UK Locks In Record 14.7 GW Of Clean Power In Biggest Renewables Auction

Britain has set record levels of new solar and onshore wind projects as part of its latest renewables auction. This latest initiative has enabled the country to move towards greater energy independence and lower bills.

The tender comes just weeks after the government delivered the single biggest procurement of offshore wind in Europe, defying global challenges facing the industry and securing a major vote of confidence in the UK’s clean energy mission.

The latest announcement also builds on record solar projects secured, the largest onshore wind project to be successful in England in a decade, and new tidal stream schemes. Combined with January’s offshore wind results, the government has now delivered a record 201 projects, generating 14.7 GW of new clean power—enough to supply the equivalent of 16 million homes.

How Does the New Tariff Impact Power Pricing in the UK

The slew of initiatives put together brings the UK on track to meet its 2030 clean power target, securing clean, homegrown energy at good value for billpayers. Among the renewable energy projects, new onshore wind was agreed at £72.24/MWh and new solar at £65.23/MWh, both less than half the £147/MWh cost of building and operating new gas power stations.

Neil McDermott, Chief Executive of the Low Carbon Contracts Company (LCCC), said, “These results demonstrate the enormous contribution the CfD is making to Great Britain’s electricity system. Together, these projects will provide new renewable electricity generation at scale, particularly when paired with the record offshore wind capacity contracted in AR7. LCCC is proud to be managing these contracts, providing certainty to investors and supporting British jobs.”

Once built and generating, the new clean, homegrown power secured today will reduce bills for households and drive down wholesale prices. It would also protect families and businesses from fossil fuel price shocks that have triggered half of all recessions since the 1970s.

In the long term, these projects can also deliver critical infrastructure for the country as Britain races to cut energy bills and meet future electricity demand. They can help unlock an additional £5 billion in private sector investment and support up to 10,000 jobs.

Energy Secretary Ed Miliband said the latest result shows that prices for new onshore wind and solar are more than 50% cheaper than the cost of building and operating new gas power, and that clean British power is the right choice for the country.

Head of Mission Control Chris Stark said that with each new solar and onshore wind project, Britain reduces its reliance on gas power plants, insulating families from the next spike in global gas prices.

Previous Successful Projects in the State

Successful projects include:

• Imerys Wind Farm, Cornwall – the largest onshore wind project to be successful in England in a decade, helping rebuild an industry that was stagnant under the de facto onshore wind ban.

• Sanquhar II Wind Farm, Dumfries and Galloway, Scotland – the fourth-largest onshore wind farm in the UK, driving growth and private investment across the region.

• West Burton Solar Farm – a Nationally Significant Infrastructure Project and the largest solar farm ever to win a government renewables contract, transforming the site of the last coal-fired power station into a powerhouse of clean, secure, homegrown energy.

Britain is building clean, homegrown energy at every scale. These results follow the publication of the Local Power Plan by the government and Great British Energy. A fund of up to £1 billion will enable communities across the UK to own and control their own clean energy projects, building community wealth through the largest public investment in community energy in the country’s history.

This also follows wider action to cut energy bills, including removing an average £150 from bills from April and delivering the largest-ever public investment in home energy upgrades through the Warm Homes Plan.