It is now widely accepted that the best way out of the recession, that is closing the last decade of the third millenium, would not be to return to the economic model of the twentieth century. We now have the opportunity to build a new approach that is genuinely sustainable.

The energy sector has a crucial role to play in this 'Green New Deal', by pioneering an early transition from the wasteful, depletive and approaches of the fossil fuel era to a new approach, where energy is sustainably produced, highly valued and sparingly used. It may be no coincidence that the global recession followed swiftly the highest fuel price rises in history.

The new energy technologies that the Renewable Energy Association represents are reliable, proven and ready to play an accelerating role in the global energy mix. We believe that there are exceptional short-term investment opportunities that can be adopted now to safeguard and create jobs and to build an infrastructure that will enable sustainable energy to play a key role in leading the national and global economies out of recession.

Increased usage of sustanable energy also provides a substantial boost to the national economy by reducing fossil fuel imports. This benefit has been assessed in a report commissioned by the REA.

We are currently developing these ideas, and looking at the following areas in particular:

Decentralised energy

The new renewable energy tariffs to be introduced in 2010/2011 have the potential to allow decentralised energy to make a substantial contribution to the UK energy mix.

We have an opportunity in the intervening months to build industry capability so as to have a 'running start' when the tariffs come into effect.

Centralised energy and transport

Although large-scale renewable generation is often inherently longer term in the planning and investments cycle, there are many regulatory, consenting and policy areas that should be addressed in the short term to facilitate the required ramp-up in activity.

Offshore wind is critical for delivery of the 2020 targets and we propose targeted action to ensure that this sub-sector achieves the necessary short-term acceleration.

The plans for energy sustainability for the 2012 Olympics in particular offer opportunities for immediate initiatives. Similarly there are changes required to the national transport infrastructure to set it on a more sustainable pathway.

Energy infrastructure

The existing energy networks and infrastrucure are now aging and need substantial new investment. Rather than reinstate them to last century's standard, we can use this opportunity to create an energy system suitable for the next generation.

Skills, research and awareness raising

Most energy users are unaware of the new opportunities created by modern energy efficiency, renewable generation and load management equipment.

An early programme can be initiated to build familiarity with the energy technologies that future generations will use. This will be particularly relevant for mature technologies that have yet to be widely adopted in the UK, such as:

A sustainable recovery pathway

The Association published in March 2009 specific proposals for the renewable energy sector, as part of a larger green stimulus package of £10-20bn for 'green' activities, and these were widely supported by others, including the Sustainable Development Commission.

Updated proposals for a £695m package were published before the Budget.