It includes the retention of current rates for hydro, reductions in support for onshore wind and biomass, and a proposal for higher support for offshore wind.
Announcing the proposals in a statement to Parliament, Mr Ewing said the Scottish Government's desire was to keep Scotland's Renewables Obligation as consistent as possible with the rest of the UK – but that there are areas where we believe that a different course of action is necessary and in Scotland's interests.
Mr Ewing made the following announcements:
•Support for hydro generation will remain at one Renewable Obligation Certificate (ROC) per Megawatt Hour, not the 0.7 as proposed in the rest of the UK.
•Proposals to consult upon and introduce a new band for innovative offshore wind deployment in deep waters.
•Removal of support from April 2013 for wood-fuelled (biomass) stations with a total installed capacity greater than 10 MW, and which don’t capture and use the heat produced. This will not apply to stations which already had planning permission before the consulation was published.
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•As announced in July, support for onshore wind will be reduced by 10 per cent. The band will remain at this level until 2017 unless new evidence on costs emerges, delivering certainty for investors.
Mr Ewing said: "The results of the Renewable Obligation review I am announcing today are vital to continued investment in renewables generation across Scotland, and will enhance still further our competitive advantage in this area.
"Over the last decade the Renewables Obligation has helped to almost triple renewable output in Scotland, and attract around £2.8 billion of investment since 2009, according to industry figures. This increase has protected Scotland’s environment and Scottish consumers. There are presently around 11,000 jobs in the renewables sector in Scotland and with successful development of our resources that will increase massively. Estimates suggest that the RO currently costs domestic consumers between £15-£20 a year, rising to £50 per year by 2017. But renewable energy can protect consumers from higher costs – estimates suggest that bills in 2020 will be £94 cheaper with renewables and energy efficiency policies than without.
"We consulted extensively before this review, and we have listened. Scotland has a proud and world renowned heritage in hydro power generation, but future developments will be on a smaller scale and more challenging. That is why we are retaining the current level of support.
"Scotland has huge offshore wind potential, but a lot of that resource is in far greater water depths than elsewhere in the UK, which is challenging and costly to exploit. That’s why I have announced our intention to consult upon and introduce a new band for innovative ways to deploy offshore wind in Scotland’s deeper and more challenging waters."
(CD/GK)
