CfD Stakeholder Bulletin — 5 November 2021

Contracts for Difference: Stakeholder Bulletin 5 November 2021 National Grid ESO webinars Ahead of the opening of Allocation Round (AR4), National Grid ESO1 will host two webinars to guide potential applicants through the allocation and application processes for the round. Any enquiries about these webinars should be sent to National Grid ESO at EMR.CfD@nationalgrideso.com. AR4 guidance documents The guidance documents listed below have recently been added to the AR4 microsite. In the below list, the relevant Contracts for Difference delivery partner is given alongside each document. • Minor & Necessary Modifications Process (PDF, 470KB) – Low Carbon Contracts Company • Storage Co-Location Generator Guidance (PDF, 476KB) – Low Carbon Contracts Company • Draft CfD Pre-Application Guidance (PDF, 927KB) – National Grid ESO • Draft CfD Application Guidance (PDF, 3.42MB) – National Grid ESO • Draft CfD Allocation Guidance (PDF, 1.96MB) – National Grid ESO • Electricity Market Reform Dispute Resolution Guidance (PDF, 406KB)2 – Ofgem National Grid ESO is currently inviting interested parties to review its draft guidance and provide feedback. If you wish to provide feedback on these documents, please submit it to EMR.CfD@nationalgrideso.com by 5pm on 15 November 2021. 1 National Grid ESO is one of the four Contracts for Difference (CfD) delivery partners. The other partners are the Department for Business, Energy and Industrial Strategy, the Low Carbon Contracts Company and Ofgem. Further information about the delivery partners’ roles in the CfD scheme is available on the AR4 microsite. 2 This guidance sets out the appeal process for the CfD scheme (as well as the appeal process for the separate Capacity Market scheme). The allocation process webinar will take place on 11 November 2021, 10.00am–12.00pm. • Register your place for the allocation process webinar The application process webinar will take place on 17 November 2021, 10.00am–12.00pm. • Register your place for the application process webinar National Grid ESO intends to publish final versions of its draft guidance on the AR4 microsite in the week commencing 22 November 2021. Low Carbon Contracts Company and Electricity Settlements Company Operational Costs 2022/23, 2023/24 and 2024/25: Consultation on the Operational Cost Levies The government has today opened a consultation seeking views on the proposed 2022/23, 2023/24 and 2024/25 operational cost budgets, resulting levies for the Low Carbon Contracts Company (LCCC) and the Electricity Settlements Company (ESC), and changes to legislation. LCCC enters into and manages Contracts for Difference (including the Investment Contracts which have been transferred to it) with low-carbon generators, awarding top-up payments for qualifying generation. ESC is responsible for all financial transactions relating to the Capacity Market, including making capacity payments to capacity providers, managing supplier credit cover and capacity providers’ auction credit cover. The operational costs of the companies are recovered through levies on electricity suppliers, as set out in legislation. Subject to the outcome of the consultation, the regulations will be amended, and the operational cost levies for 2022/23 to 2024/25 will be reflected in secondary legislation, which is intended to be laid in Parliament in early 2022, to come into force (subject to the will of Parliament) before 1 April 2022. • Further information and details of how to respond can be found on the consultation’s dedicated GOV.UK page. UK General Data Protection Regulation This stakeholder bulletin is being circulated to people who have opted in to the Contracts for Difference stakeholder contact list. We issue these stakeholder bulletins as a convenience to interested parties, however it is not in any way essential to be on this list to participate in major consultations or allocation rounds. Purpose & scope of this list: This list is managed by the Department for Business, Energy and Industrial Strategy (BEIS) (and any successor departments) and will be used to inform interested parties of policy developments relevant to the Contracts for Difference scheme for renewable energy projects (and any direct successor schemes). It is not used for any other purposes. To be removed from the circulation list: Please send a blank e-mail with the subject ‘opt out’ (if the receiving e-mail you use is different to the one you send the e-mail from, include that e-mail address in the subject of the e-mail) to BEISContractsForDifference@beis.gov.uk. If you have received this indirectly and want to be added to this list: Send a blank e-mail with the subject line ‘opt in’ to BEISContractsForDifference@beis.gov.uk. You can withdraw your consent to opt in at any time. We will normally keep your address on this list until you: a) withdraw your consent to opt in, b) the scheme closes without any successor, c) we receive reports your email address is no longer operational, or d) you do not respond to a periodic request from us to reconfirm your desire to opt in.