This content is only available within our institutional offering.
23 Feb 2022
UK Electric Utilities: The ‘F’ word
Centrica plc (CNA:LON), 128 | Drax Group plc (DRX:LON), 512 | Good Energy Group PLC (GOOD:LON), 255 | National Grid plc (NG:LON), 1,054 | SIMEC Atlantis Energy Ltd. (SAE:LON), 0.8 | SSE plc (SSE:LON), 1,650
Sign in
This content is only available to commercial clients. Sign in if you have access or contact support@research-tree.com to set up a commercial account
This content is only available to commercial clients. Sign in if you have access or contact support@research-tree.com to set up a commercial account
UK Electric Utilities: The ‘F’ word
Centrica plc (CNA:LON), 128 | Drax Group plc (DRX:LON), 512 | Good Energy Group PLC (GOOD:LON), 255 | National Grid plc (NG:LON), 1,054 | SIMEC Atlantis Energy Ltd. (SAE:LON), 0.8 | SSE plc (SSE:LON), 1,650
- Published:
23 Feb 2022 -
Author:
Martin Young -
Pages:
11
The T-4 Capacity Market auction for delivery year 2025/26 cleared yesterday at £30.59/kw/year, a record level for what is the larger and more important of the two Capacity Market auctions (Figure 1).
Gas continues to dominate, with 27,632MW of awarded capacity, broadly commensurate with volumes awarded in recent years.
Interconnectors represent the second largest technology with 6,966MW of awarded capacity.
Nuclear continues to decline with only two Sizewell B units in receipt of contracts for delivery year 2025/26, with combined capacity of 990MW.
Pumped storage was awarded contracts for 2,528MW, up from 2,072MW awarded in last year’s T-4 auction for delivery year 2024/25.
New build generation was awarded 1,919MW of capacity, up from 1,736MW awarded in last year’s T-4 auction for delivery year 2024/25.
There was a marked growth in the capacity awarded to battery storage, at 1,094MW, up from 252MW awarded in last year’s T-4 auction for delivery year 2024/25.
Demand side response at 988MW was slightly down from 1,066MW awarded in last year’s T-4 auction for delivery year 2024/25.
Centrica was awarded contracts for 229MW of capacity.
Drax was awarded contracts for 586MW of capacity, but did not secure a 15-year new build contract for the Abergelli OCGT.
SSE was awarded contracts for 4,146MW of capacity (including SSE’s Seabank share), but did not secure contracts for 758MW (three units), including the Medway CCGT.
All capacity figures are in de-rated terms.