Abstract: Do low-carbon wind and solar generators need special treatment in a market where their costs have fallen to the level of conventional gas and other stations’ costs? While the level of costs may be similar, we need to take into account how cost structures and output patterns differ between renewable and dispatchable generators. While gas prices continue to determine electricity prices, renewable generators have more exposure to fuel price risk than gas-fired generators, because gas prices would affect market-based wind and solar revenues but not their costs. Appropriately structured contracts can reduce risks for generators, for energy retailers and also for electricity consumers. This presentation models the impact of different contract designs on the revenues, profits and cost of capital for renewable and dispatchable generators.