Q2 Sector Spotlight: Brexit overshadows rising renewables activity
27 Jul 2016 lucyejwoods
Following the Brexit vote, it is unclear whether EU directives will continue to apply in the UK, potentially jeopardising subsidies to sectors such as waste to energy.
For example, the EU Landfill Directive (1999) requires member states to reduce biodegradable municipal waste sent to landfill, to 35% of 1995 levels by 2020. One lawyer suggested that the UK government could cease to provide waste energy subsidies if the directive is phased out.
Similarly, tidal energy and subsea interconnector cables are at risk of losing funding if European energy targets no longer apply – raising concerns about the future of the GBP 1bn Swansea Bay tidal lagoon project.