The UK has awarded £315m ($489m) worth of contracts to 27 renewable energy projects under the new contracts-for-difference (CfD) scheme.
The contracts for two offshore wind developments, 15 onshore wind projects, and five solar facilities have been awarded in the initial allocation round of the scheme.
Together, the developments are expected to generate 2GW of renewable energy, out of which the two offshore wind projects will have 1.1GW capacity.
The solar facilities receiving government support will have a combined generation capacity of 72MW.
Once operational, the renewable projects are likely to reduce CO2 emissions by 4 million tonnes every year.
DECC secretary Ed Davey said: "These projects could power 1.4 million homes, create thousands of green jobs, and give a massive boost to home-grown energy, while reducing our reliance on volatile foreign markets.
"The auction has driven down prices and secured the best possible deal for this new clean, green energy."
Competition in the auction has reduced prices by around 58% for each technology.
UK Department of Energy and Climate Change (DECC) said in a release that as only the most price competitive projects received contract offers, consumers are getting around 550MW more capacity than could have been funded without competition.
The release stated: "The clearing price for solar came in at up to 58% lower than the price would have been without competition, offshore wind at up to 18% lower and onshore wind at up to 17%."
Image: UK awards £315m worth of contracts to 27 renewable energy projects. Photo: courtesy of Tanatat / FreeDigitalPhotos.net.