Reforms proposed in the new draft Energy Bill
This is a guest blog by Pinsent Masons. They have undertaken a thorough analysis of the implications of the draft Energy Bill which was announced earlier this week by the Secretary of State for Energy and Climate Change.
This package of reforms is probably the most significant development in the UK's energy market since privatisation in 1989. Notwithstanding that, there are still several areas where investors will need further reassurance in order to unlock the billions of pounds required for upgrading the UK's energy infrastructure.
Following an intensive review by experts from across our specialist electricity, renewable and nuclear teams, we have developed an extensive update on the draft Energy Bill designed to highlight the important changes as they affect your business. This is broken down into sections as they relate to DECC's announcement, namely:
1. Electricity (Electricity Market Reform), incorporating:
- Contracts for Difference
- Investment instruments
- Capacity Mechanism
- Conflicts of Interest
- Renewables transitional arrangements
- Emissions Performance Standard
Simon Hobday's Blog on the EMR announcement is on the Pinsent Masons Out-Law site.