Carbon capture, usage and storage: amendments to Contracts for Difference regulations

Overview

In November 2020, the government published the Ten Point Plan for a Green Industrial Revolution, with commitments focused on driving innovation, boosting export opportunities, and generating green jobs and growth across the country to level up regions of the UK. Included in the Ten Point Plan was a commitment to deploy Carbon Capture, Usage and Storage (CCUS) in two industrial clusters by the mid-2020s, and a further two clusters by 2030 with an ambition to capture 10 MtCO₂ per year by 2030.

This consultation seeks views on three proposed amendments to the Contracts for Difference (CfD) regulations that will facilitate the award of the Dispatchable Power Agreement (DPA) for Power Carbon Capture and Storage:

• Retrofit CCS eligibility for a DPA
• Payment mechanism terminology
• Non-pipeline shipping

The government anticipates that this consultation will be of interest to any stakeholder with an interest in the development of CCS policy.

Why your views matter

We are consulting to gather your views on the three proposed amendments:

• Retrofit CCS eligibility for a DPA
• Payment mechanism terminology
• Non-pipeline shipping

Read the consultation document on GOV.UK.