"Remarkable" New Contract Award Adds 10 GW of Renewables to UK Grid


Electrical Testing & Commissioning of Power Systems

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 12 hours Instructor-led
  • Group Training Available
Regular Price:
$599
Coupon Price:
$499
Reserve Your Seat Today

UK Renewable Energy Auction secures 10 GW for the grid at record-low costs, led by offshore wind, floating wind, solar, and onshore wind, with inflation-indexed CfDs delivering £37/MWh strike prices and enhanced energy security.

 

Key Points

Government CfDs add 10 GW of low-cost renewables to the UK grid via offshore wind, floating wind, and solar.

✅ 10 GW capacity: 7 GW offshore wind, 2.2 GW solar, 0.9 GW onshore wind

✅ Record-low £37/MWh offshore; floating wind at £87/MWh CfD strikes

✅ 15-year indexed contracts cut exposure to volatile gas prices

 

The United Kingdom will add 10 gigawatts (GW) of renewable energy capacity to its power grid at one-quarter the cost of fossil gas after concluding its biggest-ever renewable energy auction for new renewable supplies.

The “remarkable new UK renewable auction” will meet one-eighth of the country’s current electricity demand at record low prices of just £37 per megawatt-hour for offshore wind and £87 for floating offshore systems (a dynamic echoed as wind power gains in Canada across other markets), tweeted Carbon Brief Deputy Editor Simon Evans.

“The government is increasing its reliance on a local supply of renewables amid soaring UK power prices driven by a surge in the cost of natural gas following Russia’s invasion of Ukraine,” Bloomberg Green reports. Offshore wind energy “will add about seven gigawatts of clean power capacity to the nation’s fleet from 2026, bringing Britain closer to its target of installing 50 gigawatts by the end of the decade.”

The awards also include 2.2 gigawatts (that’s 2.2 billion watts) of solar and 900 megawatts of onshore wind, even as the UK faces a renewables backlog on some projects, Bloomberg says.

“Eye-watering gas prices are hitting consumers across Europe,” said UK Business and Energy Secretary Kwasi Kwarteng. “The more cheap, clean power we generate within our own borders, the better protected we will be from volatile gas prices that are pushing up bills.”

Citing government figures, Bloomberg says wind generation costs came in 5.8% lower than the previous auction in 2019, reflecting momentum in a sector set to become a trillion-dollar business this decade. Some of the winning bidders included Ørsted, Iberdrola’s Scottish Power unit, Vattenfall, and a consortium of AB Ignitis Grupe, EDP Renovaveis, and Engie.

Offshore wind power costs have fallen dramatically in recent years as the UK supported the industry to scale up and industrialize production of larger, more efficient turbines,” the news story states. Now, “the decline in price developers are willing to accept comes even after the cost of wind turbines rose in recent months as prices increased for key metals like steel and supply chain disruptions created expensive delays.”

The 15-year, fixed-price contracts will be adjusted for inflation when the turbines are ready to start delivering electricity, offering lessons for the U.S. wind sector on contract design.

 

Related News

Related News

Biden's proposed tenfold increase in solar power would remake the U.S. electricity system

US Solar Power 2050 Target projects 45% electricity from solar, advancing decarbonization with clean energy, wind, nuclear, hydropower, hydrogen, and scalable energy storage, while modernizing the grid and transmission to cut emissions and create jobs.

 

Key Points

A goal for solar to supply ~45% of US electricity by 2050, backed by energy storage and other low-carbon generation.

✅ Requires 1,050-1,570 GW solar and matching storage capacity

✅ Utility-scale buildout uses ~10M acres; rooftop 10-20% of capacity

✅ Complemented by wind, nuclear, hydropower, hydrogen, and flexible turbines

 

President Joe Biden has called for major clean energy investments as a way to curb climate change and generate jobs. On Sept. 8, 2021, the White House released a report produced by the U.S. Department of Energy that found that solar power could generate up to 45% of the U.S. electricity supply by 2050, compared to less than 4% today, with about 3% in 2020 noted by industry observers. The Conversation asked Joshua D. Rhodes, an energy technology and policy researcher at the University of Texas at Austin, what it would take to meet this target.

