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Costly renewable energy will harm economy, business leaders warn

A group of business leaders have warned that expensive renewable energy could see a decrease in competitiveness.

Expensive renewable energy will damage the UK’s economy, experts have warned.

A group of business owners and consumer groups have slammed the government’s Energy Bill, labeling it “absurd”. The collective also warned that the legislation could see the UK “sleepwalking into blackouts”.

The Powerline, a cross-industry group, is to launch a scathing attack on the Bill through advertising and social media.

According to the group, the Bill relies too much on costly renewable energy where it should be focusing on traditional and lower-cost energy sources such as coal-fired and gas power stations.

The Powerline group outlined that the extra costs the Bill will put onto already cash-strapped individuals will see a further decline in UK competitiveness. This effect is likely to be compounded given that the situation is being played out against the backdrop of a potential triple-dip recession.

A leaked memo from the group revealed that it wants to launch a “dispassionate debate” about green energy.

It said: “Our ambition is to stop Britain sleepwalking into blackouts, soaring energy bills and a desert of lost jobs.”

News of this campaign will no doubt come as a further blow to the government’s energy policy. The coalition is already struggling to put private-sector funding in place for a new nuclear project at Hinkley Point in Somerset.

The Energy Bill had its second reading in parliament in December, and is due to be granted Royal Assent later this year.

Energy secretary Ed Davey claimed that the green energy measures could save householders £166 a year by 2020.

Measures include planning to use a combination of pollution fines and green subsidies to replace coal-fired power stations with low-carbon alternatives.