Britain boosts latest renewable power subsidy round by 22 million pounds
03/08/2023 07:55
By Susanna Twidale
LONDON, Aug 3 (Reuters) - Britain has increased the
amount available in its latest auction round to spur renewable
power projects by 22 million pounds ($28 million) taking the
total to 227 million pounds, the government said on Thursday.
The move comes after Britain’s Energy Secretary Grant Shapps
met with industry leaders on Wednesday to discuss investment in
new energy projects to help boost the country’s energy security
and meet its net zero emissions by a 2050 climate goal.
“This funding boost is expected to send a powerful signal to
the industry, increasing developer confidence in the sector
every year and enhancing the UK’s reputation as among the most
attractive places to invest,” the Department for Energy Security
and Net Zero said in a statement.
Britain’s contract-for-difference (CfD) scheme, which was
launched in 2014, offers renewable power developers a guaranteed
price for their electricity. The funding boost announced on
Thursday is for its fifth CfD auction which is currently open
for applicants.
Project developers had warned the latest funding available
needed to increase to reflect higher costs.
Sweden’s Vattenfall last month said it would halt
development of its Norfolk Boreas offshore wind farm off the
coast of Britain, as the CfD it was awarded in last year’s
fourth round auction is no longer enough for the project to be
economic.
In the fifth round, the budget for established technologies
such as solar and offshore wind will be increased to 190 million
from 170 million pounds, with 37 million pounds for emerging
technology such as floating offshore wind up from 35 million
pounds, the department said.
($1 = 0.7876 pounds)
(Reporting By Susanna Twidale)
((susanna.twidale@thomsonreuters.com; +44 207 5424753;))