Water and Effluent Treatment Magazine
Issue link: https://fhpublishing.uberflip.com/i/615834
THE VERDICT "…any business looking to install AD technology faces a race against time in order to make the most of government support while it lasts" Johan Ostlund NEED TO KNOW 1 The UK has a legally binding EU target of achieving 15% of total energy from renewables by 2020 2 There is a 14-week lead time for Combined Heat and Power engines 3 The industry now exceeds 500MW of total capacity across 411 plants nationally 4 DECC wants to cut expenditure on the FITs scheme to between £75M and £100M THE CONCEPT • Feed-in Tariffs have transformed the way the UK generates its power • Facilities will only qualify for FIT rates offered on the date of commissioning • The tariff for facilities under 500KW will reduce to 9.36p/Kwh, while facilities greater than 500KW will drop to 8.68p/Kwh • The FITs subsidy rates will continue to fall further in future years A solution: Take FITs action now The race maybe on to secure beneficial FITs rates, but specifying the right anaerobic digestion (AD) technology is equally key, says Johan Ostlund. T he removal of the prelimi- nary accreditation has taken away the financial safety net for AD installations. Companies must act now to make sure they can finalise and commission sites before March 31, 2016. For instance, there is a 14-week lead time for Combined Heat and Power (CHP) engines, so to achieve a March commis- sioning, there are only a few weeks to get orders in. But while acting quickly to secure beneficial FITs rates is key, also important is making informed choices when it comes to specifying AD technology, in particular when choosing the correct CHP engine. As a leading gas engine specification and maintenance expert, we have designed and installed AD technology at many sites across the UK and from our experience, protecting against downtime should be the priority. However, engine choice is oŒen done quickly with limited thought to the best long-term solution. For instance, in many cases two engines are better than one – giving the financial protection that if one engine breaks down, you will still generate energy and continue to make money. In other situations, one engine – coupled with a robust maintenance package – keeps costs to a minimum but ensures support is only a phone call away – again protecting against loss. Future It is clear that any business looking to install AD technology faces a race against time in order to make the most of government support while it lasts and move projects from development to completion before it is too late. If they do not act now, then they may not be able to get funding through the FITs scheme at all because its future is certainly not guaranteed. By looking towards experi- enced AD service providers such as CooperÖstlund, finalis- ing projects in tight timescales and securing beneficial FITs payments is a much easier process. What is more, by doing so, operators can be safe in the knowledge that they have specified the correct CHP engine for their project, and they can rely on a nationally- acclaimed service provider for the lifetime of the site, minimis- ing any down time in the future and maximising return on investment. Johan Ostlund is director at CooperOstlund • Engine choice is often done quickly with limited thought to the best long-term solution INSIGHT REnEWAblE EnERgy 16 WET NEWS JAnUARy 2016