The T-1 Capacity Market auction for delivery in 2019-20 cleared on 12 June at £0.77/kW, the lowest clearing price ever achieved in a GB capacity auction. The auction began on 11 June. It compares with a realised price of £6/kW from the previous T-1 auction last year. The corresponding price for winter 2019-20 from the T-4 auction held in £2015 was £18/kW.
In total 3,626.196MW of capacity secured Capacity Agreements, which represented 38.49% of the 9,420.357MW of capacity that entered the auction. Most contracts went to gas generators (2,030.561MW) and interconnector (1,025MW).
The auction was originally scheduled for early 2019 but was delayed due to the European Court of Justice decision to cancel the State Aid approval effectively suspending the Capacity Market. All the agreements are subject to a new State Aid being approved for the scheme.