UK government confirms changes to supply chain plans for renewable energy projects
Out-Law News | 27 May 2021 | 3:39 pm | 3 min. read
The UK government will have the ability to withdraw or terminate a contract for difference (CfD) if a developer fails to deliver an acceptable supply chain implementation statement (SCIS) under changes to the renewables auction scheme.
The government has confirmed several changes to be made to supply chain plans under the CfD scheme for the generation of low carbon electricity. In its response to a consultation on the amendments (36 page / 284KB PDF), the Department for Business, Energy and Industrial Strategy said the assessment of a developer’s delivery of supply chain commitments would be brought forward until shortly after the project’s milestone delivery date.
The latest socio-economic report for the project says it will also hire 1,700 people in the next year, with the new jobs including roles in construction,
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EDF warns of delays to Hinkley due to pandemic
Hinkley had been originally due to come online in 2025 when it was given the go-ahead in 2016
23 May 2021 • 6:00am
EDF has warned that the coronavirus pandemic could cause major delays to its £23bn Hinkley Point C nuclear power plant.
Talks are continuing between the French state-owned power business and British officials about potential hold-ups caused by the Covid crisis.
Hinkley’s start date has already been pushed back to June 2026 due to a six-month delay caused by the pandemic. It was originally due to come online in 2025 when it was given the go-ahead in 2016.
Published: 10 May 2021, 13:04
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The next Contracts for Difference auction will open to applications in December 2021.
Together with the government’s response to the Supply Chain Plans and the CfD contract consultation, the Department for Business, Energy and Industrial Strategy (BEIS) confirmed on Friday (7 May 2021) that the fourth round of the subsidy scheme will begin at the end of the year.
It hopes that this announcement will “provide further clarity to prospective participants”, which significantly includes solar PV projects. This follows BEIS confirming in November 2020 that the technology – which had been left out of the two previous auctions – will fall into Pot One in the upcoming AR4, along with onshore wind.