BY CONTINUING TO USE THIS SITE, YOU ARE AGREEING TO OUR USE OF COOKIES. REVIEW OUR
COOKIE NOTICE

Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

IF you are a Platts Market Center subscriber, to reset your password go to the�Platts Market Center to reset your password.

In this list
Electric Power

UK inflation hits 3% in September, strike price hike for 2017 running at 2.6%

Electric Power | Natural Gas

Winter storms batter US power markets, driving up demand and prices

Electric Power

Platts Market Data – Electric Power

Commodities | Energy | Electric Power | Emissions | Renewables | Natural Gas | Natural Gas (North American)

Northeast Power and Gas Conference

Electric Power

France-Italy cross-border power auction price up 17% for March

UK inflation hits 3% in September, strike price hike for 2017 running at 2.6%

Highlights

UK annual inflation hit 3% in September for the first time since March 2012, up from 2.9% in August, the Office for National Statistics said Tuesday.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

Monthly CPI as published by the ONS is used as an input in strike prices awarded to low-carbon projects under the Contracts for Difference regime.

Each calendar year the government's Low Carbon Contracts Company calculates an Indexation Adjustment, which becomes effective April 1.

The arithmetic mean of the monthly data from the ONS for 2016 was 0.7%.



For 2017 to end-September, the mean is currently 2.6%.

Strike prices for large CfD-backed power projects have been edging up since the regime began in 2012/13 with early agreements.

One of the early commercial agreements was for the Hinkley Point C nuclear power station.

LCCC data show the initial GBP89.50/MWh ($118/MWh) strike price for the plant (2012 money) has risen GBP7.64/MWh to GBP97.14/MWh.

This initial strike price assumes a second EDF project at Sizewell C proceeds. If not, the initial strike price rises to GBP92.50/MWh.

Meanwhile, the GBP105/MWh initial strike price awarded to Lynemouth power station (coal to biomass conversion) has since risen GBP8.39/MWh to GBP113.39/MWh.

Across the suite of 15-year CfDs agreed to date, some 6.6 GW have been awarded, with average initial strike prices rising from GBP107/MWh to GBP113/MWh.

The Hinkley contract is the exception as it runs for 35 years, adding 3.3 GW across two EPR reactor units.

--Henry Edwardes-Evans, henry.edwardes-evans@spglobal.com
--Edited by Jonathan Fox, jonathan.fox@spglobal.com