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11 Feb 2011 10:02:01

Review of onshore wind funding announced

Review of onshore wind funding announced
Energy minister Charles Hendry has laid out plans for the development of onshore wind, including a review of subsidies for the technology.

Mr Hendry said a full review of the cash available for onshore wind development is set to take place, claiming the "funding mechanism must reflect reductions in costs".

He said although the technology is the cheapest large-scale renewable energy solution, "subsidies will not make it attractive to put windfarms in unsuitable locations".

Speaking ahead of a Westminster debate on onshore wind, he also said communities which host wind farms should see "direct financial benefits", claiming the advantages of renewable energy projects are currently unclear to local residents.

"We also want to see direct financial benefits through greater community ownership of windfarms and why we have committed that business rates should be kept locally for renewable energy developments," Mr Hendry said.

The government recently gave the go-ahead to a new offshore wind development off the Holderness Coast, the first to be approved since 2008.

E.ON's Humber Gateway farm will contain up to 77 turbines and will be capable of producing enough energy to power 150,000 homes. ADNFCR-1235-ID-800399426-ADNFCR

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