Key parameters of the Cleve Hill Solar Park project

• Installed capacity: 373 MW
• Financing scheme: 15-year contract for difference (CfD), obtained through a competitive selection of renewable energy sources
• Project approval date: 2020
• Construction start: 2023

Off-takers:

• Tesco (65% of generation)
• Shell Energy Europe Limited (35% of generation)
• Planned energy storage system: 150 MW / 300 MWh (under construction)

Context of solar energy in the UK

• Total capacity of existing solar power plants: ~19 GW
• Average capacity factor: 10-11%
• Government plans: increase solar capacity to 45-47 GW by 2030

Economic aspects

According to the DESNZ study (2023), solar energy is the most cost-effective generation technology in the UK. The CfD mechanism ensures generator income stability:

• At wholesale prices above the strike price – the difference is returned to the state
• At prices below the strike price – compensation is paid to the generator

Development prospects

Despite the relatively low level of insolation, the UK continues to actively develop solar generation, which is facilitated by:

• Improvement of photovoltaic module technologies
• Government support through CfD mechanisms
• Growing corporate demand for “green” energy through PPA

This project demonstrates a steady trend of growth in utility-scale solar generation in the country, even in a less favorable climate compared to southern European countries.