EU Requests WTO Consultations Over UK's Green Energy Subsidy Scheme

The EU is requesting consultations at the World Trade Organization with the U.K. over its practices relating to its support of green energy projects, the European Commission announced. In particular, the EU alleged that the U.K. favors British over imported content in granting subsidies for offshore wind energy projects. The allegation says that the U.K. government implements a local content criterion when assessing bids for these projects. The commission said such rules violate the U.K.'s WTO commitments, namely the national treatment principle, while also hobbling many EU suppliers in the green energy industry.

"The EU has raised its concerns with the UK on several occasions, but to no avail," the commission said. "The EU is, therefore, bringing the matter to the WTO and hopes that it can be resolved swiftly." If the dispute settlement consultations don't result in a satisfactory solution within 60 days, the EU can request the WTO to set up a panel to rule on the matter.