Dr. Paul McGowan:

The Deputy referred to climate change and meeting targets. For example, the current target for renewable electricity on the system is 40% by 2020. By all predictions, we are going to fall a small way short of achieving 40% but will be quite near it. Obviously, we play a role in meeting that target, including, for example, delivering a connection policy to connect renewables to the system. We administer the public service obligation, PSO, levy and we have other functions in ensuring those targets can be met.

High efficiency combined heat and power, CHP, is one of the technologies legitimately identified as assisting towards the achievement of these targets. For onshore wind, there is a renewable energy feed-in tariff, REFIT, scheme and a soon-to-be renewable electricity support scheme, RESS, which may support a particular technology. For high efficiency CHP, it has to be certified as such and must achieve the primary energy savings. Otherwise, it is a biomass power station which of itself delivers on renewable targets, if it were built. There is some support available for that. However, high efficiency CHP carries a higher level of support which is why it is subject to additional rigours under legislation.