Baroness Verma has confirmed plans to develop an ‘Offtaker of Last Resort’ mechanism to help independent renewable generators use innovative routes into the electricity market.
During the latest Report Stage of the Energy Bill, Baroness Verma yesterday confirmed plans to develop an ‘Offtaker of Last Resort’ mechanism, with the aim to free up independent renewable generators to use innovative routes into the electricity market.
Baroness Verma said:
“As part of the Lords report stage of the Energy Bill, I have outlined to the House of Lords that the government has committed to consulting on the introduction of an ‘offtaker of last resort mechanism’. Subject to consultation, we want this in place from early next year with the intention for the scheme to be established by the time the first CfDs are signed in autumn 2014.
“The offtaker of last resort mechanism will enable independent renewable electricity generators to use new and different routes into the energy market and end their dependence on established players to sell their power. “This will bring more competition and innovation into the market and enable independent generators to compete on a level playing field.”