The newly established Energy Technology Institute (ETI) has announced that the innovative Nova Project will be one of the first recipients of its research funding. The V-wing turbine design, unorthodox in that it is designed to be supported in the air by two giant vertical wings represents a dramatic step forward in green technology design. The government hopes that the V-wing along with other renewable energy sources will soon be supplying energy in to the UK national grid. Recent energy legislation and the establishment of the ETI highlight the government’s desire to meet its green target of reducing greenhouse gas emissions by 80% by 2050.

ETI, made up of BP, Caterpillar, EDF Energy, E.ON, Rolls-Royce and Shell are thought to have around £1.1 billion to dedicate to similar such projects as the V-wing and will be a key driving force behind renewable investment in the near future alongside the proposed feed-in tariff. The Nova project represents a worldwide move towards greener technology. As Lord Drayson, the Science and Innovation minister stated,

“This is evidence of a real shift to green jobs and green engineering”.

Other funding will go towards researching floating offshore wind and tidal turbines around the UK and will contribute greatly to the success of the renewable technology industry in the next twenty years.

The UK Energy Bill, which outlines the introduction of a feed-in tariff system has been given further support, this time by the Chartered Institute of Housing (CIH).

The government will be required to introduce a feed-in tariff scheme whereby small, renewable electricity, heat and gas generators, such as communities, schools and businesses would be guaranteed a premium rate for any energy fed back into grid. The CIH have commended the new clause in the Energy Bill, stating that it will help businesses and communities generate clean, renewable energy.

Sarah Webb, CIH Chief Executive, said:  “A feed-in tariff for renewable energy would give the much needed financial support to communities to take control of their own energy generation.  The opportunities to reduce carbon emissions, reduce fuel poverty and bring communities together to benefit all their residents are enormous.”

It is widely believed that, at a time when people are becoming more aware of the necessity for renewable alternatives, the generation of power in public spaces such as schools and petrol stations will represent a positive social project.

Financial consultants Ernst & Young have rated the UK as the fifth most popular country to invest in as a result of the Energy Bill which was passed in November according to their Renewable energy country attractiveness indices.

Britain’s rise to joint fifth with Spain has been attributed to recent legislation which specifically sets out provisions for the introduction of Feed-in tariffs by 2010. Feed-in tariffs are fundamental to investors as they guarantee a premium fixed rate for energy fed back into the national grid by small, renewable energy producers.

Also, acting as an important stimulus for investors is the falling value of Pound Sterling which is predicted to reach parity with the Euro in the new year.UK renewable projects increasingly expensive as imported technologies from Europe continue to rise as a result of the exchange rate.

“The falling value of the pound is making

“The declining price of oil is compounding the problem by reducing project revenues as wholesale energy prices fall, resulting in many projects becoming uneconomical. It is unlikely that falling commodity prices such as steel and copper will compensate enough” predicts Head of renewable energy at Ernst & Young, Jonathan Johns.

The recent Renewable energy country attractiveness indices saw Germany reach first position as a target for investors and is now seen as the leading light in terms of viable renewable energy innovations.

Lord Hunt has announced that the government will roll out smart meters over the next 10 years in order to help the UK meet targets set out in the Energy Bill. Smart meters are considered to be fundamental to the introduction of feed-in tariffs whereby the small renewable energy producers will be paid a premium rate for energy they feed back into the national grid.

Lord Hunt, announcing the roll out said, “This is a major step forward; no other country in the world has moved to an electricity and gas smart meter roll-out on this scale.

“We anticipate a period of around two years to resolve the issues and to design the full detail of a domestic roll-out. Our aim is then to ensure that the subsequent roll-out happens over a period of 10 years. This would see delivery of smart meters by the end of 2020 to align with our renewables targets,” added Hunt.

Conservative peer Baroness Wilcox, who prompted the government announcement on smart meters, welcomed the decision to introduce smart meters across the country, commenting,

“Smart meters are not only critical for energy savings at home but will soon be inextricably linked with the feed-in tariff. The government are as alert as we are to the fact that we in this country are very late in protecting our energy supply and energy usage, but this concession by them is a great step forward.”