UK clean energy auction sets record as £1.5 billion drives energy transition

Recently, the UK has set a new record in the field of clean energy. According to a report by The Guardian on September 3, after the Labour government provided a record budget of up to £1.5 billion (about 14 billion yuan) for clean energy contracts for difference, the country's clean energy auction plan has obtained new projects sufficient to supply power to 11 million British households.

This auction is of great significance. It supports a total of 131 new clean energy projects, covering wind farms, solar farms, and tidal power generation projects. The "contracts for difference auction" as the UK's renewable energy construction guarantee mechanism was launched in 2015. Developers obtain the "guaranteed price" for producing electricity from the government through bidding to balance the impact of market electricity price fluctuations.

To achieve the clean energy goal for 2030, the Labour government has taken a series of measures in addition to significantly increasing the budget for the "contracts for difference auction" plan, including cooperating with the Crown Estate to establish British Energy Company; approving three large solar farms; establishing a clean energy mission control center to accelerate deployment.

British Secretary of State for Energy Security and Net Zero Ed Miliband said on the 3rd that this auction is "crucial for ensuring energy security for families across the country", emphasizing the government's and the energy industry's determination to jointly ensure investment in the country, and reiterating the vision of the clean energy goal for 2030. However, achieving this goal is not a smooth path. "Greenpeace" pointed out that if the British government is to achieve its clean energy goal, the power from offshore wind power facilities expected to be put into production can only meet about half of the 2030 target. Nevertheless, the success of this auction has undoubtedly injected strong impetus into the development of clean energy in the UK and set a new benchmark for the global clean energy transition. The international community will closely follow the UK's subsequent progress and effectiveness in the field of clean energy.