Apr 23 2009 The Journal
THE Chancellor’s commitment to pump a further £1.4bn into the renewable and low-carbon industries may be the trigger the region needs to kick-start a major new manufacturing industry, employing thousands of people.
Andrew Miller, CEO of NAREC (the North East Renewable Energy Centre) in Blyth, which is one of the UK’s leading centres for research into wind and marine power generation and distribution, believes this is the type of news that many major wind turbine makers have been waiting for.
The Budget saw the Government commit £525m to offshore wind schemes, with most of these earmarked for the North Sea.
Mr Miller said: “The North East has the manufacturing skills, the deep water facilities, the rivers and the supply chain to support a whole new industry.
“We have been talking to companies for some time, companies that are keen to establish manufacturing facilities in the region and this commitment by the Government will help remove the element of uncertainty that has existed in their minds about the viability of such developments.”
The Government has also committed a further £435m to energy efficiency schemes in homes, businesses and public buildings while committing a further £405m to support low-carbon industries and advanced green manufacturing.
Alan Clarke, chief executive of regional development agency One North East, said: “I welcome today’s Budget, which specifically focuses on backing business in key areas where One North East is supporting growth.
“This includes new and renewable energy – a sector in which the North East has become a hub for development in recent years.
“The Chancellor’s announcement of £525m for the offshore wind sector endorses the region’s on-going commitment to green energy.”
However, a spokesman for the growing North East biofuels industry said there was and good and bad in the Budget.
John Seymour, adviser to North East Biofuels, said: “The target of cutting emissions by 34% by 2020 is certainly headline grabbing, but I don’t believe the Government is incentivising in the right areas.
“It is vital that they extend the 20p rebate for people using biofuels beyond next year.
“This will give the right signs to the industry that the Government understands what is required to assist what is still a brand-new sector.
“It is always encouraging when money is pumped into greener fuels, but it is more important that the end user is encouraged to buy into the product.”
source: www.nebusiness.co.uk
