Call for Evidence on Corporate Power Purchase Agreements (CPPAs) - Offer your View
As part of its Clean Energy Superpower mission, the government has set out a long-term plan to strengthen energy security, cut electricity costs, and accelerate the transition to clean energy. Alongside this, the UK’s Modern Industrial Strategy outlines targeted measures to support priority sectors and energy-intensive industries facing high electricity prices.
Key interventions include increasing discounts under the Network Charging Compensation Scheme (NCCS) from 60% to 90% from 2026 for around 550 of the most energy-intensive firms, a review of support under the Energy-Intensive Industries (EIIs) Compensation Scheme, and the introduction of the British Industrial Competitiveness Scheme (BICS). From 2027, BICS will reduce electricity costs by up to £40/MWh for more than 7,000 businesses across frontier and foundational manufacturing sectors.
Against a backdrop of electricity price volatility and continued exposure to gas-linked pricing, interest in Corporate Power Purchase Agreements (CPPAs) has grown. CPPAs offer a market-led route for businesses to secure stable, competitively priced, low-carbon electricity while supporting decarbonisation without increasing fiscal burden.
The Industrial Strategy therefore commits to a Call for Evidence on how the Great Britain CPPA market can be developed and improved, drawing on international best practice to improve competitiveness, increase efficiency, and remove barriers to growth. The Department for Business and Trade (DBT) and the Department for Energy Security and Net Zero (DESNZ) are seeking views from current and prospective market participants on how to strengthen the CPPA market and support industrial competitiveness and net zero objectives.
This Call for Evidence applies to Great Britain only and will be of particular interest to electricity-intensive businesses, investors and funders, electricity generators, and suppliers, traders and intermediaries.
Responses to this call for evidence can be shared until 6 March 2026.