The Scottish First Minister, Alex Salmond has warned against investing heavily in nuclear energy explaining that it would divert much needed funds away from clean, renewable sources of energy. The Scottish Minister has asserted the need for a coherent investment program in green energy sources, both as a means of slowing climate change and helping the government to meet its green target, which in Scotland is producing 20 per cent of its energy from renewable sources by 2020.

Replying to questions in the Scottish Parliament, Alex Salmond stated,

“Anything you invest – and it will be billions – in nuclear power is billions taken away from clean technology and in renewable technology. We have great prospects in our renewables sector – I think that is a huge priority.”

Although there is a general acceptance that renewable sources will be essential for future energy production, nuclear is often considered to be a very real and viable alternative to fossil fuel production. Lord Adair, Chairman for the Committee for climate change remains an exponent of nuclear energy as a possible solution to future energy production but there has been a general move away from nuclear of late partly due to concerns over safety. This was highlighted by the recent Bradwell Power Station case whereby it was found guilty of leaking radioactive material from its reactors over a period of fourteen years.

The Energy Bill of last year sets out provisions for the introduction of a feed-in tariff in 2010 as a means of attracting investment in renewable energy production. It is believed that once there is a coherent tariff system in place in the UK, investment in green energy will become much more widespread and more attractive compared to nuclear which is often criticised for being both unsafe and expensive.

In a show of support for the possible introduction of a feed-in tariff, the UK solar industry, led by the UK Solar PV Manufacturers Association has launched its ‘We support solar campaign’. Following last years Energy Bill, there is now a real probability of a coherent feed-in tariff law being established in the UK

The feed-in tariff is government legislation which attracts investment and promotes growth in the renewable energy sector by making it a financially viable option. This is done by guaranteeing a fixed, premium rate for energy fed-into the national grid from renewable energy suppliers. The added cost of producing energy by renewable means is therefore offset by the fixed rates that the traditional energy companies are obliged to pay for the green Megawatts.

The feed-in tariff contracts will provide small renewable installations (generally under 5MW) with a steady revenue stream and it is believed that this will help spread the ‘green’ message into communities. Around 30 MPs are now backing the take up of a serious feed-in tariff policy, as has been seen in places like Germany and California where they have been successful. The government has hinted strongly that they will be looking to mirror feed-in tariff systems implemented abroad and there is growing pressure both from leading renewable energy producers and environmental groups alike for their adoption in the UK.

Former UK government minister, Michael Meacher has given his support to the feed-in tariff and Environment and Climate Change Secretary, Ed Milliband by saying,

“Ed Miliband’s decision to introduce a feed-in tariff for solar PV and other small-scale renewable electricity technologies is potentially a real turning point for the UK solar PV sector. It gives the UK a vital new policy tool that should help to maximise the contribution from solar PV to our demanding renewable energy target.”

Although slowing somewhat in the past year, the renewable energy expanded despite the global credit crunch especially in the sector of solar, wind and geothermal investment. According to the World Wind Energy Association around 12,000 megawatts of wind power generation capacity were installed in 2008 along with 9,740 megawatts of Photovoltaic (PV) solar energy power generation potential. The geothermal sector saw a further 6,000 megawatts of capacity installed and it is believed that 2009 will see added expansion.

To oversee this expansion, The Renewable Energy Industry Agency (IRENA) has been established as a multi-national agency dedicated to the growth the renewable sector. It is hoped that the agency will help energy companies invest in renewable plant and increase investment in green technology. Similarly, they will be hoping to develop an awareness of renewable energy solutions in developing nations. Sigmar Gabriel, the German Environment Minister stated that,

“IRENA will help to remove the many obstacles which up to now have delayed the rapid expansion of renewables. The market is still distorted by subsidies for conventional energies, technological know-how is inadequate, information is not always correct.”

Last Monday in Bonn saw the inaugural IRENA conference, attended by over 120 delegates of a number of nations, such as Germany, Spain, Denmark, India, the United Arab Emirates (UAE), and Kenya (all the founder members).

Although the agency is conspicuously missing the membership of such countries as Australia, China, the United States, Japan and the United Kingdom, its original founder members are more than happy with the uptake in participation thus far and are confident that the other major industrial nations will be brought on board eventually. Indeed, a British representative of the Department for Energy and Climate change who was present at the conference was quoted in the Guardian as saying,

“We are certainly supportive and are interested in joining, but we need to make sure that what we’re joining has the right focus. There needs to be more focus on the deployment of renewables rather than just talking policy and issuing papers. And there needs to be a wider membership.”

In a bid to differentiate itself from it’s neighbours and other OPEC states, Sheik Mohammed bin Zayed Al Nayhan, Crown Prince of Abu Dhabi has asserted that at least 7% of its energy production will come from photovoltaic sources by 2020.

Having already vaunted itself as a possible headquarter location for the planned International Renewable Energy Agency (IRENA), the Arab state is looking towards a solar future believing that once its fossil fuel resources are expended, viable alternatives will be essential. Currently, Abu Dhabi has around 8% of all global oil reserves and relies heavily on this resource as its major export. Unlike some of its neighbouring states, Abu Dhabi is looking to diversify both its economy and means of energy production as a means of protecting itself against the eventuality of exhausting their current oil reserves.

A spokesman for the Middle-Eastern state was quoted as saying,

“Many [Opec members] see renewables as a threat but the crown prince sees them as an opportunity. He [The Crown Prince] knows that the oil will eventually run out and he wants to ensure there is something left for future generations”.

The move towards solar energy in Abu Dhabi is being led by a private company, Masdar. Masdar hopes to build a completely carbon neutral city in Abu Dhabi using not only solar but also geothermal and wind power. The Masdar group is also making great strides to develop relationships with the west having already invested in British Energy company E.On and achieving the patronage of Prince Charles.