Comment on Capacity Market ruling

Serious questions persist on the necessity of a capacity market, says Dr Jonathan Marshall

By George Smeeton

Information on this page correct as of:

Commenting on the news that the European Commission has approved under EU State aid rules the British Capacity Market scheme, Dr Jonathan Marshall, head of analysis at the Energy and Climate Intelligence Unit (ECIU) said:

"Despite the EC decision to give it the green light, serious questions persist on the necessity of a capacity market. There remains little evidence that it is needed to keep British lights on, there are major doubts if it is the right tool to deliver low-carbon electricity during the 2020s, and it continues to shut out innovative and disruptive technologies that are vital in the transition to a smarter, cleaner and cheaper electricity system.

“Without changing tack, the UK is now at risk of continuing to shovel cash towards old coal, gas and nuclear power stations, which would be running anyway, rather than clearing space for low carbon generation and innovative technologies to achieve their full potential, bringing energy bills down with them."