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Green taxes hit wind turbine makers  

Credit:  By Rowena Mason, Energy Correspondent, The Telegraph, www.telegraph.co.uk 15 June 2011 ~~

Key components for wind turbines such as cement, steel and blade lubricant are becoming too expensive to make in the UK because of green taxes, according the CBI.

Many green taxes are raised to help fund Britain’s attempt to generate a third of its electricity from wind power by 2020. However, the CBI, the business group, pointed out yesterday that many taxes have become “counter-productive”.

Ironically, key parts for wind turbines are produced by industries that require a great deal of energy during manufacturing, such as cement-makers and steel-makers. These heavy industries are being increasingly taxed.

John Cridland, the CBI director-general, called on the Government to exempt struggling manufacturers such as cement makers from the Carbon Price Support, which “risks tipping energy-intensive industries over the edge”.

“We’re already seeing warnings from companies like Ineos that its chlorine plant in Runcorn could become uneconomical under the sudden introduction of the proposed carbon floor price,” he said. “Tata Steel is facing the same problem. One major construction company is now finding it will soon cost less to import its cement from Spain than to produce it at its UK plant. Yet Tata makes the steel that goes into the turbines. Ineos makes the lubrication that helps the blades turn. And we need up to 150 tonnes of cement to generate every megawatt of offshore wind.”

Speaking at the CBI energy conference, Charles Hendry, the energy minister, said: “The UK has a challenging renewables target. We are committed to meeting this and in doing so bring a massive boost to the UK’s manufacturing industries.”

Source:  By Rowena Mason, Energy Correspondent, The Telegraph, www.telegraph.co.uk 15 June 2011

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 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.

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