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Regulation 60

SCHEDULE 7Degression

Calculation of B

1.—(1) For the purposes of regulation 60, B is calculated in relation to a tariff category as follows.

(2) For the purposes of this paragraph—

(a)the first test is met in relation to an assessment date if the forecast for total expenditure as at that date exceeds the figure specified for that assessment date in the second column of Table 1;

(b)the second test is met in relation to an assessment date if C, as calculated in accordance with paragraph 2 of this Schedule, is 0.10 or more.

(3) B is 0 unless the circumstances set out in sub-paragraph (4) apply.

(4) B is 0.05 if—

(a)the first test is met; and

(b)the second test is met.

Calculation of C

2.—(1) For the purposes of regulation 60, C is calculated in relation to a tariff category as follows.

(2) For the purposes of this paragraph—

(a)the first test is met in relation to an assessment date if, as at that assessment date, the forecast for expenditure in relation to that tariff category exceeds the figure specified in relation to that date in the second column of the table in this Schedule which is applicable to that tariff category;

(b)the second test is met in relation to an assessment date if, as at that assessment date, the increase in expenditure forecast applicable to that tariff category is at least 50% of, but less than 150% of, the figure specified in the third column of the table in this Schedule which is applicable to that tariff category (“the anticipated increase figure”);

(c)the third test is met in relation to an assessment date if, as at that assessment date, the increase in expenditure forecast applicable to that tariff category is at least 150% of the anticipated increase figure;

(d)in relation to an assessment date other than the assessment date which falls on 30th April 2017, the fourth test is met if during the tariff period that immediately preceded the tariff period in which the assessment date falls, the value of C applicable to that tariff category was 0.10 or more.

(3) C is 0 unless the circumstances set out in sub-paragraph (4) or (5) (a), (b) or (c) apply.

(4) In relation to the assessment date which falls on 30th April 2017, C is 0.10 if—

(a)the first test is met; and

(b)the second or third test is met.

(5) In relation to any subsequent assessment date—

(a)C is 0.10 if—

(i)the first test is met; and

(ii)the second test is met, whether or not the fourth test is met;

(b)C is 0.10 if in relation to the assessment date—

(i)the first test is met; and

(ii)the third test is met but the fourth test is not met; and

(c)C is 0.20 if in relation to the assessment date—

(i)the first test is met;

(ii)the third test is met; and

(iii)the fourth test is met.

Table 1

Total expenditure

Assessment dateTotal expenditure anticipated for subsequent year (£million)
30th April 2017829.44
31st July 2017838.47
31st October 2017847.51
31st January 2018856.54
30th April 2018865.57
31st July 2018876.02
31st October 2018886.51
31st January 2019897.04
30th April 2019907.60
31st July 2019918.18
31st October 2019928.79
31st January 2020939.44
30th April 2020950.13
31st July 2020962.51
31st October 2020974.94
Any date after 30th January 2021987.44

Expenditure in relation to tariff categories

Plants which generate heat from solid biomass and new solid biomass CHP systems

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 2017392.352.55
31st July 2017394.902.55
31st October 2017397.452.55
31st January 2018400.002.55
30th April 2018402.552.55
31st July 2018405.973.42
31st October 2018409.393.42
31st January 2019412.823.42
30th April 2019416.243.42
31st July 2019419.573.33
31st October 2019422.903.33
31st January 2020426.233.33
30th April 2020429.563.33
31st July 2020432.993.44
31st October 2020436.433.44
Any date after 30th January 2021439.873.44

Ground source heat pumps and shared ground loop systems with an installation capacity of 100kWth or above

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 201716.950.11
31st July 201717.060.11
31st October 201717.170.11
31st January 201817.280.11
30th April 201817.390.11
31st July 201817.530.15
31st October 201817.680.15
31st January 201917.830.15
30th April 201917.980.15
31st July 201918.120.14
31st October 201918.270.14
31st January 202018.410.14
30th April 202018.550.14
31st July 202018.700.15
31st October 202018.850.15
Any date after 30th January 202119.000.15

Ground source heat pumps and shared ground loop systems with an installation capacity of below 100kWth and air source heat pumps

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 20175.590.58
31st July 20176.170.58
31st October 20176.750.58
31st January 20187.330.59
30th April 20187.920.59
31st July 20188.530.60
31st October 20189.140.61
31st January 20199.760.62
30th April 201910.380.62
31st July 201911.010.63
31st October 201911.640.63
31st January 202012.280.64
30th April 202012.920.64
31st July 202013.580.66
31st October 202014.240.66
Any date after 30th January 202114.910.67

Plants which use solar collectors

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 20170.310.02
31st July 20170.330.02
31st October 20170.350.02
31st January 20180.370.02
30th April 20180.390.02
31st July 20180.400.02
31st October 20180.420.02
31st January 20190.440.02
30th April 20190.460.02
31st July 20190.480.02
31st October 20190.510.02
31st January 20200.530.02
30th April 20200.550.02
31st July 20200.570.02
31st October 20200.590.02
Any date after 30th January 20210.610.02

Plants which generate heat from biogas with a capacity below 600kWth

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 201779.263.85
31st July 201783.103.85
31st October 201786.983.88
31st January 201890.903.91
30th April 201894.853.95
31st July 201898.944.09
31st October 2018103.074.13
31st January 2019107.234.17
30th April 2019111.444.20
31st July 2019115.674.23
31st October 2019119.944.27
31st January 2020124.244.30
30th April 2020128.584.34
31st July 2020133.084.50
31st October 2020137.624.54
Any date after 30th January 2021142.204.58

Producers of biomethane for injection and plants which generate heat from biogas with a capacity of 600kWth and above;

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 2017371.792.42
31st July 2017374.212.42
31st October 2017376.632.42
31st January 2018379.042.42
30th April 2018381.462.42
31st July 2018384.703.24
31st October 2018387.943.24
31st January 2019391.193.24
30th April 2019394.433.24
31st July 2019397.583.16
31st October 2019400.743.16
31st January 2020403.893.16
30th April 2020407.053.16
31st July 2020410.313.26
31st October 2020413.563.26
Any date after 30th January 2021416.823.26

Deep geothermal plants

Assessment dateExpenditure threshold when calculating C for the purposes of regulation 60 (£million)Anticipated increase in expenditure since previous assessment date (£million)
30th April 20172.970.02
31st July 20172.990.02
31st October 20173.010.02
31st January 20183.030.02
30th April 20183.050.02
31st July 20183.070.03
31st October 20183.100.03
31st January 20193.120.03
30th April 20193.150.03
31st July 20193.180.03
31st October 20193.200.03
31st January 20203.230.03
30th April 20203.250.03
31st July 20203.280.03
31st October 20203.300.03
Any date after 30th January 20213.330.03