Posted on: 15/12/2015
The second Capacity Market – aimed at securing capacity for 2019/20 – saw just over 46GW cleared at a price of £18/kW.
The figure was over £1 cheaper per kW than last year and Energy Minister Andrea Leadsom hailed the success of the auction system in keeping prices down.
“Our number one priority is to ensure that hardworking families and businesses have access to secure, affordable energy supplies they can rely on,” she said.
“This result represents a good deal for customers - fierce competition in the Capacity Market has driven down costs, meaning future capacity has been secured the lowest price possible.”
Government to now reflect on results
The government has already consulted on how to improve the Capacity Market and after this year’s auction said it will now reflect on the results of the first two auctions to check the framework “still commands the confidence of industry and investors to deliver world class energy security and investment in new capacity”.
Earlier this year SmartestEnergy announced the launch of a new DSR service for customers. It covers all aspects of taking part in demand response including technical set-up and testing of equipment and software required, performance monitoring and payments.