Local community groups across Scotland are battling to secure funding for renewable energy projects before new laws imposed by the UK government ends the tax relief available to investors.
The Enterprise Investment Scheme allows investors to claim income tax relief of 30% on their investment, which increases the return on their investment.
The UK government announced last month that community energy projects will be excluded from the EIS from November 30. They will also be unable to claim social investment tax relief.
Today a map detailing the 510MW worth of community and locally owned renewable energy projects has been launched showing the growth and scope of renewable energy projects in Scotland.
One project, The Edinburgh Community Solar Co-operative, was launched on September 29 and aims to be Scotland’s largest community-owned urban scheme.
Paul Phare from Energy4All, who sits on the capital co-op’s board said: “There are a number of schemes across Scotland which are already well advanced in raising the investment they need to enable their projects to go ahead. This move by the UK Government is the latest in a series of unheralded attacks on the renewable energy.
“The EIS scheme remains open until the end of this month and I would encourage anyone with an interest in helping to support these vital projects to take advantage of the scheme by 27th November.”
Scottish Energy minister Fergus Ewing backed the initiative, saying: “Local ownership gives communities more control over their own energy and will help us tackle challenges like grid constraints and fuel poverty – while at the same time sparking economic revival.
“There are many communities who have invested significant amounts of money in renewables but this is yet another setback for the community energy sector which the UK government claimed it wants to support though we have not seen any evidence of to-date.”
Other schemes, including the Rumbling Bridge Community Hydro Society near Kinross and the Applecross Community Company are also calling on investors to back their schemes now before they close their share offers on 27th November.
Image: Hall of Towie (reNews)
