Written question asked by Lord Berkeley (Labour), in the House of Lords. It was answered by Lord Sassoon (Conservative) on Thursday, 16 June 2011.

Energy: Wind Farms

Question: To ask Her Majesty’s Government, further to the Written Answer by Lord Sassoon on 18 May (WA 340), what guidance is given to companies seeking to develop offshore wind farms to assess the charges to be levied by the Crown Estate; howthe scope for exports and competition within the energy industry affects the revenue to the Crown Estate; and how they intend to fix the long-term grant to the Royal Family from the Crown Estate in place of the Civil List if the future revenue of the Crown Estate from offshore wind generation is unknown.

Answer: The Crown Estate's competitive offshore renewable licensing rounds are subject to open terms and conditions, each notified at the time the licensing round is announced. It is for those seeking permission to operate offshore renewable schemes to determine whether and how they should export any of the energy they generate. They are best placed to assess the competitive market and they tender for participation in the light of their assessments of the market with full knowledge of the commercial terms of the Crown Estate lease. The Crown Estate receives its revenue (rent) based on the amount of energy generated on the seabed under its control, regardless of the route of export. It makes decisions about participation in each licensing round, in line with its obligations under the Crown Estate Act 1961, to maintain and enhance the return obtained through the management of its property portfolio. Details of the operation of the new sovereign grant will be announced when the Bill is published later this year.

Secondary information

Type: Written question
Reference: 9635; 728 c206-7WA
Session: 2010-12
Related items: Energy: Wind Farms
Wednesday, 18 May 2011
Written questions
House of Lords
Subjects: Crown lands and estates Competition Crown Estate Fees and charges Exports Income Seas and oceans Wind power Royal family
Link: View this Written question on www.publications.parliament.uk