alone," she said.

"Over 530 jobs are supported both directly and within the supply chain from the industry. Many local communities, particularly west of the Bann are benefitting from local jobs, as well as community funds and rates going back into the local economy.”

Ms Cormacain said the sector had grown and played "a vital part of ensuring that Northern Ireland reaches its renewable targets".

"Whilst it is cheaper than other renewable sources, its sustainability will rely on tapered support so that by 2020 it will become cheaper than new gas generation and therefore competitive on a cost basis for consumers and businesses alike," she added.

“Today more than ever, you can stand at the base of a turbine in Northern Ireland and be confident that the majority of investment flows back into the local economy.”