Solar projects of 300 MW or higher capacity must submit a Supply Chain Plan for CfD AR8 eligibility, says the UK government
The plan is aimed at supporting competitive, efficient, and low-carbon supply chains in the UK
Only solar PV projects are currently included; onshore wind may be added later
Approved plans will remain binding even if project ownership changes before implementation
In the UK’s upcoming Contracts for Difference (CfD) auction Allocation Round 8 (AR8), solar energy developers planning to submit projects with 300 MW or higher planned capacity will be required to submit a Supply Chain Plan.
The plan will be submitted to the Department for Energy Security and Net Zero. It will then need to be approved by the Secretary of State for Energy Security and Net Zero as a prerequisite for qualification for AR8. It will confirm that they have met or made progress on their Supply Chain Plan commitments.
This requirement applies only to projects with a capacity of 300 MW or higher, as the government believes large facilities can significantly impact supply chains and help meet the country’s low-carbon energy goals. The plan will be assessed across 5 sections: project summary, green growth, infrastructure, innovation, and skills.
Interested bidders can submit the plan for either a single project or multiple projects within the same geographical area where they intend to use largely identical supply chains. In case of a change of ownership, the new owners must adhere to the commitments outlined in the Supply Chain Plan.
“The aim of the Supply Chain Plan process is to encourage competitive, productive and efficient supply chains for low carbon electricity generation projects, and to accelerate investments in solar technology to help ensure delivery of our clean power goals,” reads the UK government’s guidance on the Supply Chain Plan process.
Right now, the Supply Chain Plan rule applies only to solar PV. A decision on including onshore wind will be made after consultations on whether it should be part of the Clean Industry Bonus. The guidance will be updated if onshore wind is added later.
Earlier this year, the UK government said it plans to ban forced labor-linked solar products in its supply chain with an amendment to the legislation for the Great British Energy Bill. The bill was cleared by the Parliament in May 2025 (see Labour-Led Parliament Clears Great British Energy Bill).
Currently, the government is processing an AR7 auction, where solar PV projects with over 5 MW are competing in Pot 1 (see UK Opens Bid Window For CfD Under Allocation Round 7).
