PART 6Payments

CHAPTER 3Calculations and determinations: electricity suppliers

Settlement costs levy: the first levy period44

1

Each liable electricity supplier must pay to the Settlement Body a settlement costs levy calculated in accordance with this regulation in respect of the first levy period.

2

Subject to paragraph (3), the prescribed amount is £1,374,000.

3

If the appointment date is on or after 1st September 2014, the prescribed amount is to be reduced by £100,000 for each full calendar month between 31st July 2014 and the appointment date.

4

The Settlement Body must, as soon as reasonably practicable after the end of the first levy period—

a

calculate the amount of the settlement costs levy to be paid by each liable electricity supplier; and

b

issue an invoice to each liable electricity supplier for the amount to be paid by that supplier.

5

The calculation under paragraph (4)(a) must be made in accordance with paragraph 9 of Schedule 1.

6

In this regulation—

  • “the appointment date” means the date on which the Secretary of State first appoints a Settlement Body under regulation 80;

  • “the first levy period” means the period commencing on the appointment date and ending on 31st March 2015; and

  • “liable electricity supplier” means an electricity supplier which supplied electricity to F1premises in Great Britain in the first levy period;

  • “the prescribed amount” means the total amount of the settlement costs levy to be invoiced to liable electricity suppliers in respect of the first levy period;

  • “settlement costs” means costs incurred by the Settlement Body in connection with the performance of its functions under electricity capacity regulations and capacity market rules;

  • “settlement costs levy” means the levy imposed by this regulation on liable electricity suppliers in respect of settlement costs.