Britain just hit a new high for clean electricity usage. In 2024, 74% of power came from renewables and nuclear combined, up from 68% the previous year. It marks another step towards the UK’s target of hitting 95% low-carbon generation by 2030.
The momentum continued into 2025. Between April and June, renewables alone supplied around 55% of electricity, a new quarterly record. Wind power met 70% of demand during one especially stormy weekend. This shift in Britain’s energy mix demonstrates that renewable generation is now capable of meeting national demand on a large scale.
Meanwhile, the UK government opened the application window for what could become a record-breaking Contracts for Difference (CfD) auction round. In this article, we’ll tell you more about both these developments and show how they’re linked. Let’s get started.
The renewable surge
The UK’s clean energy transformation is accelerating. While the 74% figure reflects the combined use of renewables and nuclear, a mix that is continually expanding, renewables alone are where the real action is. Renewable generation has been climbing year after year. In Q2 2025, renewables’ share rose to 55%, up from 52% a year earlier.
Wind continues to lead the charge. During Storm Amy in October, wind turbines supplied 70% of Britain’s electricity, highlighting how variable weather can become an advantage when you have the proper infrastructure in place.
Clean generation is also delivering more consistency. Analysis by Carbon Brief found that, so far in 2025, Britain has already experienced 87 hours where all demand was met by clean energy. Just four years ago, in 2021, that figure was just 2.5 hours. This progress is clear and measurable. It underlines the country’s momentum towards its 2030 clean energy target. The question now is how to maintain that pace.
Contracts for Difference: driving growth
Contracts for Difference are the mechanisms behind Britain’s renewable output. They provide price stability for generator businesses and reassurance for investors. Under the CfD scheme, each project is awarded a ‘strike price’ per megawatt-hour. If wholesale market prices fall below that level, the generator receives a top-up from the government. If prices rise above it, they pay the difference back.
The result is predictable revenue and reduced investment risk. As a result, CfD has become the UK’s most successful clean energy policy tool over the past decade. Six CfD allocation rounds have already taken place, awarding approximately 30GW of capacity. The first round delivered roughly 2GW. The most recent round in 2024 awarded almost 10GW.
The next round is now open for applications and could be the biggest yet. It arrives at a crucial time. To hit the 2030 clean power target, renewable capacity needs to roughly double from today’s 60GW to 120GW.
This means adding up to 50GW of offshore wind, nearly 30GW of onshore wind, and 45GW of solar power in just five years. Battery storage and flexible generation will also need to grow fast to balance supply. The scale of that challenge makes the CfD mechanism more critical than ever.
Introducing CPPAs
Alongside government auctions, corporate power purchase agreements (CPPAs) are giving businesses a direct route to renewable energy. These can be structured in two ways:
- Physical PPAs – the delivery of electricity from a specific site
- Virtual PPAs – More like a financial contract, where a fixed strike price is compared to market rates
CPPAs give developers and buyers flexibility while spreading risk across the market. They also attract companies that want to meet sustainability targets through long-term renewable energy sourcing.
However, the sector still faces serious challenges. Grid connection delays and infrastructure limitations continue to hold projects back. Policy uncertainty surrounding market reform, including the Review of Electricity Market Arrangements (REMA) and potential zonal energy pricing, adds an extra layer of risk. Developers also want to see how CfD terms will evolve for the next allocation round.
Turning records into reliability
Britain’s electricity system has never been cleaner. The record figures show what can be achieved when investment, technology and policy align. But records alone do not secure the future. The challenge now is to turn these peaks into a stable baseline throughout the year.
The latest CfD auction will play a significant role in deciding how quickly that happens. If it delivers on expectations, Britain could transition from occasional 100% clean hours to sustained clean days, weeks, and beyond.
Momentum is on the country’s side. With steady policy, strong investor confidence and continued innovation, the current milestones could soon look like the early stages of a much larger success story.