DotEcon was commissioned by an energy market participant to evaluate the latest UK proposals made by the Department for Energy and Climate Change for an award process to allocate capacity contracts. Such contracts would provide for fixed payments to capacity contract holders in exchange for guaranteed provision of capacity during times of system ‘stress’. DotEcon’s evaluation resulted in a report which identified a number of areas for improvement of current proposals and provided specific recommendations on how better to meet the objectives of the capacity market scheme.
