Info!
UPDATED 1 Sept: The EI library in London is temporarily closed to the public, as a precautionary measure in light of the ongoing COVID-19 situation. The Knowledge Service will still be answering email queries via email , or via live chats during working hours (09:15-17:00 GMT). Our e-library is always open for members here: eLibrary , for full-text access to over 200 e-books and millions of articles. Thank you for your patience.

Contracts for Difference (CfD): proposed amendments to the scheme 2020: consultation

"This consultation seeks views on a number of proposed changes to the Contracts for Difference (CfD) scheme to ensure it continues to support low carbon electricity generation at the lowest possible cost to consumers. CfDs incentivise investment in renewable energy by providing developers of projects with high upfront costs and long lifetimes with direct protection from volatile wholesale prices, and they protect consumers from paying increased support costs when electricity prices are high.

The consultation proposes changes to the CfD scheme that would, if implemented, apply to contracts awarded through future allocation rounds, the next of which is planned to open in 2021 subject to any required state aid approval of planned changes. The proposed changes relate to:

delivering the UK’s 2050 net zero emissions target
bioenergy
allocation round design
improving the operation of the CfD
supporting a smart, flexible system"

2 March 2020 - Consultation opened

22 May 2020 - consultation closed

24 Novmber 2020 - outcome published

Policy milestone details

Start date: 2020-3-2

Countries: UK -

Milestone source: Link to consultation webpage

Milestone type: Consultation/call for evidence

Sector: Energy demand and use - Finance and investment -

Organisation: Department for Business, Energy & Industrial Strategy

Subjects: Energy policy, Electricity prices, Carbon emissions, Contracts for Difference, Net zero