Donate SIGN UP

Turbines funded by high energy prices

16:36 Mon 24th May 2010 |

Since the recession has taken hold many people have quickly forgotten about the troubles of global warming, instead looking to the financial crisis that has grabbed headlines over the past year.

The views of the UK's energy and climate change secretary, David Miliband, are totally clear and he has outlined his plan for the future of renewable energy, such is the commitment to greener power.

Responding to questioning from an activist group, Mr Miliband argued that it should be "socially unacceptable to be against wind turbines in your area - like not wearing a seatbelt or driving past pedestrians at a zebra crossing".

However, while those who oppose wind farms and solar panels on aesthetic grounds may be quickly decreasing, it's likely that a new breed of opponents are due to emerge in their place, namely those who are broadly in favour of such schemes but are reluctant to foot the bill for them.

Under the government's green energy plans, as many as 7,000 on and offshore wind turbines are to be built over the next 11 years, with an estimated £100 million invested in renewable power.

This news has been welcomed by campaign groups for greener energy, who want to see the number of windfarms in the UK nearly double in number over the next few years.

A spokesperson said, "It is important to invest in these renewable energy products now before it is too late. It has been recognised that the polar ice caps will begin to break free within the next 20 years, and while we may not be able to stop some of the damage being caused now, we can certainly put a halt to any damages that might occur over the next 100 years."

However, while this is expected to create thousands of jobs, it is feared that taxpayers will be forced to stump up the money to meet the EU-wide targets for carbon emission reductions, thereby making switching utilities suppliers more relevant than ever.

Mr Miliband himself has acknowledged that the typical energy bill is likely to rise by £92 by 2020, though some observers believe this to be a very conservative estimate.

According to the UK Energy Research Centre, the annual increase could be as much as £230, meaning even those households who shop around and switch utilities suppliers to get the best deal face a combined gas and electricity bill of around £700 by 2050.

However, just as how many consumers are willing to pay a bit extra for fair trade goods, perhaps, in a few years' time, households will be willing to pay the price of renewable energy, with their pockets taking a hit for the sake of their children and their children's children.

Do you have a question about Business & Finance?