Only 10 new community energy organisations were registered between 1 January and 6 September this year, a drop of over 80% from 2015, according to Co-operatives UK.
The fall – 76 green energy start-ups registered in 2015 – follows a series of policy changes by government, including abolishing tax relief and cutting feed-in tariffs, the industry body said.
It added that the picture is even bleaker in terms of energy generation with new projects simply described as “not financially viable”.
Co-operatives UK, which has 120 community energy organisations within its membership, said local communities continue to support renewable energy projects despite the barriers.
Co-operatives UK secretary general Ed Mayo said: “The public backs community-owned green energy, people want more control of their local economy and what we need from government is a clear and consistent framework, including appropriate support, so that the thousands of local people wanting to invest in and generate community energy are able to do so without fear of policy upheavals.”
Image: Morgue File
