It’s such a relief to see the back of zonal pricing.
The UK renewables market is going through a number of changes at the moment. Inevitably change brings uncertainty and challenges the investment case.
As a land, planning and development consultancy specialising in supporting project promoters in the renewables space – in particular with our work in new site origination – Blackhall & Powis have excellent insight into the appetite for new investment in the market at a macro level.
We’ve seen a level of caution applied to projects, most notably for clients at the more risk-averse end of the market.
There is a general acceptance that the “first come, first served” approach to grid connections is outmoded and does not take account of the varying complexity of project consents and land agreements for different technology types.
Connections Reform (TMO4+) and Clean Power 2030 (CP30) will deliver a “first ready, first connected” model which will focus on requisite land, planning, energy density and strategic requirement. This is a welcome change which will give meaningful, sensible connection deadlines for projects.
The changes are imperfect. In particular I believe the geographic capacity targets applied by CP30 do not align with permitting challenges, and this will be borne out by the results of the Gate 2 process later this year.
However, the direction of travel from these changes is both necessary and will improve the investment case for projects. There is general acceptance that the resultant model will be an improvement following these changes.
I don’t claim to be an expert on electricity market structure, and for that reason have felt a little helpless on this subject.
Zonal pricing was designed to address the imbalance in energy costs from a consumer perspective. From a project developer perspective – gained from discussions across the industry – the effect would have been a hammer blow to the business case. Massive depletion in renewable project development. Huge reduction in one of the country’s leading industries.
As one industry veteran put it to me, we’ve waited for years for a replacement to TNUoS and managed to find something worse.
As a consultant supporting a large number of developments, unashamedly reliant on continuing investment in the market, I’m delighted it has been put to bed and we can focus on the business of supporting the next wave of renewable energy projects.
If there’s one event on the renewables and green energy calendar that we look forward to each year, it’s All Energy.
And it’s not just because it’s on the doorstep of our head office in Glasgow, honest! All Energy is the UK’s largest low-carbon energy and renewables industry event.
The conference and exhibition, held on 14-15 May, was the biggest so far, not just for the event but for us at B&P too.
This year we took a stand and more of our team than ever, with about 25% of our staff attending across the two days. We had representation across our teams from our Land Information and GIS team, Onshore and Offshore, Networks (Scotland and England teams), Marine and Fisheries and Planning, showcasing the increasing breadth of specialist consultancy services we offer to support this dynamic sector.
With over 13,000 people attending the event over two days, it is of course a huge opportunity for us to see and hear what’s happening in the industry and connect with both existing and potential clients, collaborators and even sometime competitors!
It’s also a great chance for our team to continue their development, something we care deeply about, so we make sure that the exposure and opportunities are shared across as many of our team members as possible.
Highlights for us were the buzz and busyness at our stand, where we always try to create a relaxed, welcoming atmosphere. It’s important for us to get across to potential clients and partners, not just our broad range of skills and services, but a flavour of the B&P culture which we hope everyone who stopped by to hang out with us enjoyed. We love a good chat and there was plenty of that across the two days.
There was a real focus on both the challenges and opportunities in the energy transition. From decarbonisation strategies, tackling net zero targets to the future of green tech, there was no shortage of ambition and innovation on display. Something we at B&P love to see and share in.
We were also thrilled to host some of our industry colleagues at a sponsored drinks event in partnership with Gael Energy on Wednesday evening. And there’s plenty to toast, in this rapidly growing and shifting sector there may be noticeable shifts in some of the conversation topics but there was plenty of exciting discussion about potential new opportunities and collaborations in the UK and beyond which we’re looking forward developing over the coming months and years.
With our own business having grown exponentially since launching in 2017 and significant expansion continuing this year to offer even more specialist, innovative services, we are perfectly placed and now All Energised to grasp those upcoming opportunities.
Missed catching up with our team at All Energy this year? No worries, get in touch for a chat Info@blackhallpowis.com