Nine months ago we launched our Leading Lights report which set out nearly 30 case studies to illuminate the common sense steps local authorities can take to boost solar power, as well as the more trailblazing initiatives. The case for action today is overwhelming; the United Nations and International Energy Agency are sounding the alarm on the urgent need to accelerate renewable energy investment to avert dangerous climate change. The warnings were sharply underscored by a summer of record temperature extremes globally, accompanied by unprecedented wildfires and flooding. At the same time, the pressures on local government to secure stable sources of future revenue are now painfully apparent and here the improving economics of solar could help. The good news is that, despite turmoil in Westminster and a worrying decline in clean energy investment, 2018 saw some dazzling solar initiatives and policy breakthroughs that put local authorities in a powerful position to make the difference. Solar farm pipeline defrosts Initiatives launched since our report was published have confirmed that local government is waking up to the sheer scale of the solar opportunity, with some spectacularly ambitious new examples. As we anticipated, the solar farm development pipeline is starting to move again in the UK after being frozen out of clean power auctions (Contracts for Difference) for nearly four years. That’s because the economic stars are at last aligning, assisted in the short-term by a global glut of modules, and local authorities have been leading the way. In October, West Sussex opened the first solar farm in the UK without public support at Westhampnett. The 7.4MW scheme is also the first solar farm featuring large onsite battery storage to be publicly owned and more are planned for next year including a battery storage facility.
Warrington Council stunned us in the same month with its approval of a £59 million investment for two large solar farms, with a combined output to meet the entire power needs of the council estate. The scale of this investment is more than three times our top solar investor council to date; Forest Heath in West Sussex. One of Warrington’s 27MW solar farm will be based in Hull and the other 37MW farm, with battery storage, will be in York, with power sleeved back to Warrington. Both schemes have been signed off and will be operational next Autumn. While the primary driver for the council was the low-carbon imperative, the investment will also help to provide stable energy costs, saving around £1 million per annum – vital for supporting hard-pressed frontline services. We urge local authorities to look very carefully at the opportunities presented by solar farms, where they are in a truly exceptional position to establish attractive and secure Power Purchase Agreements (PPAs) from either commercial or their own solar developments for their extensive estates. Our new analysis on the economics of large-scale solar released before Christmas shows that LCOE costs are even lower than BEIS anticipated in 2016 at, on average, around £50-£60MWh (albeit with frustratingly notable variation on grid connection costs). Next year the Solar Trade Association will be doing significant work on PPAs, where the market is expected to recover, with an estimated 600MW of new market-competitive large-scale capacity expected to be delivered in 2019. Higher local new-build standards gather pace Leading Lights quoted Ministers in the House of Lords in 2017 clarifying that local authorities are able to set higher new build standards. Any councils that were still nervous about flexing their muscles on new build should
Volume 25.6 | GOVERNMENT BUSINESS MAGAZINE
Written by Leonie Greene, director of New Markets, Solar Trade Association
If the public sector learns from the most dazzling solar initiatives of 2018, it could spark a bottom-up solar revolution in the new year, says the Solar Trade Association’s Leonie Greene
Facilities management
Leading Lights outshine the gloom
now be firmly reassured by the government’s response to the National Planning Policy Framework (NPPF) consultation in July 2018 which states that: “The Framework does not prevent local authorities from using their existing powers under the Planning and Energy Act 2008 or other legislation where applicable to set higher ambition. In particular, local authorities are not restricted in their ability to require energy efficiency standards above Building Regulations.” We urge all local authorities to take note of this and we strongly recommend councils who have not already implemented higher new build standards look at the new policies by Milton Keynes Council going through the approval process. The impressive Plan:MK policies include a 20 per cent reduction in carbon emissions from onsite renewables, on top of a 19 per cent carbon reduction over national building standards. The proposals are currently with the Planning Inspector, with a final report likely in January and adoption likely in March. As we demonstrated in Leading Lights, some councils are already requiring specific developments to be built to zero carbon standards today. This attractive EcoTown development in Bicester, a multi-phase development, led by Cherwell District Council, features homes built to produce zero or negative emissions (meeting a minimum of what was the Code for Sustainable Home level 5). The homes pictured were developed this year in phase 2 of the build by developers Hill and they feature solar arrays from 2.5kW to a very chunky 5.5kW with integrated panels by Viridian Solar and installed by Photon Energy. It makes economic sense to make full use of the roof space for solar, and indeed, to consider optimising solar potential at the design stage. While all improvements in building energy performance standards are welcome, it has long been a source of frustration in our industry to see a token solar installation on a new rooftop, when it is relatively little extra cost to deliver a good sized scheme. Our technical paper Solar for Housebuilders includes a detailed explanation of why this is so. The decision this Autumn to free up local authorities to invest in new social housing with the removal of the Housing Revenue Account cap is good news. The Local Government Association wants to see 100,000 new social homes built by councils, which they estimate could result in a huge boost E
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