UK Prepares to Hike Wind Farm Prices as Developers Struggle
- Next auction bid ceiling could be £70-75 a megawatt-hour
- Offshore wind firms balked at low prices at previous auction
Wind turbines in Lambrigg, England.
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The UK government is preparing to offer significantly higher subsidies for new offshore wind farms to get the country’s clean-power strategy back on track after developers shunned a previous auction.
The ceiling for bids from offshore wind companies in the next auction round is likely to be considerably more than this year’s £44 ($54) of guaranteed revenue per megawatt-hour of power produced, according to people familiar with the matter. The price, due to be published later this month, is likely to be set at about £70-75, one of the people said.