Energy

#2026/411The Contracts for Difference (Sustainable Industry Rewards and Contract Budget Notice Amendments) Regulations 2026

🇬🇧United Kingdom··Other·Medium Impact·View source ↗

AI-generated summary for informational purposes only. Not legal advice. See the original source for the authoritative text.

🇬🇧 English

This regulation updates how the UK government allocates budget for Contracts for Difference (CfD) to support sustainable industry rewards. It allows for more flexible budgeting to encourage the use of sustainable practices in generating electricity. The changes affect eligible electricity generators applying for CfD under new rules that apply until 2028.

AI-generated summary. May contain errors. Refer to official sources for legal decisions.

Key Changes

  • Introduces flexible budgeting for sustainable industry rewards within CfD scheme.
  • Sets deadlines for opening application windows and budget announcements before 2028.
  • Allows for consideration of unforeseeable circumstances affecting financial minimum standards.

Obligations

What this law requires

high

Eligible generators must submit a sustainable industry reward application to the Secretary of State if required or permitted by a sustainable industry reward allocation framework.

eligible generators
operational
high

Each eligible generator must provide a copy of a sustainable industry reward statement that applies to the relevant CFD unit in respect of the allocation round, if required by the contract allocation framework.

eligible generators
reporting
medium

The Secretary of State must publish the sustainable industry reward budget notice by the day before a notice under regulation 28C that includes a sustainable industry reward statement is given.

Secretary of State
disclosure
medium

The Secretary of State must provide notice of any amendments made to the sustainable industry reward statement to the applicant and the CFD counterparty within 10 working days of the notification date.

Secretary of State
10 working days from notification date
reporting
high

The delivery body must inform the Secretary of State when it gives the final CFD notification for an allocation round.

delivery body
reporting

Affected Parties

Electricity generatorsRenewable energy project developers

Tags

energy,sustainability,budget