Renewable Energy Installer December/January 2014 | Page 8

News: Analysis Leaping ahead Interest in community energy is rapidly growing presenting an untapped opportunity for installers, says Pure Leapfrog ceo Robert Rabinowitz hilst the community energy movement is still small, it is growing three times as fast as conventional renewable energy.  According to Respublica in its September 2013 publication The Community Renewables Economy, over the last decade community-owned renewable energy’s UK generation capacity has increased by over 1300 percent.  It predicts the sector will grow nine-fold to 550MW by 2020 based on current rates. If the government creates the right policy framework, we think the sector could grow to nearly ten times this size and over 5GW resulting in nationwide opportunities for the installation sector. Community energy has the potential to disrupt conventional energy businesses. Anyone who doubts its potential for growth should take a look at Germany where it is estimated that community energy accounts for close to 50 percent of all energy produced from renewables.  The community green energy movement in W Certification Body Reg. No. 6017 Reg. No. 7975 Reasons to join the Green Deal Revolution 14 MILLION HOMES 2020 need to become more energy efficient AVERAGE 10% DOMESTIC ENERGY 15% LOSS 25% roof windows floors 35% walls 15% draughts Apply now and take advantage of the growing opportunities Green Deal presents to your business. For more information click or call [email protected] 0843 290 3430 8 | www.renewableenergyinstaller.co.uk Photo credit: David Flower Finding fi nance: Social investment provider Pure Leapfrog has fi nanced over 40 community renewable energy projects such as a biomass boiler at Camelford Leisure Centre, Cornwall Germany has grown so much in strength that a Berlin-based energy cooperative is now bidding to buy the entire local power grid. Breaking barriers One of the key obstacles to scaling up community energy has traditionally been the lack of access to conventional funding streams, which is where Pure Leapfrog has been quietly assisting organisations. By providing low cost loans (fi nanced by a credit facility from Big Society Capital), we have to date helped more than 30 installers progress project installations that may have otherwise stumbled for lack of funding.  Pure Leapfrog is a business-led charity whose work goes beyond providing innovative funding.  Many projects have also benefi ted from legal and other professional expertise donated by our network of professional services partners to assist them with legal, technical and commercial issues.  The network has advised on community share issues, fi nancial modelling and roof leasing arrangements, as well as some more unusual planning or technology queries. Success story A recent example of how Pure Leapfrog has helped a community scheme get off the ground was by providing a loan to a community cooperative taking over a leisure centre in Camelford, Cornwall, threatened with closure. The energy savings and RHI income from the purchased woodchip boiler were so signifi cant that the centre would have closed without its installation, depriving hundreds of local school pupils of a swimming pool and causing the loss of the jobs of those who work there.  This is one of more than 40 successful low cost projects we have funded. Our portfolio of community energy loans includes primarily solar panels, but also biomass boilers, solar thermal, LED lighting and emerging heat pump projects. Remarkably, as a social investment provider, we are attracting mainstream investor interest due to the reliable returns being generated. Completed projects also show that for every £1 loaned out, over £4 of fi nancial benefi t is being created for communities in deprived areas, reducing fuel poverty and creating new revenue streams for schools, community centres and charities.   We have ambitious plans to scale up our activities in 2014 and actively encourage project referrals from installers which meet our loan criteria.