The report, commissioned by the Department for Business, Energy and Regulatory Reform (DBERR), said that a combination of loans, grants and incentives could lead to nearly 10 million microgeneration systems being installed by 2020.
Such a large scale switch to microrenewable energy, it said, could save 30 million tonnes of carbon dioxide.
The report estimates that there are nearly 100,000 microgeneration units already installed in Britain. Nearly 90,000 of these are solar water heaters, with limited numbers of biomass boilers, photovoltaic panels, heat pumps, fuel cells, and small-scale hydroelectric and wind
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