UK Chancellor Healey Imposes 55pc Windfall Tax on Wind Farms to Curb Subsidy Profits

Britain's wind farm owners face a windfall tax of at least 55pc on power sale profits over the next decade under plans announced by Chancellor John Healey, targeting more than 3,000 renewable projects enrolled in the legacy Renewables Obligation Certificate (ROC) scheme. The ROC program, closed to new entrants in 2017, allows registered generators to sell power at prices set by gas-fired stations and is projected to cost bill-payers £8bn through 2037. The Department for Energy Security and Net Zero said the levy aims to push operators onto Contracts for Difference, which guarantee a minimum "strike" price while capping revenue. EDF has already agreed to a similar fixed-price arrangement for output from the Sizewell B nuclear plant. ROC subsidies added £100 to the average annual bill last year, prompting the government to shift 75pc of costs to the Treasury. Industry experts challenged the consumer benefit claims. John Constable of the Renewable Energy Foundation said falling wholesale prices would make the scheme "a net additional cost on consumers." RenewableUK gave a cautious welcome, saying fixed prices must offer a "fair deal."