With the government introducing changes to solar energy subsidies which will move large scale solar projects out of the RO and into CfD, here is a quick guide to what these terms mean:
RO – Renewables Obligation: A subsidy mechanism designed to support the development of clean energy projects in UK. It was introduced to make energy suppliers get more of their electricity from renewables.
EMR – Electricity Market Reform: This introduces Contracts for Difference (CfD) which sets the price of electricity that energy companies buy from the generators. This was designed to protect investors in new projects from any market fluctuations.