Energy allocation announced

Tuesday 10th Feburary, 2026 

New energy allocation announced for Ynys Môn tidal energy

The UK Government’s latest renewable energy auction for Contracts for Difference (CfDs), Allocation Round 7 (AR7), has today awarded an additional 18.5 MW to the Morlais tidal energy scheme on Ynys Môn. Owner Menter Môn Morlais Ltd has welcomed the announcement and said it will support ongoing work with partners and developers on the scheme.

Three developers have been successful as part of the allocation - Hydrowing, QED Naval and Tidal Technologies Ltd – contributing to the continued development of Morlais off the coast of Holyhead. The CfD award gives developers revenue certainty for the electricity generated at Morlais and brings total secured for the scheme so far to 56.5MW. The outcome reflects the competitive nature of this year’s round and follows several months of sector discussions around budget levels and delivery expectations. The focus will now be on building momentum and working closely with developers and funders to progress the next steps.

John Idris Jones, Chair of Menter Môn Morlais Ltd said: “We welcome today’s announcement and are pleased to see progress and an award which will deliver investment and jobs to north Wales. We will continue to work with partners to ensure that opportunities for local businesses and communities on Ynys Môn are maximised.

“Morlais has an important role to play within the renewables sector, and we are committed to working closely with government and stakeholders to ensure the region fully benefits and that progress continues towards broader renewable energy and net zero goals.”

One of the successful developers is Tidal Technologies Limited (TTL), securing a CfD for this first time. Founder and Director, Jamie Scrimgeour, said: “We are delighted to have secured our first CfD through the UK Government’s AR7, thanks to Menter Môn and the brilliant Morlais team for their support, advice and help to make this happen. Tidal Technologies was founded in 2021 to develop TT2, a twin vertical axis tidal energy conversion device designed to produce reliable and predictable, utility scale, clean energy in medium energy tides. TTL is planning to deploy its first full scale 3MW demonstrator at Morlais in 2027 with a further 27MW planned as soon as possible.”

Another developer to receive an award is QED Naval Group. David Campbell, Chief Financial Officer said: “We are pleased to have secured a further 5.5MW of CfD through this Allocation Round. The award for our subsidiary Môr Energy brings our total capacity at Morlais backed by CfD to 10MW, delivering a strong message to both private and public funders of the revenue price guarantee secured to reduce commercial risk for early technologies.

We hope that this will encourage public funders to step up and deliver the early project funding required to bring in the private investors needed to enable tidal stream energy to develop into a valuable part of the grid generation offering.”

The CfD scheme was set up to provide government support to the renewable energy sector in the UK by giving developers a guaranteed price for the electricity they produce. Morlais is the largest consented tidal energy development in Europe. Once built, it has the potential to generate up to 240MW of clean low carbon electricity.