Contracts for Difference | Bleasdale

As predicted, the Clean Industry Bonus doesn't work.

The real shame is rather than recognising it's a structurally flawed policy the Department for Energy Security and Net Zero seem to think throwing more money at the problem is the fix; it isn't (it rarely is.)
It infantalises the industry, prevents supply chain growth, delays delivery, ensures lowest possible return, drives energy majors with alternatives (eg BP, Shell) out, and make major innovation impossible. 

The CfD is the problem.

The supply chain plans, Clean Industry Bonus, Offshore Wind Manufacturing Investment Scheme, Floating Offshore Wind Manufacturing Investment Scheme, Offshore Wind Growth Partnership, Offshore Wind Industry Council, Offshore Wind Innovation Hub, OWGP Chair and Offshore Wind Champion reports, Offshore Renewable Energy Catapult, Offshore Wind Accelerator, Offshore Wind Evidence and Change Programme, Offshore Wind Sector Deal... have not been, and are not, the solution (just exactly how many schemes have there been? As far as I can tell that's almost one a year!) [edit, Offshore Wind Innovation Pathways, Offshore Wind Cost Reduction Report, Offshore Wind Industrial Growth Plan, TCE's Supply Chain Accelerator... please let me know if I've missed any!]

It's like no civil servant or politician has learned to look at how industry grows in other countries or sectors, or read anything about how markets develop It's not rocket science.

As critical posts without solutions are a bug bear of mine:
- all significant market growth comes from disruptive innovation
- all disruptive innovation comes from small/micro business
- creating opportunity for those (instead of trying to force large businesses to do what government wants) is how to create growth

Having said that, I don't think the UK government has the stomach or courage to do what it takes to revive the opportunities wasted by the Conservatives and TCE; so it's probably too late.

 

 

 

 

Offshore Wind and Hydrogen