A new publicly-owned energy company called Ynni Cymru has been launched by the Welsh Government. The company, part of Welsh Labour’s cooperation agreement with Plaid Cymru, will be based at the M-Sparc site in Ynys Mon, on Anglesey.
Its aim will be to expand community-owned renewable energy initiatives across Wales. The Cardiff Bay administration said early scoping work has indicated that a “strong opportunity exists for Ynni Cymru to position Wales at the forefront of developing and delivering smarter local energy projects”.
The new energy firm was announced by Climate Change Minister Julie James and Plaid Cymru’s Designated Member Siân Gwenllian. They confirmed that £750,000 will be allocated for a total of 11 projects in the form of resource grants over the next three years.
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These include Cwm Arian for its “Heart of Dyfed Power Unlocker” project, the Dyffryn Ogwen Gynaladwy project in Bethesda, Ynni Cymunedol Gwrog’s Tanygrisiau heat project, and Ynni Newydd Cyfyngedig’s Bretton Hall solar project.
Ms James said the “current market-based approach to the energy system is not delivering decarbonisation at the scale of pace necessary for the climate emergency”.
“To reach this we need a rapid transformation of our energy system,” she said. "With the launch of Ynni Cymru we are on our pathway to meet the equivalent of 100% of our annual electricity consumption from renewable electricity by 2035, and to continue to keep pace with consumption thereafter.
“Local use of locally generated energy is an effective way to support net-zero and keep the benefit in our communities.”
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She added: “Ynni Cymru will complement the great work already being undertaken by the Welsh Government Energy Service and Community Energy Wales, especially around scaling up and increasing the impact of renewable energy assets across Wales.
“We are taking the lead in shaping the energy system to drive Wales towards meeting its Net Zero targets and delivering on Wellbeing goals for a more prosperous future.
Ms Gwenllian said: “Ynni Cymru is an ambitious project which aims to give local people and communities control over local resources and renewable energy initiatives. As we face multiple challenges of a climate crisis and high energy bills, it is more important than ever that we develop renewable energy projects that have local benefit and ownership as a core aim.
“How we produce and consume energy is an essential part of achieving net zero and establishing Ynni Cymru is a key development in our ambitions. We also know that whoever owns energy assets is hugely important. Ynni Cymru’s investment in expanding community-owned renewable energy generation will help decarbonise our energy supply with sustainable green energy and directly benefit people who live in those communities.”
Gavin Gatehouse, chair of Ynni Anafon Energy Cyf, which operates the £1.2 million Anafon Hydro Project in Gwynedd, said: "The reorganisation of the electricity grid to allow local domestic and business consumers to access locally generated electricity has the potential to revolutionise public support for, and engagement with, existing and new community renewable energy projects. We welcome the launch of Ynni Cymru as a significant step towards achieving this goal.”
Welsh Conservative Shadow Climate Minister, Janet Finch-Saunders MS said: "I welcome the investment in community-owned renewable energy generation in Wales, but both Labour and Plaid Cymru are ignoring the elephant in the room. There are hundreds of watercourses running through privately owned land in Wales.
"Alongside support for community owned schemes, the Labour Government should be removing barriers to privately owned schemes. Here in Eryri I know of private individuals who want to invest in small hydro schemes but are being put off because of costs created by the Labour Government. In fact, it was the Labour Government who stripped farmers of business rate relief for hydro schemes on their land.
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