CfD (Definition of Eligible Generator) Regulations 2014

Page type: primary-anchored (mirrors The Contracts for Difference (Definition of Eligible Generator) Regulations 2014, SI 2014/2010)

Last updated: 2026-04-05

Source file: ~/knowledge/sources/legislation/uk/si-2014-2010-cfd-eligible-generator.md

What this instrument does

The Contracts for Difference (Definition of Eligible Generator) Regulations 2014 (SI 2014/2010) define who counts as an "eligible generator" and what counts as an "eligible generating station" for the CfD regime. This is a purely definitional instrument: it creates no obligations and imposes no duties. Its definitions are imported by the CfD (Allocation) Regulations 2014 and the Electricity Market Reform (General) Regulations 2014.

Made under the Energy Act 2013 (ss.6(1) and 10(3)), it came into force on 1 August 2014.

The three-link eligibility chain

To qualify as an "eligible generator", three conditions must be met:

1. The station must be an eligible type (Schedule, para 1)

Twelve categories of generating station qualify:

Renewable electricity: - Wind (onshore and offshore) - Solar PV (photovoltaic array) - Hydro - Tidal movement, but only below 1GW declared net capacity - Tidal stream - Wave - Geothermal (naturally occurring subterranean heat)

Biomass and waste: - Biomass station (standalone; added June 2025) - Dedicated biomass with CHP (must never have been a fossil fuel station) - Energy from waste with CHP (standalone EfW without heat output is not eligible) - Anaerobic digestion gas (excluding landfill and sewage gas) - Gas or liquid from gasification or pyrolysis of biomass or waste - Landfill gas - Sewage gas

Other low-carbon: - Nuclear power station - Generating station connected to a complete CCS system

2. The person must intend a "generating activity" (Reg 3(5))

Five activities qualify: 1. Establishing a new station 2. Altering capacity by 5 MW or more 3. Connecting to a CCS system 4. Decommissioning and replacing parts of a station 5. Continuing biomass generation

The 5MW threshold means small upgrades do not trigger new CfD eligibility.

3. The person must be the generator, operator, or associated company (Reg 3(2)-(4))

Three routes to eligibility: - The person intending the generating activity (Reg 3(2)) - The operator of the station, where the first person is already eligible (Reg 3(3)) - Any corporate body associated with either of the above (Reg 3(4)), using the association test from Energy Act 2008, s.67

This corporate chain gives flexibility for project finance structures where a special-purpose vehicle, its parent, or a sibling company may each qualify.

Notable technology constraints

The tidal movement cap (below 1GW declared net capacity) is the only quantitative technology limit in this instrument. Given that the Severn Barrage concepts range from 1.5GW to 8.6GW, this cap effectively blocks the largest barrage proposals from CfD eligibility. Declared net capacity is calculated as maximum sustained generation capacity minus the station's own electricity consumption (Schedule, para 2).

Energy from waste stations must be CHP (combined heat and power). Standalone EfW without heat output does not qualify. This requires generators to demonstrate useful heat supply, not just electricity production.

The "dedicated biomass with CHP" category requires the station to have never been a "relevant fossil fuel generating station", defined as one burning fossil fuels exceeding 15% of energy content in any 6-month period without ROC certificates. This prevents biomass conversion gaming.

Standalone biomass was only added in June 2025, a notable late addition to the eligible technology list.

Defined terms

See source file for complete register. Key terms: "eligible generator" (person carrying out generating activity at eligible station), "eligible generating station" (one of 12 listed types), "carry out a generating activity" (five qualifying activities), "declared net capacity" (max capacity minus self-consumption).

Cross-references

Character positions

No character positions captured yet for this instrument.

Debate

No debate entries yet.