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Wednesday 31st July, 2024 

Morlais welcomes government boost to renewables

Menter Môn Morlais Ltd welcomes today’s announcement by UK Government that it will increase support for renewable energy by over 50% to £1.5 billion in its upcoming contracts for difference auction. As part of this, £15 million has been ringfenced for tidal stream energy – also an increase of 50%.

The system, known as contracts for difference (CfD) is the government’s main mechanism for supporting low-carbon electricity generation. It guarantees a fixed sale price for power over 15 years, a certainty which is considered key for attracting investment.

Today’s boost along with the inclusion of tidal energy in the recent launch of GB Energy is welcomed as an endorsement of the tidal stream industry and its role in government plans for grid decarbonisation.

John Jenkins, director with Menter Môn Morlais said: “This announcement shows the government's commitment to renewables and their confidence in tidal stream technology. As the largest consented tidal stream project in Europe, we know the important part schemes like ours play in the generation of clean electricity, which will be crucial as we aim for net-zero.

“For us on Anglesey there is added significance, as it gives tidal technology developers already committed to Morlais the confidence to plan ahead and to expand their capacity here.  I’m certain the move will promote innovation and ensure we remain at the cutting edge of the sector as well as encourage new developers to explore how they can work with us.”

“As with any project of this scale, we’re on a journey, we know there’s a long way to go to deliver the project’s full potential. We’re determined to be a lead player in this emerging sector so that we can achieve what we set out to do – deliver local benefit and add value throughout the supply chain and for our communities.

“And whilst we welcome today’s announcement, there is always more that can be done, so we would call on government to look how it can go further to promote projects like ours at Morlais.”

Managed by Anglesey social enterprise, Menter Môn, Morlais provides developers of tidal energy devices with a reduced risk model of deploying their technology on a commercial scale. With a potential maximum generating capacity of 240 MW the recent announcement on increased financial support from government is seen as an important step to achieving this.

The results of the next CfD allocation round are expected in September as part of what is known as AR6.

In response to the announcement, Llinos Medi, MP for Ynys Môn said: “We’re extremely fortunate of our natural environment here on Ynys Môn and the potential in terms of tidal energy. Investing in this sector is such an important part of our fight against climate change. The Morlais project has been leading the way for many years, bringing with it benefits to our local communities as well as the environment.”

Rhun ap Iorwerth, MS for Ynys Môn added: “I'm pleased to see the important role of tidal energy continuing to be recognised for its contribution to our low carbon future. We have a real opportunity here through Morlais not just to make the most of the natural resources around us on Ynys Môn, but to do so through a community enterprise that will always be focused on maximising local benefits and jobs."


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