Scottish Consortium Buys Two Years of Green Power

When communities come together to support renewable energy, the results can be financially staggering. The Authorities Buying Consortium (ABC) of Scotland has doubled the amount of electricity they purchase annually from renewable energy sources under a GBP 28 million (US $52.8 million) Green Source contract with power provider ScottishPower.

ACB consists of a dozen local authorities and other regional public sector organizations, such as the police and fire service. ScottishPower’s Green Source option matches every unit of electricity the customer uses with a supply of new renewable energy into the electricity grid from sources such as small scale hydro schemes, wind farms and landfill gas sites, which are all owned, and contracted or purchased by the utility in the United Kingdom (UK). The contract with ABC 100 should cut CO2 emissions by around 250,000 tons a year, which is the equivalent of taking 60,000 cars off the road. Under the Green Source deal, the following communities will receive electricity supply to local authority premises for the next two years: Glasgow, Renfrewshire, North Lanarkshire, South Lanarkshire, East Dunbartonshire, West Dunbartonshire, Inverclyde, Argyll and Bute, East Renfrewshire, North Ayrshire, South Ayrshire, East Ayrshire. “Green Source firmly supports ScottishPower’s drive to help the UK Government address global climate change through meeting its target of supplying at least 10.4 percent of our electricity from renewable energy sources by 2010,” said Willie MacDiarmid, Managing Director, Customer Sales and Service for ScottishPower. Paisley-based ABC is a local government purchasing-agency, which services 12 councils and around 150 other organizations including many major colleges. ScottishPower will supply ABC with around 560 GWh per annum until the end of March 2007, which should be enough to power almost 170,000 domestic properties. Member Councils of ABE will see an increase in the price of electricity, and the consortium worked closely with Council Energy managers on details of the contract. Because of the contract with ScottishPower, however, Councils will no longer need to pay the Climate Change Levy, which is a tax on energy generated by the use of fossil fuels. “Given the current level of pricing for energy on the world markets, this is a relatively good deal for our customers,” Ronnie Cochrane, purchasing manager for energy contracts with ABC, said. “In addition, we have extended our contract with Scottish and Southern Energy for the supply of unmetered electricity for street lighting, traffic signs etcetera, and we have been able to raise the green content of this electricity to 40 percent from the existing level of 25 percent. There is no doubt that our green credentials are very robust”. In the rest of the UK, over 100 major organizations, including The Co-op Group and Scottish Water, have achieved exemption from the Climate Change Levy by signing up to ScottishPower’s Green Source option.
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