UK announces plans for next CfD auction
On Nov. 9, the U.K. Department for Business, Energy & Industrial Strategy released details of the next Contracts for Difference auction, noting companies will compete for £290 million ($352.8 million) worth of contracts.
The application process for the next CfD allocation round is set to open in April and is open to offshore wind, advanced conversion technologies, anaerobic digestion projects greater than 5 MW, dedicated biomass with combined-heat-and-power, wave, tidal stream and geothermal projects that begin operations from 2021-’22 or 2022-’23. The auction is not open to wind, solar and biomass conversion projects.
According to the DBEIS, the CfD auction will result in enough renewable electricity to power approximately 1 million homes while reducing carbon emissions by approximately 2.5 million metric tons per year from 2021-’22 onward.