Why such a heavy focus on solar power? Doesn’t a low-carbon future require many types of clean energy, even though wind and solar could meet about 80% of demand according to some research?
The Energy Department’s Solar Futures Study lays out three future pathways for the U.S. grid: business as usual; decarbonization, meaning a massive shift to low-carbon and carbon-free energy sources; and decarbonization with economy-wide electrification of activities that are powered now by fossil fuels.

It concludes that the latter two scenarios would require approximately 1,050-1,570 gigawatts of solar power, which would meet about 44%-45% of expected electricity demand in 2050, even as renewables approach one-fourth of U.S. generation in the near term. For perspective, one gigawatt of generating capacity is equivalent to about 3.1 million solar panels or 364 large-scale wind turbines.

The rest would come mostly from a mix of other low- or zero-carbon sources, including wind, nuclear, hydropower, biopower, geothermal and combustion turbines run on zero-carbon synthetic fuels such as hydrogen. Energy storage capacity – systems such as large installations of high-capacity batteries – would also expand at roughly the same rate as solar, with record growth in solar and storage anticipated by industry in coming years.

One advantage solar power has over many other low-carbon technologies is that most of the U.S. has lots of sunshine. Wind, hydropower and geothermal resources aren’t so evenly distributed: There are large zones where these resources are poor or nonexistent.

Relying more heavily on region-specific technologies would mean developing them extremely densely where they are most abundant. It also would require building more high-voltage transmission lines to move that energy over long distances, which could increase costs and draw opposition from landowners – a key reason the grid isn't yet 100% renewable according to experts – in many regions.

Is generating 45% of U.S. electricity from solar power by 2050 feasible?
I think it would be technically possible but not easy. It would require an accelerated and sustained deployment far larger than what the U.S. has achieved so far, even as the cost of solar panels has fallen dramatically, and wind, solar and batteries are 82% of the utility-scale pipeline across the country. Some regions have attained this rate of growth, albeit from low starting points and usually not for long periods.

The Solar Futures Study estimates that producing 45% of the nation’s electricity from solar power by 2050 would require deploying about 1,600 gigawatts of solar generation. That’s a 1,450% increase from the 103 gigawatts that are installed in the U.S. today, even as wind and solar trend toward 30% of U.S. electricity in some outlooks. For perspective, there are currently about 1,200 gigawatts of electricity generation capacity of all types on the U.S. power grid.

The report assumes that 10%-20% of this new solar capacity would be deployed on homes and businesses. The rest would be large utility-scale deployments, mostly solar panels, plus some large-scale solar thermal systems that use mirrors to reflect the sun to a central tower.

Assuming that utility-scale solar power requires roughly 8 acres per megawatt, this expansion would require approximately 10.2 million to 11.5 million acres. That’s an area roughly as big as Massachusetts and New Jersey combined, although it’s less than 0.5% of total U.S. land mass.

I think goals like these are worth setting, but are good to reevaluate over time to make sure they represent the most prudent path.

 

Related News

View more

Solar produced 4.7% of U.S. electricity in 2022, generation up 25%

US Solar Electricity Generation 2022 rose to a 4.7% share, with 202,256 GWh, per EIA Electric Power Monthly; driven by PV capacity additions despite import constraints, alongside renewables trends in wind, nuclear, and hydroelectric output.

 

Key Points

The share and output of US solar PV in 2022: 4.7% of electricity and 202,256 GWh, as reported by the EIA.

✅ Solar PV reached 4.7% of US power; 202,256 GWh generated in 2022.

✅ Monthly share varied from about 3% in Jan to just over 6% in Apr.

✅ Wind was 10.1%; wind+solar hit slightly over 20% in April.

 

In 2022, solar photovoltaics made up 4.7% of U.S. electricity generation, an increase of almost 21% over the 2021 total when solar produced 3.9% of US electricity and about 3% in 2020 according to long-term outlooks. Total solar generation was up 25%, breaking through 200,000 GWh for the year.

