Just a quarter of Scots would support the introduction of zonal power pricing to the UK’s energy system, according to new polling released today by advisory firm True North.
With a UK Government decision expected within weeks, the issue has become a policy battleground for the renewables industry amid warnings it would jeopardise offshore wind investment.
The Scotland-wide polling, carried out by Survation, shows that 41% of Scots oppose its introduction, compared to just 25% in favour, with a third remaining undecided.
Zonal pricing would split the UK’s power market into different “zones” with their own forces of supply and demand.
The Scottish renewables industry has warned that introduction of this system, which is not yet designed, would see billions of pounds of investment cancelled or heavily stalled, delay a reduction in energy bills, and pose a barrier to creation of green jobs.
However, proponents say its introduction would reduce constraint payments – made to generators to switch off their power when grid capacity isn’t sufficient – and bring down bills in parts of the country.
It comes as Keith Anderson, CEO of ScottishPower, warned last week that zonal increased the risk that the UK would “snatch defeat from the jaws of victory” on its clean power ambitions.
Analysts Cornwall Insight also said last week that a zonal system is unlikely to be introduced until the 2030s, effectively ending hopes of achieving the government’s ambition of a clean power system by 2030.
In regions among those most directly impacted, the Highlands and Islands and North East Scotland, just 22% of those in the Highlands said the system should be introduced, and 23% were in favour in North East Scotland, with the remainder opposed or undecided.
It comes as 60% of those polled said they do not consider Clean Power by 2030 to be an achievable goal.
However, more than half (54%) said they support the objective, which the government has said will require £40bn of annual investment over the next six years.
True North Senior Energy Advisor Allister Thomas said: “The overwhelming message from Scottish renewable energy developers is that the introduction of zonal pricing risks projects being cancelled or put on hiatus.
“This polling is a clear signal to politicians that the Scottish public wants a system which protects that investment, as our oil and gas communities transition to renewable sources.
“Zonal is unlikely to be introduced until the 2030s, after a multi-year negotiation on what the design of this market will ultimately look like.
“At a time when the windfall tax is resulting in job losses and the accelerated decline of North Sea oil and gas, we must have a stable, investible policy environment for the renewables sector to allow the energy transition to take place.”
