Economic Impact of Low Carbon Energy
We help our clients to understand the local and regional socio-economic impact of the construction, operation, and decommissioning of low carbon energy infrastructure, including nuclear power stations, wind farms, district heating, energy from waste, and carbon capture and storage.
How We Can Help
Using UK Government and HM Treasury guidance and principles, and wider best practice advice, we calculate the local and regional socio-economic impact of low carbon energy infrastructure projects, from their inception, through delivery, operation, and decommissioning. This informs the assessment of planning applications for nationally significant infrastructure projects. We have done this for:
- Four nuclear power stations
- Three offshore wind schemes
- Energy from waste
- Carbon capture and storage
- A heat pipeline linking a waste to energy plant to a district heating system
The Importance of Understanding the Impact of Low Carbon Energy Infrastructure
Nationally significant low carbon energy infrastructure projects are often very large and sometimes contentious. Many factors are considered when assessing their planning applications, including their impact on the local and regional economies. Given their complexity, these projects have both positive and negative impacts, and calculating and responding to these is discussed in more detail in our Maximising Benefits and Mitigating Negative Impacts page. Full consideration of the overall impact of these projects requires a thorough understanding of their economic impact.
Our Approach
Our approach is based on guidance and principles set out by the UK Government, HM Treasury and others. A typical project will involve:
- Creating a socio-economic baseline of the local area, against which impact can be measured
- Understanding the employment involved in the construction, operation, and decommissioning of the project, and the supply chain opportunities and challenges for local businesses
- Calculating the local and regional impact of the project both directly and indirectly in terms of employment, supply chain spend, and other local spend
- Considering both positive and negative impacts, which are discussed in more detail in our Maximising Benefits and Mitigating Negative Impacts page
- Assessing the impacts against the baseline, to determine their significance
Exeter & East Devon Enterprise Zone requested a high-level appraisal of a proposed district heating transmission main that would serve the Cranbrook Expansion Zones. Our appraisal showed that the project did not meet the strategic objectives of the Enterprise Zone. This led to the Enterprise Zone reconsidering their investment, and seeking an appraisal of an…
In 2018, HJA was instructed by the now East Suffolk Council and Suffolk County Council to produce an Economic Impact Assessment of the proposals for the construction of the new Sizewell C nuclear power station.
HJA was commissioned to deliver the socio-economic EIA chapter of an Environmental Statement for the Marine Energy Test Area (META) in Pembrokeshire, Wales, with the scheme being approved in December 2020 and now operational.
Exeter & East Devon Enterprise Zone requested a high-level appraisal of a proposed district heating transmission main that would serve the Cranbrook Expansion Zones. Our appraisal showed that the project did not meet the strategic objectives of the Enterprise Zone. This led to the Enterprise Zone reconsidering their investment, and seeking an appraisal of an…
In 2018, HJA was instructed by the now East Suffolk Council and Suffolk County Council to produce an Economic Impact Assessment of the proposals for the construction of the new Sizewell C nuclear power station.