The record deployment volumes of 2020 when renewables became the second-most U.S. electricity source and 2021 are the main factors behind this increase. If it were not for ongoing solar panel import difficulties and general inflation, solar’s contribution to electricity generation might have reached 5% in 2022. The data was released by the Department of Energy’s Energy Information Administration (EIA) in their Electric Power Monthly. This release includes data from December 2022, as well as the rest of the data from 2022.

Solar as a percentage of monthly electricity generation ranged from a low of almost 3% in January, to just over 6% in April. April’s production marked a new monthly record for solar generation in the US and coincided with a renewables share record that month.

Total generation of solar electricity peaked in July, at 21,708 GWh. Over the course of the year, solar production reached  202,256 GWh, and total U.S. electricity generation reached 4,303,980 GWh, a year in which renewables surpassed coal in the power mix overall. Total US electricity generation increased by 3.5% over the 4,157,467 GWh produced in 2021.

In 2022, wind energy contributed 10.1% of the total electricity generated in the United States. Wind and solar together produced 14.8% of U.S. electricity in 2022, growing from the 13% recorded in 2021. In April, when solar power peaked at just over 6%, wind and solar power together reached a peak of slightly over 20%, as a wind-and-solar milestone versus nuclear was noted that month, a new monthly record for the two energy sources.

In total, emissions free energy sources such as wind, solar photovoltaic and thermal, nuclear, hydroelectric, and geothermal, accounted for 37.9% of the total electricity generated in the U.S., while renewables provided about 25.5% share of the mix during the year. This value is barely higher than 2020’s 37.7% – but represents a return to growth after 2021 saw a decrease in emission free electricity to 37%.

Nuclear power was the most significant contributor to emission free electricity, making up a bit more than 45% of the total emissions free electricity. Wind energy ranked second at 26%, followed by hydroelectricity at 15%, and solar photovoltaic at 12%, confirming solar as the #3 renewable in the U.S. mix.

Emissions free electricity is a different summation than the EIA’s ‘Renewable Energy’ category. The Renewable Energy category also includes:

  • Wood and Wood-Derived Fuels
  • Landfill Gas
  • Biogenic Municipal Solid Waste
  • Other Waste Biomass

Nuclear produced 17.9% of the total U.S. electricity, a value that has generally stayed flat over the years. However, since nuclear facilities are being retired faster than new facilities are coming online, nuclear production has fallen in the past two years. After multiple long delays, we will probably see reactor three of the Vogtle nuclear facility come online in 2023. Reactor four is officially scheduled to come online later this year.

Hydroelectric production also declined in 2022, due to drought conditions in the southwestern United States. With rain and snow storms in California and the southwest, hydroelectricity generation may rebound in 2023.

 

Related News

View more

UK Electric cars will cost more if Sunak fails to strike Brexit deal

UK-EU EV Tariffs 2024 threaten a 10% levy under Brexit rules of origin, raising electric vehicle prices, straining battery supply chains, and risking a price war for manufacturers, consumers, and climate targets across automotive market.

 

Key Points

Tariffs from Brexit rules of origin imposing 10% duties on EVs, raising UK prices amid battery and supply chain gaps.

✅ 10% tariffs if rules of origin thresholds are unmet

✅ Price hikes on UK EVs, led by Tesla Model Y

✅ Battery supply gaps strain UK and EU manufacturers

 

Electric cars will cost British motorists an extra £6,000 if Rishi Sunak fails to strike a post-Brexit deal with the EU on tariffs, industry bosses have told The Independent.

UK manufacturers warned of a “devastating price war” on consumers, echoing UK concern over higher EV prices across the market – threatening both the electric vehicle (EV) market and the UK’s climate change commitments – if tariffs are enforced in January 2024.

In the latest major Brexit row, the Sunak government is pushing the European Commission to agree to delay the costly new rules, even as the UK readies for rising EV adoption across the economy, set to come in at the start of next year as part of Boris Johnson’s Brexit trade deal.

But Brussels has shown no sign it is willing to budge – even as Washington has announced a 100% tariff on Chinese-made EVs this year – leaving business leaders in despair about the impact of 10 per cent tariffs on exports on Britain’s car industry.

