Amendments to Schedule 6 to FA 2000
6After paragraph 15 insert—
“15A(1)This paragraph applies to a supply of a taxable commodity mentioned in sub-paragraph (2) to a person if that person intends to cause the commodity to be used in—
(a)a fully exempt combined heat and power station, or
(b)a partly exempt combined heat and power station,
in producing any outputs of the station.
For this purpose “outputs” has the meaning given by paragraph 148(9).
(2)The taxable commodities referred to in sub-paragraph (1) are—
(a)gas supplied by a gas utility or any gas supplied in a gaseous state that is of a kind supplied by a gas utility;
(b)any petroleum gas, or other gaseous hydrocarbon, supplied in a liquid state;
(c)coal which has a gross calorific value of more than 15 gigajoules per tonne.
(3)The Treasury may by regulations provide that the non-electricity part of a supply to which this paragraph applies is exempt from the levy to the extent determined in accordance with the regulations.
(4)In sub-paragraph (3) the reference to “the non-electricity part” of a supply is to the supply excluding so much of it as is referable to the production of electricity in the station, as determined in accordance with regulations under paragraph 42A(5B).
(5)Regulations under sub-paragraph (3) may, in particular, include—
(a)provision in respect of the calculations, measurements, data and procedures to be made or used in determining the extent to which a supply is exempt;
(b)provision that, so far as framed by reference to any document, is framed by reference to that document as from time to time in force.
(6)The first regulations made under sub-paragraph (3) may have retrospective effect.
(7)If the exemption of a supply to any extent under this paragraph is part of an aid scheme within Article 25 of Commission Regulation (EC) No. 800/2008, paragraph 42(4) cites the title and publication reference of that Regulation for the purpose of complying with Article 3(1) of that Regulation.”