Highland MP to lead debate on Community Benefits from Renewables

Angus MacDonald MP for Inverness, Skye, and West Ross-shire will tomorrow [15th October] lead a Westminster Hall debate on the community benefits from renewable energy projects.

The debate will highlight the need for greater financial investment in rural areas that are impacted by large-scale renewable energy infrastructure.

Angus MacDonald has been a strong advocate for fair compensation to local communities who bear the burden of hosting renewable projects like wind farms and solar panels, which are transforming the UK's energy landscape. However, many of these communities, especially in rural areas, see little direct financial benefit, despite enduring the visual and environmental impact of these industrial-scale projects.

In 2023, research by Octopus Energy found that 87% of people would support a wind turbine in their community if it reduced their bills. But the Great British Energy Bill, currently being discussed in Parliament, makes no provision for community ownership or benefit from renewable projects.

Mr MacDonald has now drafted an amendment to the Great British Energy Bill, that the LibDem Energy spokesperson Pippa Heyling has submitted.

Clause 5, page 3, line 8,

“(1A) A statement under this section must include as a strategic priority, consistent

with Great British Energy’s objects under section 3, measures to be taken to

ensure that local communities benefit directly from low carbon and renewable

energy projects operating within their area.”

Speaking ahead of the debate, Mr MacDonald said:

"Britain and Norway once shared the same opportunity with North Sea oil, but while Norway built a $1.7 trillion Sovereign Wealth Fund, Britain spent our oil receipts. Now, we face a similar transformational moment as we transition from fossil fuels to renewables. Billions of pounds are being made, and jobs created, but too often it is overseas companies who reap the rewards while rural communities pay the price for hosting these projects.

"You only need to travel to the Highlands, Islands, and rural areas across the UK to see how the landscape has changed with miles of towering wind turbines and fields covered in solar panels. These are the very communities that face higher fuel poverty, poor infrastructure, and rising living costs, yet they receive little financial benefit from the energy being generated on their doorsteps.

"I’ve consulted with energy companies, government ministers, and local authorities, and there is a consensus that rural communities must directly benefit from hosting renewable infrastructure.

"Other countries, such as Ireland, Denmark and Germany already provide significant financial benefits to local communities through ownership stakes or local taxation on renewable projects. It’s time for the UK to follow suit and ensure that those who are most affected by renewable energy developments also share in the wealth they create."

ENDS

Notes to editors:

In March 2024, the Scottish Liberal Democrat conference backed a motion from Mc MacDonald calling for the Scottish Government to implement new guidance to developers to state that 5% of the gross revenue of new windfarm developments should be paid to community benefit funds and increase the number of communities around new windfarm developments which receive shares of community benefit funds, to limit the wealth disparity amongst rural communities. It also called for the UK Government to enshrine community benefit rights in law, to ensure that communities surrounding Scottish windfarms have a statutory right to benefit from local renewable energy development.