Hundreds of schools and hospitals across the UK are set to receive £180 million for solar panels from the government’s new state-owned energy company.
The first major investment from Great British Energy was announced on Friday as part of government efforts to reduce the country’s planet-warming emissions.
The move was welcomed by the school leaders union and NHS providers who said it would also help to manage the “enormous financial pressure” of energy bills.
But Andrew Bowie, shadow energy secretary, said the government’s net zero plans would make the country “poorer”.
“Right now, money that should be spent on your children’s education or your family’s healthcare is instead being wasted on sky-high energy bills,” said Energy Secretary Ed Miliband on Friday.
“Great British Energy’s first major project will be to help our vital public institutions save hundreds of millions on bills to reinvest on the frontline,” he added.
The government also hopes that the project, to provide solar panels for 200 schools and 200 hospitals, will reduce the use of fossil fuels across public property and help achieve its long-term climate goals.
This is not the first time such a project has existed – the Public Sector Decarbonisation Scheme, launched under the previous Conservative government, has been running for more than four years and distributed close to £3bn for green technologies.
This project in the first instance will target less than 1% of schools.
But Alex Green, head of Let’s Go Zero – a national campaign to reduce the climate impact of schools – said it was a welcome first move.
“It is tough economic times, and to see this progress is a big step. [Whilst] acknowledging that 200 schools is a small starting point, to achieve this in one year is a good pace,” she said.
The announcement has been strongly welcomed by schools, unions and NHS estate managers who have previously warned of the pressure of high energy bills.
In 2022, The National Association of Headteachers (NAHT) had said that a third of its leaders were predicting a budget deficit following a spike in energy costs.
Paul Whiteman, NAHT general secretary, said schools wanted to install solar panels as they provided cheaper energy than paying for gas, but the upfront cost could often be prohibitive.
“This announcement is therefore welcome and a step in the right direction. In the longer term, this should also help schools manage energy bills, which have been a source of enormous financial pressure in recent years,” he said.
But the acting shadow energy secretary disagreed that the government’s approach would save money.
“Labour’s Net Zero zealotry is still set to make us poorer. The government is putting our very energy security at risk with their attacks on North Sea Oil and Gas – surrendering our energy independence to foreign powers like Russia,” he said.
However, energy experts have said that investing in renewable energy could reduce this reliance on imports.
Jess Ralston, energy analyst at the think tank Energy and Climate Intelligence Unit, said: “This GB Energy funding is an investment into energy security as solar panels lower the amount of gas we need to import from people like Putin.”
The first solar panels are expected to be installed by the end of the summer and the government said it would focus them in areas of “highest need”.
