BHA Latest News: Capacity Market Webinar & Consultation

This article is an excerpt from the BHA Latest News that was released on November 26th 2025. To read more articles like this, become a member today.

The BHA hosted a webinar on the recent consultation on the reform of the Capacity Market. The consultation seeks views on a series of changes aimed at ensuring security of electricity supply, aligning the scheme with the government’s decarbonisation goals, and improving market operation ahead of the 2027 auctions. 

Key proposals include introducing a multiple-price Capacity Market that would allow a higher price cap for new build, dispatchable, long-duration capacity such as hydro, biomass and nuclear. This is intended to attract new investment in enduring low-carbon generation while maintaining value for consumers. The consultation also proposes measures to improve auction efficiency, strengthen demand-side flexibility rules, and allow battery storage projects to self-nominate a reduced connection capacity to reflect degradation over time. 

The webinar allowed our members to come and discuss their views on what we should be proposing for the consultation response, as well as allowing our members to get a better insight into what the CM offers Hydropower.