Peel ‘making good progress’ on Mersey energy plan

THE Peel Group says the Government’s withdrawal of support for a tidal energy scheme on the Severn estuary will not affect its plans for similar technology on the Mersey.

Manchester-based Peel has been working on the idea for more than two years and hopes to submit a planning application in early 2012.

The technology could cost as much as £1bn but would generate enough power for 200,000 homes.

Project director Anthony Hatton told TheBusinessDesk that the company had made “good progress” towards identifying a preferred scheme and determining its viability.

A report by Wirral Council last month flagged up the Department of Energy and Climate Change’s (DECC) feasibility study on the Severn plans which found there was, “no strategic case for public funding of a scheme to generate energy in the Severn Estuary and that other low-carbon options represented a better deal for taxpayers and consumers”.

Mr Hatton, said: “The Government’s recent announcement doesn’t affect our plans. Their report clearly states that the Severn Tidal Power Feasibility Study’s conclusions do not bear on schemes outside the Severn estuary.”

He added: “We are continuing to work with local and national stakeholders to explore the options that will address the consenting and commercial issues while still realising the substantial benefits a scheme could deliver, including providing enough electricity to meet the needs over 200,000 homes.”