The bill also said energy intensive industries, such as steel and cement producers, would be exempt from additional costs from moves to encourage investment in new low-carbon production. The Energy Intensive Industries (EIIs) exemption will be subject to State Aid clearance from the European Commission.
A new government company will act as a counter-party for Contracts for Difference, which are aimed at giving investors stable revenues on low carbon energy projects at a fixed level, or strike price, helping developers to secure upfront costs on projects while also protecting consumers from rising energy bills.