UK energy department BEIS is mulling changes to the Contracts for Difference (CfD) renewable price support regime and will launch a consultation ahead of the fourth allocation round in 2021.
Responding to the Committee on Climate Change’s 2018 Progress Report to Parliament, the department said it wants to achieve “appropriate balance between maintaining stability and certainty for the renewables sector”.
BEIS will “refine” its renewables policies to ensure they evolve and remain appropriate for the operating environment, it added.
The UK government has pledged to hold CfD allocation rounds every two years to support new renewables projects, with the next one to be opened by May 2019.
“With that schedule of allocation rounds, we will be considering further refinements to the CfD policy to improve its operation and stimulate the deployment of renewables whilst driving costs for consumers down.
“We anticipate publishing a consultation on policy changes we are considering in the context of allocation round four, scheduled for 2021, in due course.”
Trade body Scottish Renewables said the consultation should be the vehicle for the government to consider the reintroduction of onshore wind and solar.
“It is essential that we do not let the opportunities provided by renewable energy – including onshore wind and solar – slip through our fingers, and we look forward to working with government as its plans for the fourth CfD auction progress,” said senior policy manager Fabrice Leveque.