The tariffs would increase the price of a new Tesla Model Y – the UK’s most popular electric vehicle – by £6,000 or more, according to a new report by the Independent Commission on UK-EU Relations.

“For the sake of our economy and our planet, the government has a responsibility to get round the table with the EU, fix this and fix the raft of other issues with the Brexit deal,” said commission director Mike Buckley.

The new rules of origin agreed in the Brexit trade and cooperation agreement (TCA) require 45 per cent of an electric car’s value, as the age of electric cars accelerates, to originate in the UK or EU to qualify for trade without tariffs.

The British auto industry has warned the 2024 rules pose an “existential threat” to sales because of the lack of domestic batteries to meet the rules, even as EV adoption within the decade is widely expected to surge – pleading for a delay until 2027.

The VDA – the lobby group for Germany’s car industry – has also called for an “urgent” move to delay, warning that the rules create a “significant competitive disadvantage” for European carmarkers in relation to China, where tariffs on Chinese EVs are reshaping global trade, and other Asian competitors.

The new report by the Independent Commission on UK-EU Relations – backed by the manufacturers’ body Make UK and the British Chamber of Commerce – warns that the January tariffs will immediately push up costs and hit electric vehicle sales, despite UK EV inquiries surging during the fuel supply crisis in recent years.

 

Related News

View more

New Brunswick announces rebate program for electric vehicles

New Brunswick EV Rebates deliver stackable provincial and federal incentives for electric vehicles, used EVs, and home chargers, supporting NB Power infrastructure, lower GHG emissions, and climate goals with fast chargers across the province.

 

Key Points

Stackable provincial and federal incentives up to $10,000 for EV purchases, plus support for home charging.

✅ $5,000 new EVs; $2,500 used; stackable with federal $5,000

✅ 50% home charger rebate up to $750 through NB Power

✅ Supports GHG cuts, charging network growth, climate targets

 

New Brunswickers looking for an electric vehicle (EV) can now claim up to $10,000 in rebates from the provincial and federal governments.

The three-year provincial program was announced Thursday and will give rebates of $5,000 on new EVs and $2,500 on used ones. It closely mirrors the federal program and is stackable, meaning new owners will be able to claim up to $5,000 from the feds as well.

Minister of Environment and Climate Change Gary Crossman said the move is hoped to kickstart the province’s push toward a target of having 20,000 EVs on the road by 2030.

“This incentive has to make a positive difference,” Crossman said.

“I truly believe people have been waiting for it, they’ve been asking about it, and this will make a difference from today moving forward to put new or used cars in their hands.”

The first year of the program will cost $1.95 million, which will come from the $36 million in the Climate Change Fund and will be run by NB Power, whose public charging network has been expanding across the province. The department says if the full amount is used this year it could represent a reduction of 850 tonnes of greenhouse gasses (GHGs) annually.

Both the Liberal and Green parties welcomed the move calling it long overdue, but Green MLA Kevin Arseneau said it’s not a “miracle solution.”

“Yes, we need to electrify cars, but this kind of initiative without proper funding of public transportation, urban planning for biking … without this kind of global approach this is just another swipe of a sword in water,” he said.

Liberal environment critic Francine Landry says she hopes this will make the difference for those considering the purchase of an EV and says the government should consider further methods of incentivization like waiving registration fees.

The province’s adoption of EVs has not been overly successful so far, reflecting broader Atlantic EV buying interest trends across the region. At the end of 2020, there were 646 EVs registered in the province, far short of the 2,500 target set out in the Climate Action Plan. That was up significantly from the 437 at the end of 2019, but still a long way from the goal.

New Brunswick has a fairly expansive network of charging stations across the province, claiming to be the first “fully-connected province” in the country, and had hoped that the available infrastructure, including plans for new fast-charging stations on the Trans-Canada, would push adoption of non-emitting vehicles.

