Government to pump-prime the UK photovoltaics market

The government has said it will boost spending on renewable energy. In a White Paper Investing in new sources of business success published in February, the Labour party has pledged to "embark on a major initiative to establish the UK as a credible player in the photovoltaic (pv) market".

A UK pv demonstration programme has been promised, aimed specifically, social housing schemes. "We can use pv to help us alleviate fuel poverty, achieve security of energy supply and (meet) environmental objectives" says the White Paper.

The government has not set aside separate finance for pump-priming the pv market. It is likely the initiative will be funded by the Carbon Trust, which has a £50 million/y budget to spearhead joint government/ business initiatives.

Precise targets for the UK market penetration of pvs are also not outlined in the White Paper, but the government says it aims to match the pv programmes of Germany (100 000 roofs by 2007) and Japan (70 000 roofs by 2002).

"We will also encourage British industry to move directly to...thin-film technologies, which have greater potential for cost reduction than existing technologies" said the White Paper.

The White Paper also commits the government to a £10 million investment to the new Waste and Resources Action Programme. This will develop new markets for recycled materials and will promote waste-reducing technologies and processes.

A Performance and Innovation Unit was also pledged in the White Paper. This will study the long-term issues of resource productivity and renewables and develop specific strategies with Regional Development Agencies to support environmental industry "clusters" across the country.

An industry-wide working group has been set up by the DTI to examine how the commerce and regulations will need to adapt.

The group published a report in January on a range of actions to encourage renewable energy, chp, and small-scale generation schemes. The report is out for consultation until early March, after which the government will finalise its recommendations.

A pledge to increase investment in broadband networks has also been announced in the White Paper. £30 million has been set aside over the next three years to support local schemes, while £500 million is "likely" to be invested over three years to provide broadband connectivity to schools, libraries, colleges and universities.