Guidance

Contracts for Difference: standard terms and conditions, December 2015 update

Since the first CfD allocation round, DECC has made a number of minor amendments to the CfD Standard Terms and Conditions.

Documents

CFD Agreement – Unincorporated Joint Ventures

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CfD Standard Terms and Conditions, December 2015 update

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CfD Generic Agreement, December 2015 update

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CfD Standard Terms and Conditions, December 2015 Update (Clean)

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CfD Generic Agreement, December 2015 (Clean)

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CfD (Phase 1) (Single) Agreement, Dec 2015

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CfD (Phase 2) (Single) Agreement, Dec 2015

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CfD (Phase 3) (Single) Agreement, Dec 2015

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CfD (Phase 1) (Apportioned) Agreement, Dec 2015

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CfD (Phase 2) (Apportioned) Agreement, Dec 2015

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CfD (Phase 3) (Apportioned) Agreement, Dec 2015

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CfD Private Network Agreement, December 2015 update

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Detail

These updated draft terms show the changes made to the contract compared with the version consulted on in March 2015, and reflect the positions set out in the government response published in June 2015.

In addition, the Sustainability Criteria contained within Annex 7 of the Standard Terms and Conditions have been revised to ensure continuing compatibility with the standard included within the amended Renewables Obligation Order 2015, consulted upon in July 2015.

CfD Agreement

Generators who are allocated a CfD will also sign a CfD Agreement, which will then incorporate the CfD Standard Terms and Conditions. The CfD Agreement is a bespoke document including all of the Project-specific information, including the estimated installed capacity, the applicable Strike Price and the particulars of the generator to which the Agreement applies.

CfD Agreements for Phased Generators

Phased Agreements allow for Offshore Wind projects with a total capacity less than 1,500MW the ability to commission in up to three distinct phases, allowing gradual deployment of the total project capacity to align with the prevailing conditions of the project. The Phased Agreements accommodate developers wishing to deploy a single or apportioned metering approach.

CfD Agreement for Private Network Generators

Certain projects do not easily match the metering requirements of the Standard Terms, in particular those that are license-exempt and who trade upon a private network. These terms introduce equivalents to the metering and other compliance standards that such generators are not bound by, maintaining parity with the obligations faced by other CfD holders.

For more on Contracts for Difference, see here.