UK government confirms April 2016 closure of onshore wind subsidies

The move will see the closure of the Renewables Obligation (RO) which was once the government's main financial mechanism for supporting large-scale renewable electricity generation projects in England, Scotland and Wales.

The plan to close the RO scheme was first announced in June and followed a commitment from the Conservative party, in its 2015 general election manifesto, to end publicly-funded support for onshore wind projects if it became the party of government. The Contracts for Difference (CfD) subsidy mechanism will replace the RO.

The government has set out proposed amendments to the Energy Bill currently before parliament in an effort to clarify which projects, currently in the pipeline, will remain eligible for RO subsidies.

"The projects that are eligible for the grace period will need to demonstrate either that they had planning consent as at 18 June; that they have successfully appealed a planning refusal made on or before 18 June; or that they have successfully appealed after not receiving a planning decision due by 18 June," the Department for Energy and Climate Change (DECC) said in a statement. "They will also need to show that they had a grid connection and land rights in place. Projects that have met all these criteria and can demonstrate that they have struggled to secure finance from lenders since 18 June will be allowed extra time but no longer than nine months."

The government said that energy technologies need to "stand on their own two feet" and not rely on public subsidies.

Energy minister Lord Bourne said: "By bringing forward these amendments we are protecting bill payers whilst meeting our renewable energy commitments."