Capacity Market results blow for coal
Commenting on the T-1 Capacity market Auction Results, published today, Dr Jonathan Marshall, Energy Analyst at the Energy and Climate Intelligence Unit (ECIU) said:
“Already on the ropes, Eggborough missing out on a capacity market contract was the final straw for this once-great power station. It is yet another sign that old and polluting technology is losing out to demand side response and distributed capacity, at the same time as the capacity market clears at a record low price to ensure security of supply at low cost for homes and businesses. Coal-fired generation in the UK is in freefall, and more plant closures – as expected by the Government – will see this continue.
“This result follows the news that coal generation in January 2018 – typically one of the most coal-intensive months of the year – is down by more than two-thirds compared to just one year ago. The terminal decline of coal power is coming at the right time, when ever-cheaper renewables are able to fill in the gap, and concerns about air pollution spread around the country. Looking ahead, the UK can continue to lead the world away from the most polluting fossil fuel, one of the most important factors in meeting global climate targets.”