“In 2017 we had 11 chargers in the province, so we’ve come a long way from an infrastructure standpoint which I think is critical to promoting or having an electric vehicle network, or a number of electric vehicles operating in the province, and neighbouring N.L.’s fast-charging network shows similar progress,” said Deputy Minister of Natural Resources Tom Macfarlane at a meeting of the standing committee on climate change and environmental stewardship in January of 2020.

There are now 172 level two chargers and 83 fast chargers, while Labrador’s EV infrastructure still lags in neighbouring N.L. today. Level two chargers take between six and eight hours to charge a vehicle, while the fast chargers take about half an hour to get to 80 per cent charge.

The newly announced program will also cover 50 per cent of costs for a home charging station up to $750, similar to B.C. charger rebates that support home infrastructure, to further address infrastructure needs.

The New Brunswick Lung Association is applauding the rebate plan.

President and CEO Melanie Langille said about 15,000 Canadians, including 40 people from New Brunswick, die prematurely each year from air pollution. She said vehicle emissions account for about 30 per cent of the province’s air pollution.

“Electric vehicles are critical to reducing our greenhouse gas emissions,” said Langille. “New Brunswick has one of the highest per capita GHG emissions in Canada. But, because our electricity source in New Brunswick is primarily from non-emitting sources and regional initiatives like Nova Scotia’s vehicle-to-grid pilot are advancing grid integration, switching to an EV is an effective way for New Brunswickers to lower their GHG emissions.”

Langille said the lung association has been part of an electric vehicles advisory group in the province since 2014 and its research has shown this type of program is needed.

“The major barrier that is standing in the way of New Brunswickers adopting electric vehicles is the upfront costs,” Langille said. “So today’s announcement, and that it can be stacked on top of the existing federal rebates, is a huge step forward for us.”

 

Related News

View more

Alectra is 'leading the charge' when it comes to electric vehicles

Alectra EV Leadership Award highlights Plug'n Drive and CEA recognition for AlectraDrive, GridExchange, smart charging, and clean energy innovation at the GRE&T Centre, advancing Canadian EV adoption, utility-led programs, rate design, and smart grid integration.

 

Key Points

An award recognizing Alectra Utilities for leading EV programs and clean energy innovation driven by its GRE&T Centre.

✅ Honors utility-led EV programs: AlectraDrive @Work, @Home, GridExchange

✅ Recognizes smart grid, charging, and innovative rate design

✅ Endorsed by Plug'n Drive and CEA; SEPA and Corporate Knights honors

 

Plug'n Drive and the Canadian Electricity Association (CEA) have awarded Alectra Utilities with the 'Tom Mitchell Electric Vehicle Utility Leadership Award' for its programs: AlectraDrive @Work, AlectraDrive @Home, GridExchange, which explores models where EV owners sell power back to the grid, Advantage Power Pricing and York University Electric Bus Simulation Study. All of these initiatives operate out of Alectra's Green Energy & Technology Centre (GRE&T Centre) and align with emerging vehicle-to-grid integration pilots nationwide.

"We appreciate receiving this award from Plug'n Drive and the CEA," said Brian Bentz, President and CEO, Alectra Inc. "The work that the GRE&T Centre does is an important part of our effort to help build a clean energy future and embrace new technologies like EV charging infrastructure and vehicle-to-grid pilots to help our customers."

The Electric Vehicle Awards, now in their sixth year, recognize Ca­nadian car dealerships and electricity utilities that are leaders in the sale and promotion of electric vehicles, from dedicated education efforts like the EV education centre in Toronto to consumer events such as the Quebec Electric Vehicle Show that raise awareness. Electricity utilities are recognized based on the merits and impacts of utility led EV programs and initiatives.

Earlier this year, Alectra was named Public Power Utility of the Year by the Smart Electric Power Alliance (SEPA) and ranked third in Corporate Knights 'Best 50 Corporate Citizens', as Canadian innovators deploy V1G EV chargers that support smart, grid-friendly charging.

 

Related News

View more

World renewable power on course to shatter more records

Global Renewable Capacity Additions 2023 surge on policy momentum, high fossil prices, and energy security, with solar PV and wind leading growth as grids expand and manufacturing scales across China, Europe, India, and the US.

