On 19 October 2018, the Low Carbon Contracts Company (LCCC) announced that it had terminated the contract for difference awarded to Station Yard CFD 1 during the second Contracts for Difference (CfD) allocation round in 2017. Station Yard is a 0.05MW Advanced Conversion Technology with Combined Heat and Power project located in Llangadog, Carmarthenshire. The project\u2019s contract was terminated because it failed to make sufficient progress towards meeting its milestone requirement to demonstrate a commitment within one year of signing a CfD to deliver the project. It is estimated that had Station Yard been commissioned it would have received support of less than £70,000 (in 2017/18 prices) for electricity generated over the 15-year period of its contract.<\/p>
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A CfD is a private law contract between a generator and the LCCC, a government-owned company. CfDs are managed independently by the LCCC and decisions as to whether a generator has met its milestone requirement are for the LCCC. The milestone requirement is a contractual requirement. Failure to meet this requirement may result in a CfD being terminated.<\/p>
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The Government is not aware of any other renewable energy projects in receipt of funding from CfDs or other UK Government schemes that have been cancelled in Wales during this time period.<\/p>
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