Numerous schemes offering direct support for renewable energy technologies have been introduced during the last ten years by various government departments and delivery bodies. Reflecting their own objectives and remits, each organization has determined its approach and spending on renewable energy technologies.
The watchdog said that co-ordination among delivery bodies has ‘historically been limited’ and there has been no routine collection of information on the spending and delivery by these schemes and their contribution to meeting the 2020 target for renewable energy and the longer-term statutory commitment to reduce carbon emissions.
The NAO found that government-funded direct support for renewable energy technology had totaled GBP265m between 2000 and 2009. This funding is separate from support provided through fiscal and regulatory measures, including the Renewables Obligation, which in 2008-09 provided financial support worth around GBP1bn.
The available evidence suggests direct support has contributed to an increase in renewable energy generation. Industry has had to seek funding from many short-term schemes to support long-term projects, but there is evidence that funding has successfully supported innovation, NAO said.
According to NAO, since taking on responsibility for renewable energy policy in October 2008, the Department of Energy and Climate Change has delivered a renewable energy strategy and it is now developing a supporting delivery plan. This provides an opportunity to improve co-ordination, consistency and the value for money achieved from government funding for developing renewable energy technologies.
Amyas Morse, head of the National Audit Office, said: “The department needs a more strategic approach to delivering government funding for renewable energy technologies. This requires clearer plans, better information, improved co-ordination and a more consistent approach to assessing results. At present the 2020 target looks optimistic.
“The department should complete work on developing its renewable energy plans as a matter of urgency, and agree responsibilities with delivery bodies for implementing the plan.”
