- The Northern Ireland Executive launched the Renewable Energy Price Guarantee (REPG) scheme to attract investment in renewables and deliver cheaper electricity.
- The initiative includes plans to give households near renewable projects electricity discounts and to auction new generation contracts by 2027.
The Northern Ireland Executive has proposed a new Renewable Energy Price Guarantee (REPG) scheme that could offer electricity bill discounts to households near renewable energy projects. The plan also seeks to lower energy costs for all consumers while driving investment in wind, solar, and energy storage.
Economy Minister Caoimhe Archibald said the scheme would boost renewable generation and deliver lower electricity costs to households than they currently pay. She added that it would ensure local communities share in the benefits of the transition to net zero.
The Department for the Economy’s final scheme design confirmed that achieving the 80% renewable energy target by 2030 will depend on a steady pipeline of projects and improved grid infrastructure. Capacity limits in the grid have forced operators to “dispatch down” wind power to prevent overloads.
RenewableNI Chair Tamasin Fraser welcomed the announcement, saying it would create jobs, attract investment, and stabilise electricity prices.
“This is one of the most directly beneficial actions the Executive has taken to power economic growth, particularly in rural areas,” she said.
Fraser highlighted that relying on Northern Ireland’s clean, indigenous resources would shield consumers from global energy shocks like those caused by the war in Ukraine. She estimated that reaching the 80% renewable generation target would deliver consumers about £110 million in net annual benefits.
Under the Programme for Government (2024–27), the Executive has pledged to increase renewable generation by another 40%. The first REPG auction to award generation contracts will occur in early 2027, targeting between 750GWh and 1,250GWh of annual power.
The scheme will operate through a fixed-levy, two-way payment system. Electricity companies will pay generators the difference when market prices fall below the agreed level. When prices rise, generators return excess earnings, which suppliers will pass on to consumers. Over time, this structure is expected to reduce price volatility and dependency on fossil fuels.
Fraser urged the government to implement the scheme promptly and address grid constraints, planning delays, and policy gaps that have stalled renewable progress. She noted that renewable power generation stagnated after peaking at 51% in 2022, with only five new wind farms connected in the last five years compared to 400MW in 2016 under the previous support system.
The Department for the Economy also plans to explore a “community benefit” element to reward households living near supported projects, mirroring similar schemes in Great Britain and the Republic of Ireland.