PART 2

Electricity Market Reform
CHAPTER 2

Contracts for Difference

Regulations: further provision
21
1
Regulations may make provision—
a
to require a CFD counterparty to enter into arrangements or to offer to contract for purposes connected to a CFD;
b
specifying things that a CFD counterparty may or must do, or things that a CFD counterparty may not do;
c
conferring on the Secretary of State further powers to direct a CFD counterparty to do, or not to do, things specified in the regulations or the direction.
2
Provision made by virtue of subsection (1)(b) or (c) includes provision requiring consultation with, or the consent of, the Secretary of State in relation to—
a
the determination of an application for a modification agreement under section 15;
b
the enforcement of obligations under a CFD;
c
a variation or termination of a CFD;
d
the settlement or compromise of a claim under a CFD;
e
the conduct of legal proceedings relating to a CFD;
f
the exercise of rights under a CFD.
3
Regulations must include such provision as the Secretary of State considers necessary to ensure that a CFD counterparty can meet its liabilities under any CFD to which it is a party.