Alderney electricity price falls after payment

Alderney's electricity prices are to fall after the announcement that £200,000 will be paid towards energy costs by a tidal energy company.

Customers will see a reduction of three pence per unit after the first payment from Alderney Renewable Energy.

The company will pay the sum on 1 January 2011, as part of its licence agreement, signed in 2008.

The same payment will be made on an annual basis until the project is up and running.

When the project is operational revenue will be linked to production.

Alderney Renewable Energy CEO, Paul Clark, said grid access had been secured for sending power to the UK and France.

He said the next goal was to secure funds from incentive schemes.