The Renewable energy CFD and International trade: Is the supply chain plan the weakset link?
The media coverage of the latest UK allocation round for renewables contracts for differences (CfDs) takes for granted that a subsidy is involved, as do government statements. But these statements also publicise the record-low prices and the fact that the scheme protects (rather than is funded by) the UK energy consumer.
Whether there is a subsidy needs to be properly examined, not only in the interests of developers and consumers, but also to evaluate compliance with international trade obligations, particularly following recent developments in the supply chain plan rules.
