“Despite the industry’s clear warnings, the UK Government has not taken inflationary costs and supply chain squeeze into account in this latest auction, focusing solely on competition through cost reduction. This is a huge wake-up call that if we want to deliver on our targets in this decade of delivery we need to see considerable reforms to the CfD auction design and industrial strategy to support its development and deployment” , said RenewableUK Cymru’s Director, Jess Hooper .
According to RenewableUK, up to 5 GW of offshore wind projects were eligible to compete this year, however, developers did not bid as the maximum price they could bid was set at GBP 44/MWh (around EUR 51.32/MWh) , which was too low for the developers who are facing the consequences of inflation and supply chain challenges. The maximum bid price for floating wind was GBP 114/MWh (around EUR 132.77/MWh).