WSHPDR_2013_Final_Report-updated_version

how the present rate of development could be
accelerated.
Renewable energy policy
In July 2012, the White Paper on electricity market
reform (EMR) was published. 4 The EMR shall ensure
security of supply through the provision of a diverse
range of energy sources, including renewable, nuclear,
carbon capture and storage equipped plants, unabated
gas and demand side management. It shall ensure
sufficient investment in sustainable low carbon
technologies and put the United Kingdom on a path to
achieve its 2020 renewable energy targets (15 per cent)
as well as its long-term targets to reduce carbon
emissions by at least 80 per cent by 2050. 5 6
The Renewables Obligation (RO) came into effect in
2002 in England, Wales and Scotland and in 2005
Northern Ireland. It places an obligation on the UK
electricity suppliers to source an increasing proportion
of electricity they supply to customers from renewable
sources. Renewables Obligation Certificates (ROCs) are
green certificates issued to operators of accredited
renewable generating stations for the renewable
electricity they generate. They are available for plants
with a capacity over 50 kW except in Northern Ireland.
ROCs can be traded and are used by suppliers to
demonstrate that they have met their obligation. ROCs
are due to be phased-out in 2027, a recent review of the
ROC banding system proposed that hydro should, from
2017 onwards, receive only half the ROC value per MWh
than it enjoys at present.
Legislation on small hydropower
FITs were introduced to the United Kingdom, with the
exception of Northern Ireland, in April 2010. They are
available for renewable energy projects up to 5 MW
capacity. As a result of the Government spending review
from late 2010, the FIT system is being subjected to an
early review. In January 2012 the DECC started a
consultation about a revised FIT system, the results
were recently announced with new tariffs applicable
from April 2013.
Although the proposed 2013 tariffs for hydro (per kWh)
are reasonable, as shown below, these are subject to
whether degression as targets set by DECC are met,
which is creating a rush for development and does not
encourage sustainable growth of the industry: 7
up to 15 kW: 21.65 p/kWh (US$0.334)
15-100 kW: 20.10 p/kWh (US$0.310)
100- 500 kW: 15.50 p/kWh (US$0.239)
500-2,000 kW: 12.48 p/kWh (US$0.193)
2,000-5,000 kW: 3.23 p/kWh (US$0.0498)
Barriers to small hydropower development
It is clear from the EU Water Framework Directive
(WFD) what the permitting areas are, however little is
clear or understood about the Directive on the
Promotion of the Use of Energy from Renewable
Sources (2009/28/EC and its subsequent amendments).
It could be that WFD has a direct impact on whether a
hydro scheme is to be developed or not, but the
renewable energy sources Directive is theoretically a
national target for renewable energy development and
have very little impact on individual schemes. The
Department for Food and Rural Affairs (DEFRA)
administers the WFD in the UK. It is never clear if DEFRA
and DECC consider the conflict between the two
Directives with regard to hydropower development, or
not. DECC is certainly involved in the development of
guidance on water abstraction at the working-group
level.
Residual flow regulation exists in England and Wales
(following the UK Environment Agency’s Good Practice
Guidelines to the Hydropower Handbook, published in
August 2009), with values varying from Q95 i to Q85. In
Scotland the default residual flow is Q95, but each
project must be reviewed individually. The Scottish
Environmental Protection Agency (SEPA) published
Guidance for Applicants on Supporting Information
Requirements for Hydropower Applications in December
2010. In Northern Ireland, the default residual flow
value is Q95 but under certain categories of river and
river protection, it can be Q80. The Northern Ireland
Environment Agency published Guidance for Run-of-
River Hydropower Schemes in Northern Ireland in July
2011. The Environment Agency’s guidance is currently
being reviewed to look at various flow options for
hydropower and to include more details for high head
applications.
The major issue on the development of environmental
guidance for hydro and the permitting process is the
opposition to hydropower by a very strong angling lobby
throughout the United Kingdom.
Major issues which affect hydro developments are:
Environmental concerns regarding e.g. fish
passages.
In England and Wales, there is a growing
requirement for ‘splitting’ the flow above residual
flow values between the hydro scheme and the
river. This is being consulted on and reviewed by a
working group comprising the Environment Agency
and stakeholders (DECC, hydro and angling).
Initially, no evidence for flow splitting is apparent.
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