DECC sheds light on the Capacity Market
Last week saw the publication of a raft of documents from the government on various aspects of the energy sector. This included the release by the Department of Energy and Climate Change (DECC) of its detailed design proposals for the Capacity Market together with a ‘strawman’ of the Capacity Market design.
In addition, DECC confirmed that the government will run the first Capacity Market auction in 2014 for delivery of capacity from the winter of 2018–19, subject to the Energy Bill becoming law and subject also to state aid clearance.
The Capacity Market is one of the key parts of the Electricity Market Reform proposals making their way through Parliament. The aim of the Capacity Market is to ensure that there is sufficient electricity generation capacity available at all times to meet projected levels of demand. The government recognises that the market may not make this capacity available without some form of incentive (as the generation may not be running in the most efficient baseload configuration and so the economics do not always add up). Therefore, it has proposed the introduction of a market to make payment to certain generators for being available to generate and also for generating as and when required, as well as making payment to large energy consumers to reduce their demand at times of system stress…
If you are registered and logged in to the site, click on the link below to read the rest of the Walker Morris briefing. If not, please register or sign in with your details below.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from Walker Morris
News from The Lawyer
Briefings from Walker Morris
When a housing association sought possession against a tenant with severe mental health problems…
The aim of the directive is to ensure that consumers who purchase a property are protected against the risks. It also introduces EU harmonisation requirements on lenders.
Analysis from The Lawyer
Which firms are cutting it in this era of slimline rosters, and who are the GC new brooms making clean sweeps? The Lawyer can reveal all
The law school war shows no signs of ending. But we have, perhaps, reached the end of the beginning.