Britain's government has announced that it will be providing a whopping £265 million worth of funding in the biggest round on record of its renewable energy scheme. The added funding for the flagship scheme will ensure that additional renewable energy capacity can be secured as the UK continues towards its carbon neutrality goal of 2050.
The Contracts for Difference (CfD) scheme is the main scheme that the government offers to stimulate investment in clean, green, and low-carbon electricity, and it is open to businesses and projects across the UK
Now in its fourth round, the scheme will include £265 million of funding each year for businesses that are ready to deliver additional renewable energy capacity. £200 million will be provided to back offshore wind in the hope that this could be further exploited to power up to eight million British homes.
An extra £24 million has been earmarked to fund offshore wind developments, and a further £55 million will be made available to support emerging and innovative renewable energy technologies. This could include exciting new hydrogen energy technologies, in which some scientists believe that Britain could potentially have a world-leading competitive advantage in securing and delivering for low-carbon power generation.
Anne-Marie Trevelyan, the Energy Minister, said that the CfD scheme had been successfully used to help position the UK as a global leader in clean energy generation whilst reducing prices for customers.
She explained that the new scheme would be used to help deliver Boris Johnson's ten-point plan to move the UK towards its low-carbon goals and to help fund the next generation of clean electricity projects that would be used to power homes and businesses and meet the challenging, world-leading targets that Britain is pursuing for its low-carbon future.