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UK government to temporarily ease back-up power scheme rules

The European Offshore Wind Deployment Centre (EOWDC) sits off Trump International Golf Links Aberdeen, Scotland

LONDON (Reuters) - The British government will temporarily relax some of the rules of its energy capacity market scheme to support generators and ensure security of supply during the coronavirus pandemic, it said on Wednesday.

The capacity market pays energy providers to maintain spare capacity to ensure adequate supply at short notice.

Through auctions, capacity agreements are awarded to applicants who must then deliver capacity at any time of grid stress during the delivery year which runs from Oct. 1 to Sept. 30.

Following a consultation, the government said it will temporarily extend some deadlines for compliance with the scheme, as well as waiving some fees where generators are not able to comply due to the COVID-19 crisis, among other modifications.

The steps "will be temporary and only remain in place as long as necessary," the government said.

(Reporting by Nina Chestney; editing by Jason Neely)