PROMOTING RENEWABLE ENERGY IN COMMUNITY BUY-OUT

AREAS IN THE HIGHLANDS & ISLANDS

Mike Danson

University of the West of ScotlandUWS and Oxfam Seminar Series

Whose Economy?

Friday 25th March 2011

UHI, Inverness

Origins of research

Peripheral and marginal regions inappropriate application of core values, processes and strategiesbelief that ideas, innovation etc flows from core → periphery

Gaelic language and economic development survived especially in Gàidhealtachd but also in industrial cities by innovation and adaptation

Land reformagainst 200 years of landlordism, clearances, degradation of land and communities

Local and regional economic developmentresearching and applying lessons across boundaries of importance of enterprise, social capital, assets

Theory and Literature Review

Issue: Ownership of land and assetsstifling enterprise and sustainable community development, and natural environment - degradation of flora, fauna, landscapes, land through ownership of land for ‘consumption of [private] leisure’

Solution: ‘community buy-out’ or common ownership

But classical issue over land held in commoneconomic literature identifies ‘The Tragedy of the Commons’

Argument that, without recognisable stewardship, land and resources can be over-utilised cf. under-utilised under private landlordism

Theory and Literature Review

‘The Tragedy’ highlights the issue that .. “different interest groups with different agendas, have conflicting opinions on certain issues” (Morgan-Davies and Waterhouse 2010)and under private ownership / landlords no forum to resolve conflicts

Solution offered by the right to buy (CRtB) legislation permitting communities to own and manage the land

Necessitates the establishment of companies, limited by guarantee, to manage the common resource

Scottish Land Fund

Scottish Land Fund (financed from the national lottery) administered by state regional development agencies.

Aims to contribute to sustainable development in rural Scotland by assisting communities to acquire, develop and manage local land or land assets. Pioneering in stimulating investment in community development

Theory and Literature Review

Slee report (2008) highlights the main feature of CRtB “In particular, community ownership and involvement were promoted as means of overcoming possible constraints imposed by restrictive tenancy agreements and landlord monopoly control of land and development opportunities.”

Theory and Literature Review

Change in ownership led to: New governance structures to facilitate change Release of energy and enthusiasm in remote

areas for new enterprises, alternative energy sources and increased social capital (Callaghan, Danson and Whittam, Scottish Affairs, 2011)

But new constraints Resources especially financial: land has no value because of

CRtB, so no collateral for loans

Volunteer burn-out small remote communities

Disagreements and conflicts, problems exaggerated in small remote communities

Scottish Government : strategic objectives

"To focus Government and public services on creating a more successful country, with opportunities for all of Scotland to flourish, through increasing sustainable economic growth.

Wealthier and Fairer : "Enable businesses and people to increase their wealth and more people to share fairly in that wealth."

Healthier : "Help people to sustain and improve their health, especially in disadvantaged communities, ensuring better, local and faster access to health care."

Safer and Stronger : "Help local communities to flourish, becoming stronger, safer place to live, offering improved opportunities and a better quality of life."

Smarter : "Expand opportunities for Scots to succeed from nurture through to life long learning ensuring higher and more widely shared achievements."

Greener : "Improve Scotland's natural and built environment and the sustainable use and enjoyment of it."

Strategies and policies

Renewables ~ sustainable economic growth for Scotland ... plan seeks to drive low carbon energy production, in a way which capitalises on Scotland's unique resources, and delivers maximum benefit to her people and her economy (Scottish Government’s ‘Renewables Action Plan’)

Forestry ~ Scotland is a relatively lightly wooded country. It was not always so and the current situation is the result of centuries of deforestation, largely as a result of man’s activities... [woodland cover] is about half of the average of other EU countries and less than one quarter of the woodland area that once covered much of Scotland’s land surface. (Scottish Government’s ‘Rationale for Woodland Expansion’)

Governance ~ land reform (from 2003), five strategic objectives

Developments in Scotland

23rd September the First Minister, Alex Salmond, announced new target of 80% of electricity from renewables by 2020 was being set by the Scottish Government.

"Scotland is ideally placed to help lead the renewables revolution and taking account of the levels of planned investment over the next decade.”

Research commissioned by the trade agency, Scottish Renewables, into the country's renewable energy potential, which includes power drawn from wind, tidal, wave and hydro turbines, and energy from waste and biomass confirmed that the 2007 target of sourcing 50% of electricity power needs from green sources within 10 years could easily be reached. It said it should achieve 31% by next year

Renewables Action Plan: objectives

to provide unambiguous backing for the renewable energy sector, driving progress and identifying and overcoming obstacles to energy generation, business success, jobs growth, and carbon reductions;

to coordinate and facilitate the highest degree of partnership working across the public sector, with increasing alignment behind the Government's renewables objectives, and our binding Climate Change obligations;

to provide the most coherent interface possible with the private sector, building on the strong existing connections between agencies and organisations, including public/private partnership working in key areas such as technology development;

to reinforce the role of the Energy Advisory Board, and its Renewable Energy sub-group the Forum for Renewable Energy Development in Scotland ( FREDS), as the "centre of gravity" for renewables in Scotland;

to lead by example in exploiting renewables potential on the public estate.

Community renewables

Vision : To maximise the benefits for communities

from renewable energy, not only in terms of access to locally produced low carbon energy, but in terms of social cohesion and economic development.

Community renewables

Headline Ambitions: added value for communities: including,

increased skills base for local trades, a stronger partnership within communities delivering wider social and economic benefits from renewable projects, and greater awareness within communities of renewables and climate change;

a reduction in reliance on imported energy by making communities more self sufficient on meeting their own energy needs, particularly in off-gas grid areas;

an increase in renewable energy capacity in Scotland, contributing towards renewable targets in Scotland;

a reduction in energy bills.

The Impact of Community Energy Projects – An Initial Review Summary Report – September 2010 Produced for Community Energy Scotland by Aigas Associates

Awareness and support for the group and our work has increased.

53.9%

The group now has more enthusiasm and a renewed sense of purpose

48.1%

The group is financially more self sustaining

40.4%

More people from the wider community have become involved in our work

34.6%

The group has gained new membership

23.1%

There has been no change

15.4%

What impact has your project had on your group and on the wider community?

Case study communities

Assynt Crofters Trust (1993) Knoydart Foundation (1999) Isle of Gigha Trust (2002) North Harris Trust (2003) Assynt Foundation (2004)

Success stories

Renewable energy Entrepeneurialism (mainly tourist related) Forestry Generational thinking and planning Social capital

Positives: Assynt

“Owning the land, having the security of knowing it’ll still be there in 20, 30, 40, 50, 100 years time allows you to make these longer term commitments.”

Discussion

Great achievements Economic difficulties Social difficulties Uncertain funding

Whose Scottish – rural and urban - Economy?

Extend CRtB across Scotland? Lessons from remote rural to peri-urban

and lowland Scotland Renewables, forestry, governance Asset disposal programmes from local

government, Scottish Government, MoD Lessons from Nordic Europe (and beyond) Wider roles, externalities and spillovers

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