May 3 (Renewables Now) - The overall budget for the third Contracts for Difference (CfD) auction in the UK has been increased to GBP 65 million (USD 84.7m/EUR 75.6m) from GBP 60 million in the draft proposal, and the final details have been confirmed.
The allocation round starts on May 29 and will be open to all so-called Pot 2 less-established technologies such as offshore wind, geothermal power, remote island wind, and marine power, among others. All projects have to be delivered in 2023-2024 and 2024-2025.
In the document dated May 1, the Secretary of State for Business, Energy and Industrial Strategy announced the strike prices proposed by the government for the separate technologies. See the table for details. All prices in it are in GBP/MWh in 2012 prices, while a more recent price base can be calculated using a CPI index.
|Technology||2023/24 strike price||2024/25 strike price|
|Advanced conversion technologies||113||111|
|Anaerobic digestion (> 5MW)||122||121|
|Dedicated biomass with CHP||121||121|
|Remote island wind (> 5MW)||82||82|
The government expects to contract 6 GW of capacity with this round.
(GBP 1 = USD 1.3/EUR 1.16)