The Anaerobic Digestion and Bioresources Association (ABDA) has urged the government to create a bespoke contracts for difference (CfD) mechanism for small-scale renewables following the closure of the feed-in tariff (FIT) scheme at the end of March.
The trade body has also called for anaerobic digestion, which it says has the potential to generate 75TWh of energy each year, to be included in future CfD auctions.
Charlotte Morton, chief executive of ABDA, said: “We agree with government that small-scale, low-carbon electricity generation should compete independent of direct subsidy and on its own merits on a level playing field with other electricity-generation technologies.
“To ensure it can compete with other generation technologies, AD [anaerobic digestion] must therefore no longer be excluded from applying to future CfD auctions.”
She added: “Beyond this levelling of the playing field, we’re calling on government to develop a bespoke, small-scale, low-carbon CfD auction mechanism to encourage competition in the small-scale sector and recognise the additionality that AD can provide in the form of greenhouse gas mitigation, agricultural diversification, and energy and food security.”
Analysis of Ofgem figures by Regen recently revealed that 77 wind and solar projects, representing 21MW and 32MW of capacity respectively, had failed to secure subsidies before the closure of the FIT scheme due to quarterly caps on deployment.