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Geothermal Power: Finance

Asked by Ben MaguireLiberal DemocratDepartment for Energy Security and Net ZeroTabled Answered 9 December 2025UIN 96028

The question

To ask the Secretary of State for Energy Security and Net Zero, if his Department will make an assessment of the potential merits of introducing a ring-fenced budget specifically for geothermal projects in the next round of Contract for Difference funding allocations (AR8).

Answered by Michael Shanks

Auction parameters and budget are set based on a wide range of factors, including an assessment of the potential project pipeline and progress towards decarbonisation targets. The Government will confirm the details of Allocation Round 8 budget and parameters closer to the time.

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