The UK government has approved changes allowing fixed-bottom offshore wind projects to enter the upcoming AR7 Contracts for Difference (CfD) auction without full planning permission, a move intended to accelerate clean energy development.
According to a government response published on Monday, developers will be eligible to apply for AR7 support later this summer if their projects have either had planning applications accepted by the Planning Inspectorate in England and Wales, or if public consultations have begun on Section 36 consent in Scotland, at least 12 months prior to the application window.
The Department for Energy Security and Net Zero (DESNZ) also confirmed that the final auction budget will be informed by new rules. Under the revised framework, Energy Secretary Ed Miliband will be allowed to review bid information for projects that exceed the initial budget cap and may increase available funding if it helps maximise capacity and benefits consumers.
Additional changes include extending CfD contract lengths from 15 to 20 years for several technologies, including offshore and onshore wind, and expanding the commissioning window for solar PV from three to 12 months.
“We need to go further and faster to make Britain a clean energy superpower, end our reliance on volatile global gas prices and make working people better off with homegrown power we control,” Energy Secretary Ed Miliband said in a statement. “These reforms will give developers the certainty they need to build in Britain, helping deliver more clean power projects and supporting thousands of jobs – all part of the mission to bring bills down for good through our Plan for Change.”
DESNZ added that the offshore wind budget for AR7 will be made public before the bidding window opens.