LOCATION/TYPE

NEWS HOME


[ exact phrase in "" • results by date ]

[ Google-powered • results by relevance ]

Archive
RSS

Add NWW headlines to your site (click here)

WHAT TO DO
when your community is targeted

Get weekly updates
RSS

RSS feeds and more

Keep Wind Watch online and independent!

Donate via Stripe

Donate via Paypal

Selected Documents

All Documents

Research Links

Alerts

Press Releases

FAQs

Campaign Material

Photos & Graphics

Videos

Allied Groups

Wind Watch is a registered educational charity, founded in 2005.

News Watch Home

Rising costs 'threaten green agenda' 

Centrica, the owner of British Gas, is in talks with potential investors about funding for its massive £3bn expansion into alternative energy following a sharp rise in project costs.

The head of Centrica’s renewables division has warned that the economics of the industry have changed radically and government targets for powering Britain on “green” electricity face being blown off course.

Centrica is already building the world’s largest offshore wind farm at a cost of £300m, and is planning another £600m project which, it says, has risen in cost by £100m in just a few months.

News that the country’s biggest backer of wind farms is voicing concern about funding will alarm the Government, which sees this energy source as key to meetings its commitments to reduce carbon emissions.

Sarwjit Sambhi, Centrica’s director of power generation and renewables, said there are some “strong headwinds – financial, in the supply chain and skill shortages”.

He added: “We will have to bring in investment and trade partners on future projects. The balance sheets of the utilities cannot absorb all the increased costs.”

His comments will be seen as an open invitation to infrastructure funds and finance houses to come and talk about partnering Centrica on a variety of alternative energy projects. Mr Sambhi would not discuss rumours that Centrica is in discussions with Riverstone, the private equity firm that has employed ex-BP chief Lord Browne to look at alternative energy investments.

Centrica is considering plans for several wind farms, to be built by 2015, at a current estimated cost of £3bn. But it is worried about how it can plan for long-term investments that could spiral out of control.

The Government has laid down targets for energy companies to build 33 gigawatts of offshore wind by 2020. Three years ago, the industry estimated meeting this figure would mean investment of about £40bn.

Mr Sambhi said the cost today is put at £80bn, adding: “If manufacturers cannot meet the product delivery cycle it threatens the Government’s wind dream.”

By Russell Hotten

Telegraph

17 March 2008

This article is the work of the source indicated. Any opinions expressed in it are not necessarily those of National Wind Watch.

The copyright of this article resides with the author or publisher indicated. As part of its noncommercial educational effort to present the environmental, social, scientific, and economic issues of large-scale wind power development to a global audience seeking such information, National Wind Watch endeavors to observe “fair use” as provided for in section 107 of U.S. Copyright Law and similar “fair dealing” provisions of the copyright laws of other nations. Send requests to excerpt, general inquiries, and comments via e-mail.

Wind Watch relies entirely
on User Contributions
   Donate via Stripe
(via Stripe)
Donate via Paypal
(via Paypal)

Share:

e-mail X FB LI M TG TS G Share


News Watch Home

Get the Facts
CONTACT DONATE PRIVACY ABOUT SEARCH
© National Wind Watch, Inc.
Use of copyrighted material adheres to Fair Use.
"Wind Watch" is a registered trademark.

 Follow:

Wind Watch on X Wind Watch on Facebook Wind Watch on Linked In

Wind Watch on Mastodon Wind Watch on Truth Social

Wind Watch on Gab Wind Watch on Bluesky