Last week, the UK government released its long awaited second and final response to the CfD reforms public consultation, providing greater clarity for potential interested bidders and wider industry.
These include:
🔹Increasing the CfD term to 20 years
🔹Reintroducing a budget ahead of the bidding window instead of a Capacity Ambition statement
🔹Relaxing the eligibility criteria for fixed-bottom projects.
These reforms to the UK CfD scheme will extend revenue certainty while also increasing the potential competition by allowing projects not yet fully consented to compete. With stronger policy signals ahead of the application window in August, the offshore wind sector can prepare with greater confidence.
Aegir Insights’ clients have access to a new report, giving an overview of the changes announced, modelling new strike and bid prices in Aegir Quant™ with the additional years of support, as well as evaluating the impact of relaxed eligibility on fixed-bottom competition and bidding strategies.
Interested in getting a glimpse of our analysis?
Reach out to us here to schedule a meeting.
Aegir Wavelength: Aegir Insights' webinar series, diving into key talking points and market developments
With our Wavelength webinar series, you get an overview and Aegir Insights analysts' view on key talking points and recent market developments globally in offshore wind.
AR6 and beyond – where does UK offshore wind need to go from here? Market Analyst Signe Tellier Christensen and VP Business Development Matthew Delany unpack the surprising outcomes of the AR6, explore the unspent budget, and confront the ongoing backlog from previous rounds. Further, they will discuss the future and dynamics of the UK's offshore wind sector in pursuit of fulfilling the UK's ambitions and potential.
Don’t hate the player, hate the game. Untangling UK AR7 and Hornsea 4. Aegir Insights' CEO Scott Urquhart, Market Analyst Signe Tellier Christensen and Senior Associate Sebastian Kæmpe Hansel talk through the ins and outs of the UK market design and competitive landscape drawing on first-hand commercial experience playing in the competitive UK offshore wind markets.
If you are interested in getting access to these Wavelength editions, reach out to us here.
Aegir Newsletter: Stay up-to-date with development in offshore wind and new analysis by Aegir Insights
Delivered straight to your inbox, Aegir Insights' intelligence newsletter will sharpen your market insight with exclusive analysis on key markets, developments, and technologies shaping offshore wind.