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Released May 02, 2014 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland) - Eight renewable projects with the potential to generate enough power for more than three million homes have been offered Contracts for Difference (CfDs) by the U.K. government.
They include offshore windfarms, coal-to-biomass conversions and a dedicated biomass plant with combined heat and power (CHP) with a total generating capacity of 4,500 megawatts (MW). Contracts for Difference replace the old support system, the Renewables Obligation Certificate (ROC) scheme, and guarantee prices for electricity generated by renewable energy suppliers. These projects are the first renewable energy projects to be awarded CfDs under the government's Electricity Market Reform (EMR) programme. The government believes that the projects will attract up to 14.6 billion ($20.2 billion) in private sector investment and support up to 8,500 jobs.
The eight winning projects announced by the Department of Energy and Climate Change (DECC) include five offshore windfarms and three biomass projects. They are:
Beatrice offshore windfarm (664 MW) in the Outer Moray Firth, Scotland
Burbo Bank offshore windfarm (258 MW) in Liverpool Bay
Dudgeon offshore windfarm (402 MW) at the Wash, north of Cromer, Norfolk
Hornsea 1 offshore windfarm (1,200 MW) off the East Yorkshire coast
Walney extension offshore windfarm (660 MW), off Walney Island in the Irish Sea
Drax Unit 1 biomass conversion unit (645 MW) at Selby in North Yorkshire
Lynemouth biomass conversion (420 MW) at Ashington in Northumberland
Teesside biomass with combined heat and power (299 MW) in Middlesbrough
"These contracts for major renewable electricity projects mark a new stage in Britain's green energy investment boom," said U.K. Energy and Climate Change Secretary, Edward Davey. "By themselves they will bring green jobs and growth across the U.K., but they are a significant part of our efforts to give Britain cleaner and more secure energy. These are the first investments from our reforms to build the world's first low carbon electricity market - reforms which will see competition and markets attract tens of billions of pounds of vital energy investment whilst reducing the costs of clean energy to consumers. Record levels of energy investment are at the forefront of the Government's infrastructure programme and are filling the massive gap we inherited. It's practical reforms like these that will keep the lights on and tackle climate change, by giving investors more certainty."
The government admitted that "more renewable electricity projects applied to the process than we can afford". Out of an original list of 57 applications, 16 projects were chosen in December as having scored above the Phase 2 minimum threshold evaluation criteria. This was further whittled down to 10 before the final eight were announced.
Dong Energy A/S (Fredericia, Denmark) is involved with three of the winning projects.
"We are delighted that we have been successful with all three of our financial investment decision (FID) contract applications we submitted to the U.K. Government," said Henrik Poulsen, Chief Executive Officer of Dong Energy. "These awards represent the successful conclusion of the Electricity Market Reform (EMR) process that has been ongoing over the last few years. It shows that the U.K. is an attractive place to invest in offshore wind; not only for its great natural resources, but also because of the stable investment environment created by the Electricity Market Reform (EMR)."
View Project Report - 78000533 200001109 78000297 78000407 300019696 300044034 300028441 300086026 300043235 78000488
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
They include offshore windfarms, coal-to-biomass conversions and a dedicated biomass plant with combined heat and power (CHP) with a total generating capacity of 4,500 megawatts (MW). Contracts for Difference replace the old support system, the Renewables Obligation Certificate (ROC) scheme, and guarantee prices for electricity generated by renewable energy suppliers. These projects are the first renewable energy projects to be awarded CfDs under the government's Electricity Market Reform (EMR) programme. The government believes that the projects will attract up to 14.6 billion ($20.2 billion) in private sector investment and support up to 8,500 jobs.
The eight winning projects announced by the Department of Energy and Climate Change (DECC) include five offshore windfarms and three biomass projects. They are:
Beatrice offshore windfarm (664 MW) in the Outer Moray Firth, Scotland
Burbo Bank offshore windfarm (258 MW) in Liverpool Bay
Dudgeon offshore windfarm (402 MW) at the Wash, north of Cromer, Norfolk
Hornsea 1 offshore windfarm (1,200 MW) off the East Yorkshire coast
Walney extension offshore windfarm (660 MW), off Walney Island in the Irish Sea
Drax Unit 1 biomass conversion unit (645 MW) at Selby in North Yorkshire
Lynemouth biomass conversion (420 MW) at Ashington in Northumberland
Teesside biomass with combined heat and power (299 MW) in Middlesbrough
"These contracts for major renewable electricity projects mark a new stage in Britain's green energy investment boom," said U.K. Energy and Climate Change Secretary, Edward Davey. "By themselves they will bring green jobs and growth across the U.K., but they are a significant part of our efforts to give Britain cleaner and more secure energy. These are the first investments from our reforms to build the world's first low carbon electricity market - reforms which will see competition and markets attract tens of billions of pounds of vital energy investment whilst reducing the costs of clean energy to consumers. Record levels of energy investment are at the forefront of the Government's infrastructure programme and are filling the massive gap we inherited. It's practical reforms like these that will keep the lights on and tackle climate change, by giving investors more certainty."
The government admitted that "more renewable electricity projects applied to the process than we can afford". Out of an original list of 57 applications, 16 projects were chosen in December as having scored above the Phase 2 minimum threshold evaluation criteria. This was further whittled down to 10 before the final eight were announced.
Dong Energy A/S (Fredericia, Denmark) is involved with three of the winning projects.
"We are delighted that we have been successful with all three of our financial investment decision (FID) contract applications we submitted to the U.K. Government," said Henrik Poulsen, Chief Executive Officer of Dong Energy. "These awards represent the successful conclusion of the Electricity Market Reform (EMR) process that has been ongoing over the last few years. It shows that the U.K. is an attractive place to invest in offshore wind; not only for its great natural resources, but also because of the stable investment environment created by the Electricity Market Reform (EMR)."
View Project Report - 78000533 200001109 78000297 78000407 300019696 300044034 300028441 300086026 300043235 78000488
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
