LAST MONTH came the news that Ofgem intends to reduce some payments to small embedded energy generators by 95 percent over a three-year period. This is alarming as the proposals could result in the loss of around £100m in income from energy recovered from waste. This would include a £40m hit for EfW plants and a similar amount for landfill gas. This will be of significant concern for our local authority customers as the vast majority of the EfW costs could be passed on to them. At the same time, existing projects will also suffer a retrospective hit to their competitiveness at a time when we are continuing to export over 3m tonnes of refuse-derived fuel (RDF) to other parts of Europe.
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