Tag: Dan Byles

The below Parliamentary question was asked by Dan Byles on 2014-06-24.

To ask the Secretary of State for Energy and Climate Change, with reference to the Answer of 14 May 2014, Official Report, column 595W, on electricity, what assessment he has made of whether the ability of auctions to drive value for money is dependent on market plurality and competition; and if he will make it a formal objective of his Department to ensure that independent generators are able to compete in Contracts for Difference auctions on an equal footing.

Michael Fallon

The secondary legislation for the Electricity Market Reform programme contains provisions to move straight to allocation rounds, with competitive auctions setting the price where the demand for CfDs exceeds the available budget.

DECC analysis shows that the pipeline of projects is strong and can deliver a competitive outcome, whilst the Administrative Strike Price sets a cap to protect consumers.

More generally, the auction has been designed to encourage participation, and we are introducing the Offtaker of Last Resort (OLR) to support independent renewable generators by providing them with a guaranteed route to market and improving their ability to raise project finance.

DECC officials have worked closely with developers and other stakeholders on these proposals, and the approach to implementing the OLR is currently being consulted on.

The below Parliamentary question was asked by Dan Byles on 2014-06-24.

To ask the Secretary of State for Energy and Climate Change, with reference to the Answer of 14 May 2014, Official Report, column 593W, on electricity, what recent discussions he has had with the Independent Renewables Generators Group on the timing of the introduction of auctioning; what assessment he has made of independent generators’ ability to raise project finance against the Offtaker of Last Resort before October 2014; and if he will make a statement.

Michael Fallon

I met with the Independent Renewable Generators Group on 24th February 2014 and discussed the introduction of auctioning for Contracts for Difference (CfDs).

The Offtaker of Last Resort will support independent renewable generators by providing for the worst-case route-to-market, allowing generators to raise project finance without necessarily having to enter long-term PPAs. As a result, such generators are likely only to need short-term PPAs in order to maximise their secured revenue and level of gearing. We are on track to deliver the final policy and introduce enabling regulations ahead of first allocation of CfDs. CfD applicants will, therefore, have a high degree of clarity about the arrangements for OLR in advance of the first auctions.

The below Parliamentary question was asked by Dan Byles on 2014-06-24.

To ask the Secretary of State for Energy and Climate Change, what estimate he has made of the total amount of available coal-fired electricity generation capacity in the UK in each year up to 2030.

Michael Fallon

The Electricity Market Reform (EMR) Delivery Plan published in December 2013 included an estimate for the total amount of available coal-fired electricity generation capacity in Great Britain in each year to 2030. It is available at:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/268221/181213_2013_EMR_Delivery_Plan_FINAL.pdf

See table:

Year	Total coal-fired capacity (GW)
2014	20
2015	18
2016	18
2017	18
2018	18
2019	15
2020	12
2021	12
2022	12
2023	9
2024	9
2025	8
2026	8
2027	7
2028	7
2029	5
2030	2

* Based on a scenario of average carbon intensity of electricity generation of 100g CO₂/kWh in 2030

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The below Parliamentary question was asked by Dan Byles on 2015-02-09.

To ask the Secretary of State for Energy and Climate Change, what progress he has made on addressing manufacturers selling wind turbines which have been de-rated to allow them to benefit from higher tariffs within the feed-in tariff; and if he will make a statement.

Amber Rudd

We are closely monitoring the impact of de-rating wind developers are found to be unfairly exploiting the FiTs scheme we will act to stop it.

The below Parliamentary question was asked by Dan Byles on 2015-02-09.

To ask the Secretary of State for Energy and Climate Change, how many wind turbines have been deployed in each county within the 100-500kW feed-in tariff to date.

Amber Rudd

Information on regional breakdown of FIT deployment is published quarterly, including a break down by technology and Local Authority area here:

https://www.gov.uk/government/statistical-data-sets/sub-regional-feed-in-tariffs-confirmed-on-the-cfr-statistics.

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The below Parliamentary question was asked by Dan Byles on 2015-02-09.

To ask the Secretary of State for Energy and Climate Change, how many medium wind turbines deemed excessively de-rated have been granted pre-accreditation or have been commissioned in (a) 1 April 2010 to 30 November 2012 at £22.16 per kWh, (b) 1 December 2012 to 31 March 2014 at £18.83 per kWh, (c) 1 April 2014 to 30 September 2014 at £15.06 per kWh, (d) 1 October 2014 to 31 March 2015 at £13.55 per kWh and (e) 1 April 2015 to 31 March 2016 at £12.05 per kWh.

Amber Rudd

We are closely monitoring the extent of de-rating and its impact.

The below Parliamentary question was asked by Dan Byles on 2015-02-09.

To ask the Secretary of State for Energy and Climate Change, when his Department first became aware of wind turbines being excessively de-rated in order for generators to benefit from higher than intended feed-in tariffs; and if he will make a statement.

Amber Rudd

We are actively monitoring the extent of de-rating and will consider whether action is necessary to prevent wind developers from unfairly exploiting the FITs scheme.

The below Parliamentary question was asked by Dan Byles on 2014-05-08.

To ask the Secretary of State for Energy and Climate Change, what assessment he has made of the impact on independent generators of introduction of Contract for Difference auctioning before the Offtaker of Last Resort is in place.

Michael Fallon

The OLR will support independent renewable generators by providing them with a guaranteed route to market and improving their ability to raise project finance.

My officials have worked closely with developers and other stakeholders in working up the Offtaker of Last Resort proposals. The policy design is already at an advanced stage, and the detail of the proposals has been recently consulted on. We are on track to deliver the final policy and introduce enabling regulations ahead of the first allocation of CfDs. CfD applicants will, therefore, have a high degree of clarity about the arrangements for OLR, well in advance of the first auctions.

The below Parliamentary question was asked by Dan Byles on 2014-06-04.

To ask the Secretary of State for Energy and Climate Change, what recent assessment he has made of the potential need for additional gas storage capacity in the UK; and if he will make a statement.

Michael Fallon

The Department commissioned independent analysis by Redpoint Energy on the case for intervention in the UK gas storage market.

This cost-benefit analysis did not support intervention to deliver additional gas storage capacity within the UK due to a combination of low risk, poor rates of return for the taxpayer, and the risk of unintended consequences within the market. A written statement to Parliament on gas security of supply policy and gas storage was made by my rt. Hon. Friend the Secretary of State on 4 September 2013.

The market continues to bring forward gas storage projects: two storage facilities have recently been completed and two more are currently under construction.

The below Parliamentary question was asked by Dan Byles on 2014-06-04.

To ask the Secretary of State for Energy and Climate Change, what steps he is taking to reassess the need for additional gas storage capacity in the UK; and if he will make a statement.

Michael Fallon

We published on 3 September 2013 an independent assessment about the need to intervene in the gas storage market. With reference to my answer to written question 198546, we decided against intervention on the basis of the cost-benefit analysis undertaken by Redpoint Energy.

The factors which underpinned this decision have not changed. I have no plans to reassess the need for additional gas storage capacity within the UK.