REG - Greencoat UK Wind - Removal of Carbon Price Support

Greencoat UK WindAnnouncement

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RNS Number : 8429A  Greencoat UK Wind PLC  17 April 2026

LEI: 213800ZPBBK8H51RX165

 17 April 2026

GREENCOAT UK WIND PLC

(the "Company")

Removal of Carbon Price Support

Yesterday the Government stated that it will legislate to remove Carbon Price
Support ("CPS") with effect from April 2028.

CPS is a tax on fossil fuels used in electricity generation and was designed
to ensure a minimum carbon price for electricity generation. It sits alongside
the UK Emissions Trading Scheme ("UK ETS") and serves to top up the UK ETS
price by £18/tonne of CO(2).  CPS feeds into electricity prices where a
carbon emitting generator, such as a gas plant, is the marginal price setter.

The forecasts in the Investment Manager's valuation assumptions had
anticipated that CPS rates would reduce significantly. Further, CPS was
expected to become less meaningful to electricity prices in the longer run as
UK renewable generating capacity expands and carbon emitting generators set
the marginal price less frequently.  Yesterday's announcement brings this
forward.

Initial analysis by the Investment Manager indicates that electricity prices
used in the Company's NAV could fall by approximately £4 - 5/MWh from April
2028 to the early 2030s, and by £2 - 3/MWh thereafter. The Investment
Manager's preliminary assessment is that this could reduce the Company's NAV
by 3 - 5 pence per share.

The Company will publish further details in its Q1 factsheet, which is
expected to be released on 27 April 2026.

 

For further information, please contact:

Greencoat UK Wind PLC

Stephen Packwood

Matt Ridley

John Musk (Investor Relations)                          020 7832
9425

john.musk@schrodersgreencoat.com

Headland
                  020 3805 4822

Stephen Malthouse

Charlie Twigg

ukwind@headlandconsultancy.com (mailto:ukwind@headlandconsultancy.com)

Ocorian Administration (UK) Limited Company Secretary

Josh
Finlay
        028 9693 0219

 

 

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