There is a risk that the Government has not accurately reflected rising costs for renewables developers in the budget for this year’s Contracts for Difference auction, putting the viability of future projects into question. We recommend that the Government reviews the parameters set for its Contracts for Difference Allocation Round 5 to ensure that they accurately reflect the cost pressures facing the sector.

There is a risk that the Government has not accurately reflected rising costs for renewables developers in the budget for this year’s Contracts for Difference auction, putting the viability of future projects into question. We recommend that the Government reviews the parameters set for its Contracts for Difference Allocation Round 5 to ensure that they accurately reflect the cost pressures facing the sector. Type: recommendation | Number: 8 | Paragraph: 47 | Response status: under_consideration Government response: 28. While reaching net zero means that electricity demand is likely to double by 2050 as other sectors are electrified, there is no single optimal technology mix to meet this demand. The Government considers that onshore wind has an important role to play in achieving net zero targets and will promo