House of Commons · Written Ministerial Statement
Capacity Market consultation responses
14 May 2026 · Department for Energy Security and Net Zero
Proposed by Michael Shanks Lab Rutherglen
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The government has published responses to Autumn and Winter Consultations and a Call for Evidence on Hydrogen-to-Power and Interconnectors.
- Reforms include raising the excess capacity rounding threshold and streamlining reporting for small Demand Side Response components.
- New DSR technology categorisation and improvements to Capacity Market administration are also part of the proposed actions.
Issue summary
The statement addresses the publication of documents related to the Capacity Market, including responses to recent consultations and reforms aimed at ensuring capacity adequacy and reducing consumer impact.
Action requested
The government is publishing responses to Autumn and Winter Consultations and a Call for Evidence on Hydrogen-to-Power and Interconnectors. It will also implement reforms such as raising the excess capacity rounding threshold, streamlining reporting for small Demand Side Response components, introducing new DSR technology categorisation, and improving Capacity Market administration.
Key facts
- The Capacity Market was introduced in 2014 to secure sufficient electricity generation capacity.
- Funding provided through the market incentivises investment in various technologies.
- Competitive auctions are held four years ahead of their respective delivery years.
- Government responses include reforms to ensure capacity adequacy and low consumer impact.
- The excess capacity rounding threshold will be raised from 1GW to 3 GW.
- Reporting for small Demand Side Response components below 30 kW will be streamlined.