Extracts from the March-April 2003 edition of Renew
These extracts only represent about 25% of it

11. Energy Choices the Numbers Game

You pays your money....

Renewables If the UK raises its target for renewable energy output to 20% of electricity by 2020 then the system costs could grow by £150- £400 million a year, according to the ILEX consultants in a study for the Department of Trade and Industry. It claimed that the main factor pushing up the costs is the unreliability of renewable energy, especially wind power, which means more investment would be needed in short-term balancing and in gas-fired power stations to ensure security of supply. "Wind can make (only a limited contribution) to system security because of...the risk of low wind speeds across the whole country for prolonged periods," said the report- a claim echoed by Prof. Laughton- see below.

Other costs include extending the grid if wind farms are built in remote locations off north-west Scotland and Wales. ILEX said boosting renewables use even further to 30% of the UK’s power needs could increase costs by a further £200-£500m p.a.. The ranges reflect assumptions about whether use is made of more predictable energy sources, such as biomass, and building less reliable wind farms closer to consumers, which would cut transmission costs.

...and takes your choice

Nuclear A new programme of nuclear power stations in the UK is likely to need on-going public subsidies of more than one billion pounds per year, a leading Labour pressure group reveals in a briefing sent to MPs. Using a combination of official forecasts and nuclear industry requests, SERA- the Socialist Environment and Resources Association- has calculated the total sum required to subsidise a new reactor programme, should the Government adopt such a policy in its forthcoming energy White Paper.

SERA estimates that, at the height of the programme, between £900 and £1800 million per year would have to be provided to close the gap between the cost of new nuclear output and prevailing wholesale electricity market prices.

The calculation is based on a nuclear industry request for a guaranteed 25% market share ("replace nuclear with nuclear"), and that this electricity will cost between 3 and 4 p/kWh, the value concluded by the Cabinet Office energy review last year. Such subsidies would need to be maintained over most or possibly all of the of stations’ lifetime.

SERA called on Ministers to rule out a new nuclear programme and to focus instead on the accelerating the deployment of renewable and energy efficient technologies. SERA adds that the Government has so far failed to provide a comprehensive cost-benefit analysis of the various options under consideration.