pubCalls are being made for the next Welsh Government to create a new Community Wealth Fund to provide funds for investment in small-scale community-owned renewable energy.
In its manifesto for the upcoming Senedd elections in May 2026, Community Energy Wales outlines a series of measures it says would “transform the way people both consume energy and how the profits from it are used”.
The measures in the manifesto include devolving the Crown Estates and using the revenue together with a new ‘natural resources levy’ on large-scale private energy developments to create a new Community Wealth Fund.
It describes the proposed fund as “a community version of the Norwegian Sovereign Wealth Fund”, adding that it would provide “much needed funds” for investment in new small-scale community-owned renewable energy.
Community Energy Wales is a not-for-profit membership organisation that provides assistance to community groups working on energy projects in Wales.
It says that if its proposals were implemented in full they would create the right conditions and incentivise more communities to own assets that can secure long-term income.
Ben Ferguson, Co-executive Director for Community Energy Wales, said:
“There is a serious lack of support for the early stages of community-owned businesses – a Community Wealth Fund would allow for the resources needed to create these businesses, and lock in the benefits that come with them to Welsh communities.”
The manifesto, which was put together through grassroots engagement with community energy organisations, outlines a vision for “energy communities” where areas of around 250-300 houses generate, conserve and use as much energy within that area at electricity sub-station level as possible, utilising whole energy systems – looking at electricity use, heating and transport solutions.
The organisation says this would enable people in that community to buy electricity at cheaper prices from generators that they may part-own, as well as help with grid-balancing and initiatives to reduce energy consumption.
It also includes proposals for a new duty to support the circular economy by favouring regenerative as opposed to extractive economic development applications for public support, more investment in training opportunities and apprenticeships in the jobs needed to build energy communities, as well as changes to procurement practice to enable more small-scale, community-owned businesses to compete for contracts.
Leanne Wood, Co-executive Director for Community Energy Wales, said:
“Confidence in private companies, institutions, and governments to do right by their communities is at an all-time low. Profits from previous energy revolutions left the country via the age-old extractive economic model. If this failed model drives the next energy revolution – on top of the severe cuts to public services and public infrastructure – Welsh communities will be exploited and marginalised yet again.
“We have spent a lot of time hearing from our members in the community energy sector about the barriers to developing new community energy. The measures outlined in this manifesto aim to break down those barriers to enable the community energy sector and community ownership more widely to thrive. We hope that political parties and election candidates will engage seriously with the measures outlined. It’s vital that communities are able to realise tangible benefits from the changes that are coming to our energy system, and the measures outlined in this manifesto will enable them to do that. It’s time to make our economy work for the communities of Wales.”
