In April, the Department for Energy Security and Net Zero (DESNZ) launched a call for evidence on the barriers to setting up, developing and scaling faced by community energy organisations.

Transforming the way we generate and use energy so we produce less carbon is a key to tackling the climate emergency and reaching net zero targets. At the Centre for Sustainable Energy (CSE), we bring people together to transform the energy system and tackle the climate emergency, that’s why we’re very engaged in this call for evidence.

We encouraged community energy organisations to submit a response. It’s a key opportunity to re-state the value of community energy and set the agenda for the next government.

Our response can be found by clicking on the link below.

Huge potential of community energy

In our response we stress the huge potential to grow and broaden the community energy sector, empowering communities to actively engage in and lead local energy initiatives and building consent for the just transformation of the energy system to respond to the climate crisis.

Our top five recommendations:

1. Fostering innovation and collaboration.
   We need to see more investment in innovation, learning, and capacity building across the community energy sector. In particular, groups need early-stage support to help them understand the evolving energy market and the opportunities for community level action. We need stronger networks at multiple scales (regional, national and UK-wide) that build capacity, share learning, resources and viable business models, and foster greater collaboration with other energy system and community actors. The strength of the sector is highly contingent on its ability to learn and evolve and collaborate.
2. Levelling the playing field for smaller schemes.
   Create a financial mechanism for renewable energy schemes under 5 MW, providing a route to market and revenue certainty for community energy projects. This could be the catalyst for many groups to make a compelling investment case.
3. Re-imagining the Community Energy Fund.
   Review the fund to support the full spectrum of the community sector, including non-generation schemes and innovative business models crucial for our net zero future. Look to successful models like the Bristol (City Leap) and London Community Energy funds for inspiration.
4. Breaking down regulatory barriers.
   Review and reform regulations that hinder services like peer-to-peer trading, aggregated flexibility services at community scale, and microgrids. Empower community energy groups with access to a regulatory sandbox and fund large-scale pilots of scalable, sustainable business models.
5. Mainstreaming community energy.
   Integrate community energy into existing local democratic structures and processes like town and parish councils and neighbourhood planning. Encourage non-energy focused community groups to engage through climate awareness and net zero behaviour change campaigns.