Mainstream wins CFD dispute

5 April 2017

Sian Crampsie

Mainstream Renewable Power has won its appeal against the UK’s Low Carbon Contract Company (LCCC) relating to the Neart na Gaoithe offshore wind farm in Scotland.

The 450 MW project was awarded a contract for difference (CFD) by the UK government in 2014 but progress on its development stalled when environmental group RSPB sought a judicial review of the project’s consent.

The legal case meant that Mainstream missed a key deadline set by LCCC and the CFD agreement was terminated.

An arbitration tribunal has ruled in favour of Mainstream after following dispute resolution procedures set out in the CFD process. Mainstream said that the details of the dispute would remain confidential.

Neart na Gaoithe is one of four offshore wind farms in Scotland for which RSPB sought a judicial review because of concerns about the projects’ impacts on bird life.

The RSPB was successful in its case and Mainstream and other developers are now awaiting the outcome of an appeal against that decision.

CFDs are the UK government’s principal method of providing support for large-scale renewable energy projects.

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