PROGRESS ON GREEN ELECTRICITY CHARGING

PROGRESS ON GREEN ELECTRICITY CHARGING

SNP Member of the European Parliament Alyn Smith has today (Wednesday)
hailed reports that National Grid experts are working on a new model of
transmission charging which could see grid connection costs for renewable
operators halved as a major step forward in resolving the thorny issue of
locational pricing.

Mr Smith, who met with stakeholders in Brussels this week to discuss the
ongoing European Commission investigation into the UK's model of
electricity transmission charging which disadvantages renewable
developments in Scotland, has also welcomed a consultation by National
Grid into "Charging for Island Connections" and urged Scotland's islands
to get involved.

The discussion was joined by Irish MEPs as there is a knock on impact from
UK pricing into the Irish and EU market.

Commenting on National Grid's new proposals SNP MEP Alyn Smith said:

"The locational pricing regime for energy is holding back renewables
development in Scotland, but I am heartened by the real willingness to
discuss the issues.

"I was particularly pleased to hear the National Grid representatives
mention that they are working on a new interpretation of the regime which
would see costs for wind, and I take it other renewable generators,
halved, given that the renewables sector operates to a different and
differing load factor.

"I have today written to National Grid asking for more details of this
scheme and when we might see it rolled out as this is a major step forward
and indicates just how fast I suspect this agenda is going to move, when
movement comes.


"As for the locational charges I hope the Commission will take a sparkier
attitude toward this investigation than they have to ward others.

"If the legislation is delivering perverse outcomes then the legislation
needs to be viewed in a new light, or scrapped altogether. Crucially,
there was agreement around the table that none of the present rules we are
trying to negotiate are set in stone.

"The fact is, if we are serious about the economic benefits of Scotland's
green energy enlightenment, then we need to knock down the barriers
holding us back. There remain a number of steps to go in this campaign
but I was genuinely heartened to see the willingness to discuss, and all
parties went away from the meeting in the certain knowledge that this
issue is not going to go away."