Explanatory Notes

Energy Act 2013

2013 CHAPTER 32

18 December 2013

Commentary on Sections

Part 2: Electricity Market Reform

Chapter 3: Capacity Market
Section 43: Pilot scheme for electricity demand reduction

183.Subsection (1) of this section enables the Secretary of State to spend money on an electricity demand reduction pilot programme. Before proposing a particular design for an electricity demand reduction regime, the Secretary of State may wish to explore particular design options by running a pilot programme to test different options. This spending power enables the Secretary of State to spend money for these purposes.

184.Subsections (2) to (4) of this section add a statutory reporting requirement for any pilot schemes. Subsection (2) sets out a duty to review the operation and effectiveness of any pilot scheme, while subsection (3) requires the results of that review to be reported to Parliament. This can be done through a written report laid in both Houses, or, if the Secretary of State thinks it should be done orally, by making a statement. Subsection (4) specifies that this should be done as soon as reasonably practicable after the conclusion of any pilot.