The benefits associated with utilising renewable and environmentally-friendly business energy are set to become even more significant for U.K. businesses.
The Smart Export Guarantee (SEG) , which will officially come into effect on 1 January 2020, will ensure that small businesses get paid for exporting to the grid any excess electricity created via renewable technologies.
The scheme means that any business throughout the U.K. that has already installed wind turbines, anaerobic digestion plants, solar panels or any other form of renewable energy generation can benefit significantly should they have enough capacity to sell to the grid.
Another step in the green revolution
The government’s announcement that the SEG is set to be introduced is yet another incredibly positive step towards encouraging businesses large and small to invest in greener forms of energy production.
According to MR Chris Skidmore, who is the Interim Minister of State for Energy and Clean Growth, the future of energy production in the U.K. is local. He also believes that being able to pay businesses for exporting energy is a ‘significant milestone’ when it comes to encouraging innovation and adoption in the green technology sector.
The evolution of FiT
The Feed-in Tariffs scheme, which was introduced during 2010, was designed to give businesses, as well as owners of small-scale renewables, a fixed rate of payment, which would slowly but surely offset to cost of installing the renewable technologies in the first place.
And, while this scheme was deemed a success and encouraged many hundreds of renewable projects up and down the country, the government deemed that it should be wrapped up, and FiT stopped accepting new entrants at the end of March 2019.
Many organisations, with particular reference to Green Alliance, which stated that the decision to move away from the FiT system was a ‘major blow’ to the renewables community. However, it is hoped that following the introduction of SEG, businesses will once again be encouraged to take the plunge and invest in green energy.
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