News article

 

19th July 2010

Government's Changes to English Planning System could Backfire

It was four years ago when leading economist Sir Nicolas Stern published a report for the then Labour Government demonstrating that climate change must be managed if we are to avoid catastrophic social and environmental effects. In this report, planning is identified as an important tool to combat climate change in the UK.

Renewables has been one of the few sectors to continue to invest and grow through the recession and has an important ongoing role in national economic recovery.  As such, an efficient planning system going forward will form the cornerstone for the continued growth of the renewables industry, and indeed the UK economy.

Planning regulates the use and development of land. In Great Britain, climate change and sustainable development have been firmly placed at the heart of the planning system, which must make a fundamental contribution to reducing carbon dioxide emissions, stabilising climate change and advancing a low-carbon economy.

The UK has agreed to a binding target that 20 per cent of the EU's energy consumption must come from renewable sources by 2020, with a proposed UK contribution of 15 per cent by 2020. In terms of electricity use, the Government has stated that more than 30% of electricity generated will come from renewable sources by 2020, with wind energy providing about two thirds of this total.  A significant element of these targets is expected to be delivered locally, through the planning system.

Wind energy planning in England – what's changed?

The planning system in England had been developed in recent years in ways which are arguably beneficial to wind energy development.  

The previous government had introduced Regional Spatial Strategies (RSS), which set out a long-term strategic, spatial and integrated framework for the English regions.  These provided regional and sub regional targets for renewable energy development which have become important considerations in the planning process, particularly in the North East of England.  

However, RSS are set to be abolished without a suitable replacement as proposed in the Decentralisation and Localism Bill.  Decision-making powers on housing and planning policy are to be returned back to local councils. Past experience of local councils determining the number of new houses to be built in local areas arguably led to significant under-provision in certain areas and poor spatial distribution of development, leading to one question - will councils actually make provision for wind energy development in England, as it is hardly likely to be popular.

The loss of regional renewable energy targets will have a significant effect on future development of wind energy in England, if councils do not make appropriate provision. Climate change and energy policy are very much national considerations, and strategic level decisions are still necessary.

The RSS system, with its targets for renewable development have been key considerations in many wind energy appeal decisions in England that otherwise may not have been granted. Its abolition could give rise to a 'planning by appeal' approach, especially if a policy vacuum occurs as a result of the abolition. 

Goodbye Infrastructure Planning Commission (IPC) – hello political blockades?

As the independent body set up to decide applications for national infrastructure projects, the IPC had the power to approve projects that have positive effects on the UK economy, such as wind farms over 50MW and other large renewable energy projects.
However, the new Coalition Government has wasted no time in effectively moving to abolish the IPC. This move hands power back to elected politicians who will now have final say over these key proposals.

By doing so, they also made it clear that local people who do not want expensive infrastructure projects blighting their communities will have greater powers to object.

Some will see this as a victory for local communities who will no longer fear the threat of unelected bureaucrats forcing through unwanted development.

We are also told that it will continue to fast track major applications for infrastructure projects and that decisions will be made by ministers within the same fast track timescales as the IPC currently works to.

New infrastructure is critical to the country's return to economic growth and we must have an effective system for major projects.  The previous system may have lacked democratic legitimacy with decisions to have been taken independently of elected representatives, albeit within a new policy framework.   It's very important for economic growth that major transport and energy infrastructure projects are approved and delivered in good time. There are concerns however that projects will inevitably be delayed or blocked for political reasons.
Environmental Impacts Assessment (EIA) – inconsistent interpretation?

The requirement for an Environmental Impacts Assessment (EIA) is assessed under the "Town and Country Planning EIA Regulations 1999" where there are set thresholds for turbine development for considering whether EIA is required. Under Schedule 3 of the Regulations, Local Authorities should make their assessment whilst giving regard to any significant effects the proposal may have upon the environment. If it is deemed unlikely that any significant impacts will occur, the default position should be taken that no EIA is required, regardless of the proposed turbine height.

The developer is responsible for undertaking the necessary surveys and collating the information required for an EIA. This can often take two years and cost around £200,000 or more. The applicant can however request a 'screening' opinion from the LPA before submitting an application to find out if the development is likely to require an EIA.

It is the inconsistent interpretation of these regulations by LPAs, which is of concern. Often, LPAs 'play safe' and require EIA where there is unlikely to be significant effects in EIA terms.  Whilst these decisions can often be challenged successfully with the Secretary of State, this can cause delay and extra cost to a project.

What role can the consultant play?

A consultancy such as Atmos can prepare screening requests to LPAs where the likely environmental effects can be made clear.  It can also challenge screening opinions with the SoS if it is determined that EIA is required though there are no apparent significant effects likely.

It is vitally important that LPA staff who are involved in Screening Opinions have an understanding of the EIA Regulations and what is required of them.  Effective staff training and experienced staff would go a long way to preventing incorrect screening opinions. 

The Feed-in Tariff – unrealistic application demands?

The feed-in tariff scheme, implemented by the Government on 1st April 2010, will lead to an increase in the numbers of applications for smaller renewable energy projects.  These will range from single small turbines to small turbine clusters.  Wind energy development has usually required significant amounts of supporting information (often far in excess of other types of development) at significant cost to the developer.  LPAs also need to be realistic in respect of feed-in tariff proposals, which are likely to be much smaller scale projects than the typical wind farm development and have much lesser potential effects.  Smaller schemes also may not stand the high application costs that may be demanded.  It should not always be necessary to provide the same level of information for a non EIA wind project for example and English LPAs should draw upon the experience and practice of their Scottish counterparts which are far more experienced in dealing with smaller scale renewable energy projects.

Conclusions

Now the future of the IPC has been cleared up, it is vitally important that clarity is brought into planning processes for large infrastructure projects in the energy sector before they are unduly delayed and international companies look to other territories in which to invest.

The new Coalition Government must not be quiet about this process, but show evidence of an understanding of the anxiety amongst developers through presenting a clear, structured plan for the short and medium-term.

There is a real need to deal with renewable energy at a strategic level in England and not return to a localised system where no realistic provision is made for renewable energy development as it would be 'politically difficult'.

We are going to see a significant increase in the numbers of smaller scale renewable energy development proposals as a result of the feed-in tariffs.  LPAs need to take a realistic approach to the level of information required for such applications to ensure that this is not too onerous and ensure that its planning staff have the necessary training and skills to deal effectively with the proposals.

Without intelligent refinement of planning processes, it won't be only the Renewables industry to suffer, nor the UK economy, rather the planet as a whole.

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