Gas Fired Power Stations and Wind Power: Costs

(asked on 22nd April 2024) - View Source

Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what the average levelised cost is for combined cycle gas-fired power stations, assuming current natural gas spot prices, in the last five years; and what the average levelised cost is for offshore windfarms commissioned in the same period.


Answered by
Justin Tomlinson Portrait
Justin Tomlinson
This question was answered on 30th April 2024

The Department publishes its levelised costs of electricity for a generic plant in the Generation Costs Report, most recently in 2023 (https://www.gov.uk/government/collections/energy-generation-cost-projections). These provide forecasts for 2025 to 2040. Gas CCGT is 114 £/MWh for 2025 and offshore wind is 44 £/MWh for 2025 (2021 price base). Levelised costs use a forecast of gas prices over the lifetime of a plant based on the latest published gas price forecasts at the time of publication (https://www.gov.uk/government/publications/fossil-fuel-price-assumptions-2019).

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