Scottish Power chief warns that UK Grid transmissions charges are barrier to new electricity generation

Longannet power stationWarnings from a senior power industry figure over the damage that current transmission charging policy is doing to Scotland must be heeded by Westminster, the SNP has said

Keith Anderson, Chief Corporate Officer at Scottish Power, has warned transmission charges are a barrier to new electricity generation in Scotland, making clear that “there needs to be a fair and level playing field with the rest of the UK in order to develop new power generation in Scotland.”

He said: “No other country in Europe has this unfair locational-based charging system for power stations, and we need a fairer system for Scotland.

“Scotland needs a mixture of generation types, but there needs to be a fair and level playing field with the rest of the UK in order to develop new power generation in Scotland.”

SEE ALSO:

Is Scotland’s energy future secure and balanced? Power Scotland Conference debate and conference 19 March – http://goo.gl/zM2c0m

First Minister Nicola Sturgeon wrote to David Cameron last month calling on him to assess the impact that current regulations have on electricity generation in Scotland and to place a study by the National Grid into Scotland’s security of supply into the public domain.

Despite his Scottish Conservative colleagues admitting that currently transmission charging “discriminates against Longannet”, the Prime Minister has thus far rejected the First Minister’s call.

An SNP spokeswoman said: “This serious warning that transmission charges pose a major barrier to new power generation in Scotland must be heeded at Westminster .

“Coming at a time when hundreds of jobs at Longannet power station (pictured) have been put at risk in large part due to transmission charges, this is an issue that can no longer be ignored

“It cannot be right that a thermal power station in Scotland can face crippling transmission charges of £40 million every year when an identical power station in the south of England would actually be subsidised.

“That is why Scottish Power is absolutely right to brand transmission charges as ‘unfair’ and the damage they are inflicting on Longannet is plain for all to see.”

Pixie Energy

Pixie logo Pixie Energy is an incubator and a facilitator of strategic research and project work, focusing on energy regulation, policy and markets at the local and national level. Find out more about Pixie Energy here.

Local Energy Matters: Scotland

Local Energy Matters: Scotland is a free-to-download brochure with a focus on energy tariffs in the two Scottish electricity distribution regions, as well news on local energy and low-carbon schemes.

Previous editions can be download here.

Scottish energy market overview

You can read an overview of the Scottish energy market here.

Scottish Government energy feed