 

Key Points

Record solar PV and wind growth from policy and energy security, adding 440+ GW toward 4,500 GW total capacity in 2024.

✅ Solar PV to supply two-thirds of additions; rooftop demand rising.

✅ Wind rebounds ~70% as delayed projects complete in China, EU, US.

✅ Grid upgrades and better permitting, auctions key for 2024 growth.

 

Global additions of renewable power capacity are expected to jump by a third this year as growing policy momentum, higher fossil fuel prices and energy security concerns drive strong deployment of solar PV and wind power, building on a record year for renewables in 2016, according to the latest update from the International Energy Agency.

The growth is set to continue next year with the world’s total renewable electricity capacity rising to 4 500 gigawatts (GW), equal to the total power output of China and the United States combined, and in the United States wind power has surged in the electricity mix, says the IEA’s new Renewable Energy Market Update, which was published today.

Global renewable capacity additions are set to soar by 107 gigawatts (GW), the largest absolute increase ever, to more than 440 GW in 2023. The dynamic expansion is taking place across the world’s major markets. Renewables are at the forefront of Europe’s response to the energy crisis, accelerating their growth there. New policy measures are also helping drive significant increases in the United States, where solar and wind growth remains strong, and India over the next two years. China, meanwhile, is consolidating its leading position and is set to account for almost 55% of global additions of renewable power capacity in both 2023 and 2024.

“Solar and wind are leading the rapid expansion of the new global energy economy. This year, the world is set to add a record-breaking amount of renewables to electricity systems – more than the total power capacity of Germany and Spain combined,” said IEA Executive Director Fatih Birol. “The global energy crisis has shown renewables are critical for making energy supplies not just cleaner but also more secure and affordable – and governments are responding with efforts to deploy them faster. But achieving stronger growth means addressing some key challenges. Policies need to adapt to changing market conditions, and we need to upgrade and expand power grids to ensure we can take full advantage of solar and wind’s huge potential.”

Solar PV additions will account for two-thirds of this year’s increase in renewable power capacity and are expected to keep growing in 2024, according to the new report. The expansion of large-scale solar PV plants is being accompanied by the growth of smaller systems. Higher electricity prices are stimulating faster growth of rooftop solar PV, which is empowering consumers to slash their energy bills, and in the United States renewables' share is projected to approach one-fourth of electricity generation.

At the same time, manufacturing capacity for all solar PV production segments is expected to more than double to 1 000 GW by 2024, led by China's solar PV growth and increasing supply diversification in the United States, where wind, solar and battery projects dominate the 2023 pipeline, India and Europe. Based on those trends, the world will have enough solar PV manufacturing capacity in 2030 to comfortably meet the level of annual demand envisaged in the IEA’s Net Zero Emissions by 2050 Scenario.

Wind power additions are forecast to rebound sharply in 2023 growing by almost 70% year-on-year after a difficult couple of years in which growth was slugging, even as wind power still grew despite Covid-19 challenges. The faster growth is mainly due to the completion of projects that had been delayed by Covid-19 restrictions in China and by supply chain issues in Europe and the United States. However, further growth in 2024 will depend on whether governments can provide greater policy support to address challenges in terms of permitting and auction design. In contrast to solar PV, wind turbine supply chains are not growing fast enough to match accelerating demand over the medium-term. This is mainly due to rising commodity prices and supply chain challenges, which are reducing the profitability of manufacturers.

The forecast for renewable capacity additions in Europe has been revised upwards by 40% from before Russia’s invasion of Ukraine, which led many countries to boost solar and wind uptake to reduce their reliance on Russian natural gas. The growth is driven by high electricity prices that have made small-scale rooftop solar PV systems more financially attractive and by increased policy support in key European markets, especially in Germany, Italy and the Netherlands.

 

Related News

View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Live Online & In-person Group Training

Advantages To Instructor-Led Training – Instructor-Led Course, Customized Training, Multiple Locations, Economical, CEU Credits, Course Discounts.

Request For Quotation

Whether you would prefer Live Online or In-Person instruction, our electrical training courses can be tailored to meet your company's specific requirements and delivered to your employees in one location or at various locations.