UK Solar Energy Achieves New Milestone
Posted on 4th September 2024
The latest renewable energy auction has marked a significant achievement for solar energy in the UK, with a record number of solar projects securing contracts. According to industry experts, this progress is expected to play a crucial role in reducing energy costs within the next few years.
Record Solar Capacity Boosts UK Energy Goals
In the sixth allocation round of Contracts for Difference (CfDs), a total of 93 ground-mounted solar projects were awarded contracts, amounting to an impressive 3,288 megawatts (MW) of new capacity. This is a substantial increase compared to previous auction rounds, highlighting solar energy's growing importance and competitiveness within the UK's renewable energy landscape.
Out of the total capacity secured, 884MW is set to be delivered by 2026, with an additional 509MW and 1,895MW coming online in 2027 and 2028, respectively. This allocation not only surpasses previous records but also includes, for the first time, solar farms exceeding 50MW in capacity.
Competitive Pricing and Strategic Growth
The strike price for solar energy in this round was set at £50.07 per megawatt-hour (MWh), showing remarkable stability despite inflationary pressures. This competitive pricing reinforces solar energy’s position as one of the most cost-effective sources of electricity in the UK, particularly when compared to other energy sources. For example, conventional offshore wind projects in the same auction achieved a slightly higher strike price of £50.90/MWh, while nuclear energy projects like Hinkley Point C are contracted at significantly higher rates.
The success of this auction round is a clear indication of solar energy’s vital role in the UK’s journey towards its renewable energy goals. According to industry experts, maintaining this level of annual capacity growth is essential for meeting the government’s target of 50GW of solar energy by 2030. This year’s auction alone brings the country a step closer to that goal, with the potential for additional capacity to be added through corporate power purchase agreements and direct-to-grid sales.
Powering the Future
Helios Distribution is at the forefront of supplying high-performance solar panels, and our partnership with Astronergy ensures that we offer the latest in solar technology. Astronergy's panels are not only MCS-certified but are also known for their exceptional quality and efficiency, making them a top choice for wholesalers and installers across the UK.
For those focusing on large-scale solar farms, industrial applications, or residential installations, Astronergy's panels provide a reliable and cost-effective solution. Their consistent performance and durability make them easy to stock and in high demand across various sectors.
Contact Helios today to secure your order for the best solar panels available and offer your clients the superior technology they deserve.
Share this post: