Here we go again: Capacity Market auctions, what can we expect?

After recently issuing our latest Capacity Market Forecast, we wanted to highlight some of the key trends to look out for regarding the upcoming Capacity Market (CM) auctions being held in February 2022.

This round of CM auctions begins with the T-1 for Delivery Year 2022-23 on 15 February followed by the T-4 for Delivery Year 2025-26 on 22 February.

This blog highlights five of the most interesting and sensitive variables that we observed when developing our forecast of clearing prices.

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If you are interested in hearing more about our Capacity Market Forecasting service, please contact l.drummee@cornwall-insight.com.

The procurement target for the T-1 auction is 4.5GW, with just 3.1GW of existing generation prequalified, resulting in a tight auction and a strong possibility that the auction clearing price will be set by a new build asset.
Low carbon generation
Tim Dixon

Tim Dixon

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