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Madness: Households’ Green Energy Bills To Double By 2020

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Ben Webster, The Times

The cost to households of subsidising wind and solar farms and other low-carbon power will more than double to £105 a year by 2020 and could reach £140 by 2030, according to the Committee on Climate Change.

The total subsidy for green electricity is likely to rise from £4 billion last year to £9 billion in 2025 and could reach £12 billion in 2028 if gas prices remain low, the government advisory board said.

Households pay an average of £45 a year in their electricity bill to subsidise low-carbon power, the committee said. The cost will rise over the next decade as offshore wind farms are built to help meet Britain’s legally binding target of halving its 1990 level of carbon dioxide emissions by 2025.

The committee said that onshore wind farms and solar farms were likely to be “cost competitive” with gas-fired power stations by the 2020s, meaning that new projects would not require subsidy.

However, the government has withdrawn or cut subsidies for these forms of energy. The committee said that offshore wind farms and systems to capture carbon from fossil fuel power stations would need a subsidy during the 2020s.

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