A few months ago there was a major outcry from 101 Tory MPs urging the Government to drastically cut the annual £400M subsidy paid to wind farm operators.
It’s true, £400M sounds like a lot of money. But just last week a report, jointly published by the Department of Energy & Climate Change (DECC) and RenewableUK, that details the wider economic and social benefits of onshore wind produced the following statistics:
- 8,600 jobs and £548M resulting from direct supply chain business
- 2,400 jobs and £85M resulting from indirect income effects of employment
- 300 jobs and £11M resulting from tourism
- £198M in tax revenues
All of the above are set to increase, by an amount proportional to the roll-out of new capacity. For example, if the UK were to achieve the 2020 target of 19GW of capacity the figures are as follows:
- 17,900 jobs and £580M in the supply chain
- 5,400 jobs and £192M from indirect income
- 800 jobs and £27M from tourism
- £572M in tax revenues
Not only does onshore wind represent by far the cheapest form renewable electricity, but for every £1 spend in subsidy, the UK benefits from more jobs and more foreign and domestic investment currently worth £1.61 (excluding tax revenues).