Capacity market set to provide UK's back-up plan
An important part of UK Electricity Market Reform is the launch of a capacity market, with the first auction due to take place in December 2014. Despite initial opposition, market participants have gradually come around to the idea. Stella Farrington reports
Capacity has increasingly become a hot-button issue for the UK power market. Now, faced with thinning reserve margins and the prospect of heavier reliance on intermittent renewable power, the UK government is planning to create a capacity market as part of its long-awaited Electricity Market Reform (EMR).
The capacity market is designed to incentivise investment in reliable peaking capacity, such
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