Haven Power

DECC seeks to tighten CfD delivery rules

DECC seeks to tighten CfD delivery rules


 

The department has announced plans to reform its policy mechanism that incentivises contracts for difference (CfD) applications only from projects that are likely to be delivered. At present, projects that are awarded a CfD but then fail to deliver on schedule can be excluded from future allocation rounds for a period of 13 months from the date of the CfD notification for the project. However, the department is now proposing that this exclusion period should be extended to 24 months. It said that, when the Non Delivery Disincentive was established, it had been anticipated that allocation rounds would occur as frequently as annually, but this has not proved the case. Responses are invited by 22 June.

 

DECC