The government has concluded a consultation on proposals to reform the Capacity Market, aiming to improve the security of supply.
The consultation, held between October and December 2023, consisted of two parts.
The first part focused on strengthening supply security and net zero alignment, while the second part called for evidence for a comprehensive review of the Capacity Market.
The consultation received 41 responses, mainly from industry stakeholders, with most supporting the proposals.
Due to time constraints in the Parliament, amendments to the Electricity Capacity Regulations 2014 will not be made.
Instead, changes will be implemented through amendments to the Capacity Market Rules 2014, the government said.
These include allowing mothballed plants to prequalify for auctions and supporting battery participation.
A second consultation ran from April to May 2024, seeking views on five proposals to enhance auction liquidity by refining the emissions verification process.
This consultation received 14 responses, mostly from industry stakeholders – the responses were generally supportive but included some concerns and requests for clarification.
The changes to be implemented include enabling applicants to have their emissions verified after the application deadline, amending rules related to Combined Heat and Power Quality Assurance certificates and allowing the use of older Fossil Fuel Emissions Declarations at prequalification.
