Reaching our potential: a framework for making the most of microgeneration technologies

Panel: Panel 1: The foundations of a future energy policy. Longer term strategies

Author:
Victoria Willis, Energy Saving Trust, United Kingdom

Abstract

The ‘Potential for Microgeneration Study and Analysis’ examines the uptake of heat and electricity microgeneration technologies to 2050. The study was undertaken by the Energy Saving Trust to inform the Government’s grant programme (Low Carbon Buildings Programme) and the Microgeneration Strategy (Department for Trade and Industry (DTI, 2005) for the UK Government. This paper examines the results of the modelling and makes policy recommendations to reach ambitious carbon reduction targets for 2050.

Microgeneration is the production of heat and/or electricity on a small-scale from a low carbon source and includes both renewable and energy efficiency technologies. The modelling shows that microgeneration has the potential to deliver between 30 to 40 % of the UK’s electricity needs with microCHP (fuel cell and Stirling engines) leading the way in the early years, followed by microwind and solar PV in the longer term.

The model uses learning curves, which determine the rate of cost reductions of technologies, as well as user willingness to pay, building on experience from established energy efficiency technologies.

Recent consumer research on attitudes towards microgeneration technologies shows that more than half of the people in the UK would like to generate their own energy; it is critical that consumers embrace these technologies in order to reach carbon reduction targets.

Policy needs to provide sufficient support and a more favourable market framework to deliver the potential offered by microgeneration. Financial support in the early stages; building regulations (once measures are cost-effective); and ensuring a fair price for electricity exports are likely to be critical to their success.