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<p>We do not subsidise fossil fuel generators, any fuel type can participate in the
Capacity Market as the scheme is technology neutral. Auctions in the Capacity Market
are competitive to ensure best value.</p><br /><p>Capacity market payments to be made
to existing fossil fuel generators are £559m from 2014 auction and £714.3mfrom 2015
auction (both in 2015 values).</p><br /><p>The Capacity Market is designed to ensure
we take account of low carbon technology supported through other Government schemes
before calculating requirements; this ensures we get the most out of existing generation,
bringing on new capacity when required. Capacity market payments are to provide missing
money in the energy market and are not a subsidy. Capacity providers will also face
heavy penalties if they fail to deliver energy when needed.</p><p>The purpose of the
Capacity Market is therefore to make sure we keep the lights on, while providing best
value to consumers.</p>
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