A leading environmental group has claimed controversial plans to build biomass plants in Dundee, Rosyth and Grangemouth will net Forth Energy around £170m a year in subsidies.
Friends of the Earth Scotland has called on the Scottish Government to abandon plans to pay subsidies to large biomass generators if they can also produce heat.
The Scottish Government recently completed a public consultation on biomass subsidies and proposes to scrap them for large-scale generators unless they are capable of also providing heat.
Critics of the plans claim Forth Energy’s three plants will only produce a minimal amount of heat.
The company a partnership between Forth Ports and Scottish and Southern Energy announced last week it has abandoned plans to build a fourth large-scale biomass plant in Leith.
Friends of the Earth Scotland also claim that Peel Energy, the company that is planning a coal and biomass power station at Hunterston in Ayrshire, could receive up to £91m a year in subsidies if its co-firing biomass proposal is given the green light.
Policy officer Francis Stuart said: ”Government rhetoric on biomass has been positive and their position to support small-scale plants for heat has been the right one.
”Unfortunately, however, these proposals would provide a financial windfall for large-scale inefficient biomass plants like Forth Energy’s proposals for Rosyth, Grangemouth and Dundee.
”Scottish ministers need to go back to the drawing board and come with proposals which rule out subsidies for large-scale biomass while supporting small-scale, locally-sourced biomass for heat.”
The government is expected to publish its final legislation on renewables subsidies at the end of March with legislation going before parliament in the summer.
Forth Energy managing director Calum Wilson said the proposed generators will only use sustainable fuel sources, adding: ”Forth Energy is committed to bringing low carbon, wood-fuelled heat and electricity to Scotland.”