£4 billion wind farm plans scrapped

The large offshore wind farm that was planned for the north Devon coast has been scrapped. The project developer, RWE Innogy, has cancelled the scheme that would have seen 240 turbines built off the the coast, the Department of Energy and Climate Change told the BBC.

The Atlantic Array project had yet to receive planning permission but stood to be a £4 billion investment. It was planned for an area off the Devon coast covering 77 square miles. Although the wind farm would have created some 1,200 megawatts of electricity, power around 900,000 homes, it received criticism from environmentalists.

There were concerns about the environmental impact the 720-foot turbines would have on the area, especially as it would have been constructed ten miles off the Devon coast, meaning it would also be around eight miles from the Lundy Island nature reserve and 14 miles from the coast of south Wales, reports the BBC.

A spokesperson from the German energy firm said: "Atlantic Array is a unique project, with the full remit of technical challenges - the currents, seabed and depth of water [are all working against us].

"We have undertaken a huge range of surveys that have now been completed.

"To make the project viable, we would need the next generation of technology - technology that is not available at the minute. The costs are prohibitively high," reported the BBC.

RWE Innogy said that the project had been scrapped due to the increasing costs that were needed to overcome technological challenges were too high. However, politicians and industry figures have suggested that investors are being put off by the recent attacks on green taxes by the prime minister. These attacks may have created an uncertainty concerning the future of the policy amongst investors.

Prime minister David Cameron has been urged by many MPs not to get rid of green energy measures just because of increased pressure due to the rising cost of fuel bills. It is likely that any moves to abolish green taxes and renewable power levies will see an increase in costs for green investors, reducing the number of future projects. Ultimately this could put Britain's low-emission energy sector at risk in the future.