Government claims ongoing commitment to Welsh freeport
In its response to the Welsh Affairs Committee’s report, Renewable energy in Wales, the UK Government has emphasised its ongoing commitment to a range of economic and renewable energy projects in Wales, including a freeport.
Responding to points the Committee made in July, the Government has said that the Crown Estate is intending to hold a new leasing round for floating offshore wind in the Celtic Sea, with three floating wind test and demonstration projects having passed through the initial application criteria.
It also explained that floating offshore wind developers will be able to bid in the next Contracts for Difference auction later this year, and that government officials continue to engage with tidal stream developers to understand their cost-reduction trajectories.
To make sure more offshore wind farms can connect to the Grid, the Offshore Transmission Network Review seeks to ensure that future connections for offshore wind are delivered through increasing coordination.
The Government also said it remains committed to establishing a ‘Freeport’ in Wales as soon as possible. Freeports are one of the flagship policies of the current Conservative government. They are specially designated sea ports or airports, where goods that arrive from abroad are initially exempt from tariffs. Only if the goods are moved elsewhere in the country, beyond the boundaries of the freeport, are they then liable for tariffs.
Welsh Affairs Committee Chair, Rt Hon Stephen Crabb MP, said: “It is welcome news that with only a week to go until COP26, that the UK Government is again reaffirming its commitment for renewable energy in Wales. While the UK Government rejected our recommendation to implement a Ten Point Plan for a Green Industrial Revolution for Wales, it is promising that there continues to be dialogue between the governments, arm length bodies such as Ofgem, and developers to further low carbon energy.”
