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Finance

UK to explore extending contracts for backup coal plants

The UK will soon engage in negotiations to keep coal power units open next winter.

During National Grid ESO’s Operational Transparency Forum this morning, the system operator confirmed it received a letter from the Department for Energy Security and Net Zero requesting that it explored the procurement of winter contingency contracts, for additional capacity over the 2023/2024 winter.

In the past couple of months, National Grid put coal plants on standby to be used as an emergency backup.

The new agreements are expected to enable the units to be available again the next winter.

Once finalised, the ESO will inform the energy market of any agreed contracts, similar to what it did for the 2022/23 contracts.

The move is expected to support Britain’s energy market preparations for the upcoming winter.

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