Last November, the GB Capacity Market was suspended, following a ruling by the European Court of Justice (ECJ) that the design broke the state aid rules of the European Union (see here).

Since the suspension, the UK’s department for Business, Energy and Industry Strategy (BEIS) has announced that  existing payments will be honoured for now, and that a top up auction will be held for 2019-2020. The update page related to the matter can be found here. BEIS has also opened a consultation on possible changes to the capacity market, which can be found here.

The CEO of Tempus Energy, who brought the case against the Capacity Market, has written this open letter to the BEIS energy security team. It argues that contrary to the government stated position, the reason for the ruling is because of problems with the design of the market, rather than procedural issues.