Eight new renewable electricity projects have today been unveiled by the Government as part of the electricity reforms, giving a great boost to green growth and green jobs.

It is predicted that by 2020 the projects will support 8,500 new jobs within the sector and provide £12 billion of private sector investment. They could add a further 4.5GW of low-carbon electricity to Britain's energy mix, generation enough clean electricity to power three million homes. The projects will also contribute around 15TWh or 14% of the renewable electricity expected to come forward by 2020, helping to put the UK on the way to meeting it's renewable energy target. They will also reduce emissions by 10 MtCO2 per year compared to fossil fuel power generation.


The projects have been offered under Contracts for Difference (CfD), which form part of Government's Electricity Market Reform programme. They include offshore wind farms, coal to biomass conversions and a dedicated biomass plant with combined heat and power. Details of the project are:

Project Developer Technology Size (MW) Location
Beatrice Beatrice Offshore Windfarm Limited Offshore wind 664 Outer Moray Firth, Scotland
Burbo Bank extension Dong Energy Wind Power A/S Offshore wind 258 Liverpool Bay, at the entrance to the River Mersey
Drax Unit #1 Drax Biomass conversion 645 Selby, North Yorkshire
Dudgeon Dudgeon Offshore Wind Limited Offshore wind 402 The Wash north of Cromer, Norfolk
Hornsea 1 Dong Energy Wind Power A/S Offshore wind 1200 North Sea, off the Yorkshire coast
Lynemouth Lynemouth Power Limited Biomass conversion 420 Ashington, Northumberland
Teesside MGT Power Limited Dedicated biomass with combined heat and power 299 Middlesbrough
Walney Extension Dong Energy Wind Power A/S Offshore wind 660 Irish Sea 19 km WSW off the Walney Island coast in Cumbria

 

Energy and Climate Change Secretary Edward Davey said:

"These contracts for major renewable electricity projects mark a new stage in Britain's green energy investment boom.

"By themselves they will bring green jobs and growth across the UK, but they are a significant part of our efforts to give Britain cleaner and more secure energy.
"These are the first investments from our reforms to build the world's first low carbon electricity market - reforms which will see competition and markets attract tens of billions of pounds of vital energy investment whilst reducing the costs of clean energy to consumers.

"Record levels of energy investment are at the forefront of the Government's infrastructure programme and are filling the massive gap we inherited. It's practical reforms like these that will keep the lights on and tackle climate change, by giving investors more certainty."

 

The eight successful projects have been awarded contracts under the Final Investment Decision (FID) Enabling for Renewables scheme, allocating the first CfDs that are being introduced through the Electricity Market Reform programme. Under CfDs, generators and developers receive a fixed strike price for the electricity they produce for 15 years. These contracts are vital to give investors the confidence they need to pay the up-front costs of major new infrastructure projects.