Fresh details emerge of controversial government report into the economic impact of energy infrastructure
A controversial government report into the impact of energy infrastructure on the rural economy will reportedly examine how wind farms, fracking, and other forms of generation could affect house prices.
Earlier this week it emerged the Department for Environment, Food and Rural Affairs (Defra) and the Department of Energy and Climate Change (DECC) were in the early stages of drafting a report into the impacts of a range of energy generation projects on rural communities.
Both departments insisted they were working jointly on the project in a bid to ensure it provides a balanced perspective. But reports in The Telegraph suggested the report had been launched at the instigation of Environment Secretary Owen Paterson and was being opposed by DECC, which is said to be concerned that the report will be used to draw negative conclusions about the impact of wind farms.
Renewable energy industry insiders also expressed grave concerns this week that the report would be used by Paterson to launch a politically motivated attack against the sector given he has previously voiced his opposition to wind farms and some other clean energy technologies.
Yesterday, fresh details of the report emerged, as the ENDS Report revealed that consultancy Frontier Economics has been commissioned by Defra to analyse the impact of energy infrastructure on house prices.
The magazine said Frontier Economics is due to examine the impact of a range of technologies, including onshore and offshore wind farms, shale gas, anaerobic digestion plants, overhead power lines, coal, gas, nuclear and biomass power stations, and coal mines.
The report is due to be submitted to Defra early next month and likely to feed into DECC and Defra's overall study, a publication date for which has yet to be set.
The news will further fuel concerns among renewable industry leaders that the report is politically motivated, with some questioning why Defra is involved in a study that is focused on energy issues. However, Defra has insisted that the issue falls within its responsibility for rural affairs.
It also remains unclear how the report will examine in detail how shale gas developments impact house prices as the UK does not currently have any productive shale gas wells.
Paterson has been an outspoken critic of wind farms in the past, and during last year's Conservative Party conference told delegates he would aim to work closely with DECC on future support levels for low carbon energy.
"This will ensure that the impact of these new technologies on the rural economy and the environment is fully taken into account," he said at the time. "The relationship between renewable energy sources and the communities we expect to host them must be appropriate and sustainable."
Wind industry insiders said they were confident that previous studies have shown onshore wind farms can offer a boost to rural economies, while a Defra spokeswoman told ENDS that the report would not include any policy recommendations.
However, the study also risks further undermining investor confidence in the industry following ongoing concerns over planning restrictions and recent comments from the Prime Minister suggesting wind farm development in the UK was likely to slow down in the future.
Critics were also quick to point out that Lord Turnbull, who is an non-executive director of Frontier Economics, is on the board of trustees for the anti-wind farm Global Warming Policy Foundation.
Frontier was unavailable for comment at the time of going to press.
By Le My
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