Subsidy for Scottish sea power

The Government has agreed to subsidise the commercial development of wave power for the first time. Three projects to generate electricity from the sea are among the 53 announced by Scottish Secretary Donald Dewar last week in the third order of the Scottish Renewables Obligation. The three projects will produce electricity at 5.9p to 7p […]

The Government has agreed to subsidise the commercial development of wave power for the first time.

Three projects to generate electricity from the sea are among the 53 announced by Scottish Secretary Donald Dewar last week in the third order of the Scottish Renewables Obligation.

The three projects will produce electricity at 5.9p to 7p per kilowatt hour, compared with 1.89p for the lowest-cost wind project chosen in the order.

The Government had previously maintained that wave power was too expensive. But Dewar said the bid prices were lower than expected and he was ‘keen to help the technology gain a foothold in Scotland’.

The Government will publish the full list of projects once they have signed contracts with Scotland’s two power distributors.