Generandi

UK announces move to annual CfD auctions

The U.K.’s CfD scheme is the country’s primary method of supporting renewable energy growth.

Landfill gas, sewage gas, energy-from-waste with combined-heat-and-power (CHP), large-scale anaerobic digestion, and dedicated biomass with CHP are among the technologies eligible to participate in the fourth round of the CfD scheme, announced in September 2021. Coal-to-biomass conversions were eligible for earlier rounds of the program.

A statement released by the U.K. Department for Business, Energy and Industrial Strategy explains that the increased frequency of CfD auctions will help accelerate the deployment of low-cost renewable electricity within the country.

The U.K. Association for Renewable Energy and Clean Technology has applauded the change to the CfD program. 

“The REA welcomes the move to annual CfD auctions as confirmed by BEIS today,” said Frank Gordon, director of policy at the REA.

“We and others have called for more frequent auctions for a number of years, most recently in response to the energy bills crisis. More power will be needed as sectors decarbonize, and moving to renewable, domestic energy supplies is ultimately the only way to prevent us being exposed to volatile international fossil fuel prices that drive bill increases, while enabling Net Zero.”

Source: Biomass Magazine (2022)

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