Wind Energy – UK
The UK Government has announced that the funding auctions through the Contracts for Difference (CfD) scheme will occur annually, rather than every two years, in a bid to boost the nation’s clean energy supply chain.
The announcement took place on February 9 with Business and Energy Secretary Kwasi Kwarteng claiming that the reform to the CfD scheme would ‘boost energy security, attract private investment and create jobs in our industrial heartlands’.
The CfD auctions have been critical in bringing down the costs of clean energy in the UK. Taking place every two years, CfD schemes have seen the per unit price of offshore wind fall by around 65% since the first auctions were held, which in turn has spurred the UK to become one of the leading markets for that technology.
Amidst the energy bill crisis, the Government will make these auctions annual from March 2023. The Government believes it will help fast-track renewables deployment in the UK by building a bigger and more efficient supply chain for a host of low-carbon sources.
Business and Energy Secretary Kwasi Kwarteng said:” We are hitting the accelerator on domestic electricity production to boost energy security, attract private investment and create jobs in our industrial heartlands. The more clean, cheap and secure power we generate at home, the less exposed we will be to expensive gas prices set by international markets.”