PART 8Payments to discharge the renewables obligation, dealing with the buy-out and late payment funds, and mutualisation

Interpretation42

1

In this Part–

  • “buy-out fund” means the fund held by the Authority on the 1st September of the settlement period, being the aggregate of–

    1. a

      amounts received by the Authority under article 43 (those amounts relating to the renewables obligation in the relevant period);

    2. b

      amounts held by the Authority by virtue of articles 46(4)(b), 47(4), 51(5) and 52(6)(b); and

    3. c

      any interest earned on those amounts;

  • “compliant United Kingdom supplier” means a United Kingdom supplier which, at the end of the late payment period, has discharged or is treated as if it had discharged in full every UK renewables obligation imposed on it in respect of the relevant period;

  • “GBRO costs” means the costs which have been or are expected to be incurred by the Authority in connection with the performance of any of its functions conferred by or under sections 32 to 32M of the Act during the settlement period;

  • “instalment payment” is to be construed in accordance with article 49(5);

“late payment fund” is the fund held by the Authority on the 1st November of the settlement period, being the aggregate of–

a

amounts received by the Authority during that period under article 44 (those amounts relating to the renewables obligation in the relevant period); and

b

any interest earned on those amounts;

  • “late payment period” means the period beginning on the 1st September and concluding on the 31st October in the settlement period;

  • “mutualisation fund” means the aggregate at any given time of the amounts (excluding any amounts repaid under article 51(2)) received by the Authority under articles 49 and 51 (together with any interest earned on those amounts) in relation to the relevant period;

  • “mutualisation period” means the obligation period immediately following the settlement period;

  • “NIRO costs” means the costs which have been or are expected to be incurred by the Northern Ireland authority in connection with the performance of any of its functions conferred by or under Articles 52 to 55F of the Northern Ireland Energy Order during a period which, in any order made under those Articles, corresponds to the settlement period;

  • “non compliant United Kingdom supplier” means a United Kingdom supplier which, at the end of the late payment period, has not discharged or is not treated as if it had discharged in full every UK renewables obligation imposed on it in respect of the relevant period;

  • “recalculated supplier payment” is to be construed in accordance with article 50(5);

  • “the relevant period” is to be construed in accordance with article 43(1);

  • “relevant shortfall” is to be construed in accordance with article 48(3);

  • “relevant supplier” means an electricity supplier which was a designated electricity supplier in the relevant period and which at the end of the late payment period had discharged or is treated as if it had discharged the whole or part of its renewables obligation for the relevant period;

  • “renewables obligation order” is to be construed in accordance with section 32(4) of the Act;

  • “shortfall” is to be construed in accordance with article 48(2);

  • “the settlement period” is to be construed in accordance with article 43(1);

  • “supplier payment” is to be construed in accordance with article 49(3);

  • “total mutualisation sum” is to be construed in accordance with article 48;

  • “total UK buy-out fund” means the fund existing on the 1st September of the settlement period, being the aggregate of–

    1. a

      the buy-out fund held on that date;

    2. b

      any fund provided for in a renewables obligation order made by the Secretary of State which corresponds to the buy-out fund held on that date; and

    3. c

      any fund provided for in an order made under Articles 52 to 55F of the Northern Ireland Energy Order which corresponds to the buy-out fund held on that date;

  • “UK renewables obligation” means–

    1. a

      the renewables obligation imposed by article 5 of this Order;

    2. b

      a renewables obligation imposed by a renewables obligation order made by the Secretary of State; or

    3. c

      a renewables obligation imposed on Northern Ireland suppliers in an order made under Articles 52 to 55F of the Northern Ireland Energy Order;

  • “United Kingdom supplier” means–

    1. a

      a designated electricity supplier;

    2. b

      any electricity supplier on which a UK renewables obligation is imposed under a renewables obligation order made by the Secretary of State; and

    3. c

      any designated electricity supplier within the meaning of Article 52(2) of the Northern Ireland Energy Order.

2

In this Part, references to the late payment period, the mutualisation period, the relevant period and the settlement period, when used in the context of a United Kingdom supplier subject to a UK renewables obligation, are to be construed (where the United Kingdom supplier is not a designated electricity supplier)–

a

in the case of an electricity supplier on which a UK renewables obligation is imposed under a renewables obligation order made by the Secretary of State, as references to the period which corresponds to the late payment, mutualisation, relevant or (as the case may be) settlement period in that order;

b

in the case of an electricity supplier on which a UK renewables obligation is imposed under an order made under Articles 52 to 55F of the Northern Ireland Energy Order, as references to the period which corresponds to the late payment, mutualisation, relevant or (as the case may be) settlement period in the order under which that UK renewables obligation is imposed.

3

Any sum payable by suppliers under articles 43(1), 44, 49 or 51(1) is to be rounded to the nearest penny, with any half of a penny being rounded upwards.