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Capacity Market Auction for 2021/22

by Alan Taylor

The provisional results are out for the auction of the 50 GW of capacity required to provide balancing services to National Grid from the winter of 2021/2022. Compared to the last such auction, in December 2016, there has been some dramatic changes, with the most striking being the clearing price dropping to £8.40 per kW/yr, compared to £22.50 for the year 2020/21. This indicates that there has been a fundamental change in the type of generation that has been successful. The majority of the capacity (86%) procured was for existing generation plant, compared to only 1.5% for new build generating capacity. In addition, the greatest proportion of this capacity is to be filled by one year contracts for existing gas powered combined cycle gas turbine plant (46%), with nuclear plant making the second greatest capacity awarded (16%). In light of these results, it is difficult to see how new build generating capacity could be competitive and therefore successful in future auctions of this type.

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Environment Matters - 2018 Back Issues

by Nicole Orme

An archive of our 2018 Environment Matters Newsletters

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Ofgem Guidance on Retro Fitting Battery Storage

by Jack Spurway

Ofgem have released new guidance relating to how to ensure the integration of energy storage into existing ROC and FiT accredited schemes, without jeopardizing existing subsidy payments. This comes at a great time for owners of operational renewable assets who are looking to increase revenues, as it makes provision for intermittent renewable energy sources to supply targeted energy when demand exists.

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An Overview – New farming rules for water

by Ross Malton

At the end of 2015 the government developed a new set of farming rules for water. Farming and environmental organisations helped to develop these rules alongside a consultation. The rules will take effect in April 2018 and be regulated by The Environment Agency.

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