The Department for Energy Security and Net Zero has launched a consultation for the second phase of changes to the Capacity Market.
These changes aim to bolster energy security, align with net zero objectives and enhance the scheme’s administration.
This follows the implementation of Phase 1 in June 2023.
The proposed adjustments include enabling battery operators to address degradation issues, offering greater flexibility for low carbon projects with extended construction periods to access the scheme and introducing new longer-term agreement options for low carbon technology.
Phase 1 introduced technical modifications to connection capacity to ensure better value for consumers and facilitated generator transfers between the Capacity Market and the Contracts for Difference.
