Government decides against CfD for Moroccan power project
A project to deliver power from Morocco to the UK via a subsea cable won’t get Contract for Difference support from the UK Government.
A project to deliver power from Morocco to the UK via a subsea cable won’t get Contract for Difference support from the UK Government.
Xlinks, the company behind the project to harness energy from a 3.6GW solar-and-wind complex in Morocco, said the decision was a missed opportunity for energy security and decarbonisation.
The Department for Energy Security and Net Zero has told the developer it is “no longer considering” CfD support for the £20 billion scheme.
Xlinks chair Sir Dave Lewis said the company was “hugely surprised and bitterly disappointed”.
“The project requires no upfront Government investment and offered a highly competitive CfD strike price,” he said.
“Ultimately, we have no choice but to accept DESNZ’s decision. We are now working to unlock the potential of the Project and maximise its value for all parties in a different way.”
As the UK accelerates towards net zero, the UK energy market is undergoing a major transformation. In this blog, explore the evolving landscape of renewable power purchase agreements (PPAs) as Portfolio Team Manager, Matt Neve, sheds light on the role of CfDs and CPPAs in achieving Clean Power 2030 targets.