Access to CfDs should be conditional on cost reductions

The government should consider whether low-carbon technologies should be pursued if they “consistently” fail to secure support through Contracts for Difference (CfD) auctions, according to a new report by ex-prime minister Sir Tony Blair’s thinktank. Although this may sound like “picking winners”, the report said support should be conditional on their value to the energy system and potential for cost reductions.

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