The recent Capacity Auction for delivery 2020/21 was successful for new storage solutions but less successful for new CCGT gas plants. Provisional results show that the clearing price was £22.50 kW/year for a total of 52.43 GW of de-rated capacity. The National Grid report indicates that 75% of capacity entered in the auction were awarded capacity agreements.
Source – National Grid Chart Represents – Breakdown of Awarded 52.43 GW Capacity for 2020/21
As can be seen in the chart above, 3.4 GW of new build generation was awarded capacity contracts . This included 500 MW of battery storage, a positive signal for the development of the technology in the UK, but only one new build CCGT (combined cycle gas turbine) secured a contract, with capacity of 333 MW.
Existing CCGT plants were successful at auction, achieving the greatest volume of capacity agreements by technology, at 22.5 GW. Storage won 3.2 GW of capacity overall, 23% higher than the previous auction round held in June this year. (more…)