UK government confirms $738 million funding for renewable energy projects

The UK government has announced a funding package of up to US$738 million for the next round of auctions for less-established renewable energy projects.

The proposed contracts-for-difference (CfD) auctions are likely to take place in the spring of 2019, with the details set to be underlined in the government’s new Clean Growth Strategy, which will be published this week.

Under the CfD support scheme, qualifying projects will be guaranteed a minimum price for the electricity they produce.

Recent auctions in the UK have witnessed costs of renewable energy fall dramatically, with offshore wind power falling by 50% in the latest CfD.

This price was significant as it meant offshore wind fell below new nuclear generation for the first time.

“The UK government took a bet on offshore wind and the industry delivered in style last month,” said John Sauven, executive director of Greenpeace UK.

“Offshore wind has the ability to deliver thousands of jobs, attract billions in foreign investment and secure hundreds of international product and service contracts for British companies.”