UK think-tank calls for CfD support for 10 GW of onshore renewables, rather than 5 GW

Clean energy think-tank Regen has called on the UK government to double the capacity of onshore renewables backed in the upcoming contracts for difference (CfD) auction to 10 GW from 5 GW.

The call, made in a letter to Secretary of State for the Department of Business, Energy and Industrial Strategy Kwasi Kwarteng on Monday, follows pledges by the government to fully decarbonise the UK electricity system by 2035. According to Regen, the December CfD auction is a chance to make progress towards this goal by supporting more low-cost solar and onshore wind projects and at the same time hedging against rising power prices. The not-for-profit also called for annual CfD auctions.

Based on Regen analysis there are 10 GW of onshore wind and solar projects with planning permission, 9 GW in the planning system and 20 GW in the wider pipeline.

In the upcoming fourth round of the CfD scheme, the UK government plans to support renewable electricity generation projects with GBP 265 million (USD 360m/EUR 312m) per year, with this budget split across three pots. Support of GBP 10 million is envisaged for 5 GW of established technologies such as onshore wind and solar.

Industry group RenewableUK said on Monday that the UK should step up renewables deployment to meet the 2035 decarbonised electricity commitment.

“Boris Johnson deserves credit for backing the Climate Change Committee's urgent call to decarbonise electricity by 2035, but to make this a reality we need to move even faster, building more onshore and offshore wind projects without delay, as well as harnessing the full potential of innovative technologies like floating wind, renewable hydrogen and marine energy,” said RenewableUK's chief executive Dan McGrail.

He urged ministers to set new targets for clean energy technologies across the board for 2030.

(GBP 1 = USD 1.358/EUR 1.177)

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