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UK says to struggle with its green energy targets

BRUSSELS, Feb 2 (Reuters) - Britain could struggle to hit its target of getting 15 percent of its energy from renewable resources within the next decade, according to a UK government report submitted to the European Union.

Interim targets for the next six years will cause even greater problems.

The European Union's executive has been collating the energy forecasts of its 27 member nations to see if more needs to be done to cut climate-warming emissions.Most have now replied saying they will hit their targets or over-achieve.

Britain submitted its forecast late on Monday, saying it was on track for its 15 percent goal if energy consumption remained at low or moderate levels.

Unless consumption remains stifled as it has been during the economic crisis, it could fail to hit any of its interim targets for the next six years.

"Our analysis suggests that the level of renewable energy expected to be deployed over the coming decade will be sufficient to meet the interim targets under assumptions of low overall energy demand," said the report, displayed on an EU website.

"However, if demand is higher, ie around the central or high projection, then we are less confident about achieving the first three interim targets," it added.

The UK has moved from a position of wanting to and being able to lead Europe on developing renewable technology to being in danger of lagging behind. There are many technology opportunities in the UK, but the regulation needed to create markets that encourage sustainable energy solutions are missing.

The UK Government needs the ambition to set challenging targets with real requirements for sustainability and then let the markets respond, without interfering. Once industry senses that Government may interfere to tweak regulations, then the only projects that get financed are those that deliver very short payback. Our Energy needs are long term, not short term, so the regulation needs to stimulate and allow longer term investment returns.