Contracts for Difference (CfD) Allocation Round 8: exemptions request notice
Summary
DESNZ has published the process for generators excluded from CfD rounds to apply for exemption from their temporary site exclusion for Allocation Round 8, due to open in July 2026. Exclusion applies to generators that let a previous CfD offer lapse or had a CfD terminated. The notice sets out information requirements, the closing date for exemption requests, and where to submit them.
Why it matters
This is routine administration of an existing mechanism. The exclusion rule exists to prevent speculative bidding, but the exemption process weakens that discipline by letting excluded sites back in on application rather than waiting out the penalty period.
Key facts
- •AR8 due to open July 2026
- •Exclusion applies where a CfD offer lapsed or a CfD was terminated in certain circumstances
- •Excluded sites listed on the LCCC Register of Temporary Site Exclusion
- •Exemption requests must be submitted to the Secretary of State by a specified closing date
Timeline
Areas affected
Related programmes
Memo
The Contracts for Difference (Allocation) Regulations 2014, as amended, state that where an eligible generator has allowed the offer of a CfD to lapse following an allocation round, or if a CfD was entered into and terminated in certain circumstances, the eligible generator is excluded from participating in a specified number of subsequent CfD allocation rounds. The Exemptions Request Notice sets out the procedure that an excluded generator must follow should they wish to apply for an exemption from their temporary site exclusion in order to be eligible to participate in Allocation Round 8 ( AR8 ), due to open in July 2026. Details of excluded sites are placed on the Register of Temporary Site Exclusion published and updated from time to time by the Low Carbon Contracts Company. The Exemptions Request Notice includes details of: the information to be included in an exemption request the deadline by which a request for an exemption certificate must be received by the Secretary of State (the ‘closing date’) where such requests should be sent