Key Insights:
Record Number of Projects: 131 new renewable energy projects were approved in the latest Contracts for Difference (CfD) auction, marking the largest number of projects in a single auction round.
Clean Energy for Homes: The projects secured through this auction will generate enough renewable energy to power 11 million homes across the UK.
Offshore Wind Growth:
- Nine new offshore wind contracts were awarded, including Hornsea 3 and Hornsea 4, which will become Europe’s largest and second-largest wind farms, respectively.
Onshore Wind and Solar Expansion:
- 115 onshore wind and solar projects were approved, surpassing the total number of projects from the previous auction round.
- Scotland remains a leader in onshore wind capacity.
Tidal Energy Leadership:
- Six tidal projects were secured, with nearly half of the world’s operational tidal stream capacity located in UK waters.
Increased Budget: The auction budget was increased by 50%, providing a significant financial boost to support the renewable energy transition.
Economic and Job Growth: The projects are expected to create thousands of green jobs and contribute to economic growth, particularly in industrial heartlands and rural communities.
Energy Independence and Security: The renewable energy expansion aims to reduce the UK’s reliance on fossil fuels, contributing to energy security and independence from global fuel price fluctuations.
Cost Efficiency: The projects were secured at prices below the maximum auction cap, ensuring value for money and lower energy bills for consumers.
Largest Floating Offshore Wind Project: The auction secured the world’s largest floating offshore wind project, Green Volt, which will double Europe’s total installed floating wind capacity.
In a significant leap toward achieving its climate goals, the UK government has secured funding for 131 new renewable energy projects in its latest Contracts for Difference (CfD) auction. This record-breaking round of approvals underscores the UK's commitment to clean, affordable, and homegrown energy, setting the stage for millions of homes and businesses across Britain to benefit from sustainable power sources.
Record-Breaking Renewables Auction Delivers 131 Projects
The 2024 auction marks the UK’s most successful renewable energy auction to date, securing 131 green infrastructure projects. These projects will generate enough clean power to meet the energy needs of 11 million homes, a key step toward delivering 100% clean power by 2030. This auction also includes funding for onshore wind, solar, and tidal energy, marking a significant improvement from the previous round in 2023, which saw no new offshore wind projects.
Offshore Wind Leads the Way
A major highlight of this auction is the resurgence of offshore wind, with nine contracts awarded, including the Hornsea 3 and Hornsea 4 projects off the Yorkshire coast. Once operational, these will be Europe’s largest and second-largest wind farms, solidifying the UK’s leadership in offshore wind energy and providing a backbone for its clean energy strategy. The projects will help deliver clean power at competitive prices, well below the maximum price set for the auction.
Boost in Onshore Wind, Solar, and Tidal Energy
Alongside offshore wind, the auction secured 115 solar and onshore wind projects, more than the total number of projects awarded in the previous round. Scotland continues to lead the way in onshore wind, with a significant portion of the country’s energy grid now powered by wind. Additionally, six tidal projects have been approved, reinforcing the UK’s leadership in tidal energy, with nearly half of the world’s operational tidal stream capacity located in British waters.