District council purchases solar farm for income stream

Forest Heath District Council has bought what will be the UK’s largest local authority owned solar farm in a £14.5m deal.

The council, advised by law firm Eversheds, bought Greenheath Energy’s 12.4MW solar facility at Toggam Farm near Lakenheath.

It used capital for the purchase, and said that on current assumptions Forest Heath would secure an income of at least £300,000 in the first year rising over 10 years to just over £700,000 a year gained in part through selling electricity to the National Grid.

Cabinet member for resources and performance, Stephen Edwards, said the plant would generate enough power for the needs of 3,000 homes, and deliver a carbon footprint equivalent to that of 2,000 cars.

He said the council had bought the farm because it had looked to new ways to finance itself as government grant would end by 2020.

“We plan to lobby the Government to relax charges over the generation and supply of energy to local markets,” Cllr Edwards said.

“If successful that could allow us to offer our own branded tariffs to local businesses, providing them for the first time with stable energy supply costs, which in turn would help support local economic growth.”

Lawyers from Eversheds' Clean Energy Group advised Forest Heath on grid, regulatory and procurement issues using specialists from its construction, real estate and corporate staff.

Mark Smulian