October 12 (Renewables Now) - Wind projects on the remote Scottish islands will be able to compete in the next contracts for difference (CfD) auction, planned for the spring of 2019.
The UK government said on Wednesday it intends to allow island wind projects to take part in the auction that offers support only to less established renewable technologies, such as offshore wind and marine energy. The news came as the government also announced that up to GBP 557 million (USD 738m/EUR 622m) of funding will be available for future CfD auctions.
There are more than 700 MW of wind projects on the Western Isles, Orkney and Shetland with current planning consents.
Noting that more than 50% of Scotland's electricity consumption comes from renewables energy, minister Richard Harrington said: "We want to go further creating thousands of good jobs and attracting billions of pounds worth of investment. That’s why we are ensuring that remote island wind projects in Scotland, which have the potential to benefit the island communities directly, have access to the same funding opportunities as offshore wind in the next renewables auction round."
The UK government has sought state aid approval from the European Commission for this amendment to the CfD scheme.
(GBP 1 = USD 1.325/EUR 1.116)