Solar Energy UK welcomes the opportunity to respond to the Department for Energy Security and Net Zero’s (DESNZ) consultation on Contracts for Difference (CfD) Allocation Round 7 (AR7). As the UK’s solar industry continues to expand at pace, we strongly support measures that enhance investor confidence, drive down costs, and maximise deployment to meet the UK’s energy security and net-zero targets.
Solar power is one of the most affordable and scalable renewable energy technologies, with the potential to deliver over 70GW by 2035, as outlined in the UK’s Solar Roadmap. The CfD scheme has been instrumental in accelerating solar deployment, and AR7 presents a critical opportunity to refine the mechanism to ensure it remains fit for purpose in a rapidly evolving energy market.
We commend DESNZ for seeking industry input on key aspects such as the alignment of CFD duration with new market conditions and ensuring greater technological neutrality via enhanced time commissioning windows. Solar Energy UK urges the government to ensure that AR7’s design supports a diverse and competitive solar sector, facilitates co-location with storage, and aligns with the UK’s wider industrial strategy.
As the voice of the solar industry, we look forward to engaging constructively with DESNZ to shape a CfD framework that unlocks investment, fosters innovation, and delivers clean, low-cost power for consumers..
For detailed information, download our full response below.
Author
Jose Lopez
Senior Economics Analyst
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