'Enormous increase' in cash needed for carbon targets

MORE than £10 billion of investment is needed to help Scotland meet its target for cutting emissions by 2020, a new report has claimed.

It warned that without an "enormous increase" in investment and "significant" technological development, there was a "very real risk" that the 2020 target and the one set for 2050 would not be met.

The research, by PricewaterhouseCoopers and supported by Strathclyde University's Fraser of Allander Institute, outlines Scotland`s renewable energy potential and looks at the financial challenges.

The energy regulator, Ofgem, has already estimated that 33bn of investment is needed in offshore wind across the UK. The report said a "significant proportion" of this, totalling more than 10bn, would be required north of the Border.

Holyrood has passed legislation committing Scotland to cutting emissions by 42 per cent by 2020 and by 80 per cent by 2050. The report said: "These targets stem from the knowledge that Scotland has exceptional natural resources for renewable energy.

"However, without an enormous increase in the investment in renewables infrastructure, significant technological development, and co-ordination, drive and co-operation between the public and private sector, allied to the finance to support all of these, there is a very real risk that these targets will not be met."