Capacity Market auction parameters: open letter from BEIS to National Grid

The Government has today confirmed the parameters for the next Capacity Market auctions to ensure the UK has sufficient capacity to meet electricity demand.


BEIS Secretary of State letter to National Grid

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This confirmation follows the publication of provisional targets on 8 July.

The auction parameters letter confirms the final target volumes to be secured through the T-4 Capacity Auction for 2020/21, the early auction for 2017/18 and the DSR transitional arrangements auction, also for 2017/18. It also includes the de-rating factors for interconnectors. The auction targets are based on the advice provided National Grid in the Electricity Capacity Report, which has been scrutinised by the panel of technical experts.

Today we are confirming that we will seek to secure:

  • 53.6GW in the early auction for delivery in 2017/18
  • 300MW of turn-down DSR in the transitional arrangements auction for delivery in 2017/18
  • 51.7GW in the T-4 auction for delivery in 2020/21 (with an additional 600MW in the associated T-1 auction)
Published 28 October 2016