Comment

Will the Local Power Plan empower communities?

In February 2026 the Department for Energy Security and Net Zero (DESNZ) and Great British Energy (GBE)[1] launched the ‘Local Power Plan’. The vision for the plan is for 'every community to have the opportunity to own a local energy project by 2030’[2]. The ambition is to be commended but for communities to fully benefit there are some considerations which should be taken into account within the upcoming additional guidance.

The Local Power Plan aims to drive forward a change in community ownership, by providing resources to deliver renewable energy projects. The intention of the Local Power Plan is to inject £1 billion of funding to support over a thousand projects across the country. This will help to build capacity within communities so that everyone can benefit from renewable energy. The plan pledges to provide:

• Direct funding to get projects into development
• Assistance with capacity building, to help communities to plan and build their projects
• A long-term plan to attract more investment into the industry
• Policy and regulatory change 

This ambition should be celebrated, but there are some key aspects to consider if the plan is to be a success.

Will disadvantaged communities actually benefit?

If Government wants to see every community owning, leading and benefitting from clean energy, GBE's Capital Toolkit (launching in summer 2026) will need to set out the practicalities of how this will happen. For example, how will resources and funding be allocated, and importantly, how will the message be shared and communities educated on how to access these opportunities? Whilst a standardised application approach has been suggested by some, a community's local needs are often more complex, including the time they may have to dedicate to the process. The intricacy of local needs should be taken into consideration when awarding funding. 

How can the private sector assist? 

To set it up for success, GBE needs the backing of a range of stakeholders, and so the role for responsible developers to assist with such schemes needs to be made clearer. There is appetite from across the sector on all types of schemes, of all different sizes, to ensure that communities reap the benefits associated with development.

Build ready, but who is responsible for up-keep? 

Whilst shared ownership of these schemes is important, realistically, communities will still need to be upskilled in how to manage the infrastructure, with a clear maintenance plan in place.

As well as ownership of physical infrastructure, as the Plan notes, there is still a place for other types of community support, such as Community Benefit Funds, which provide monetary donations to local residents on an ongoing basis.

For more information on the Local Power Plan please get in touch with Beth Parsons.

3 March 2026

[1] Launched in 2024, Great British Energy is a publicly owned clean energy company, working within the Department for Energy Security and Net Zero
[2] Local Power Plan, February 2026