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The Electricity and Gas (Energy Company Obligation) Order 2014

Type Statutory-Instrument

Publication 2014-12-04

Last updated 2017-03-29

State In force

Department King's Printer of Acts of Parliament

Source legislation.gov.uk

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articles 1

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(1) The Administrator must publish a methodology for the purposes of determining the carbon saving to be attributed to a deemed score qualifying action.

(2) The Administrator must publish—

(a) a methodology for the purposes of determining the cost saving to be attributed to a deemed score qualifying action falling within paragraph (3), and under that methodology, the calculation of the cost saving must be based on the absence of a working heating system in the premises where the repaired or replaced boiler or electric storage heater is situated; and

(b) a methodology for the purposes of determining the cost saving to be attributed to a deemed score qualifying action not falling within paragraph (3).

(3) A deemed score qualifying action falls within this paragraph if it is—

(a) the repair or replacement of a qualifying boiler;

(b) the repair of a qualifying electric storage heater; or

(4) Before publishing a methodology under this article, the Administrator must have regard to—

(a) the Standard Assessment Procedure;

(b) the Reduced Data Standard Assessment Procedure; and

Attributing the carbon saving or cost score to a qualifying action

Transfers of qualifying actions

Surplus actions

Determining the carbon saving for a surplus action

Determining the cost score for a surplus action

Transfers of surplus actions

Transfer of obligations

30A

(1) All or part of a supplier’s obligation may be transferred from that supplier (“A”) to another supplier (“B”) (“a transfer”) if the transfer is approved by the Administrator.

(2) A and B must—

(a) apply for approval in writing to the Administrator by no later than 31st December 2017; and

(b) provide to the Administrator such information as the Administrator may reasonably require.

(3) An application under this article must identify—

(a) which obligation the application relates to (“the relevant obligation”); and

(b) the amount of that obligation that A intends to transfer to B (“the transfer amount”).

(4) The Administrator must not approve the transfer if—

(a) the transfer amount exceeds A’s relevant obligation;

(b) the transfer would result in A or B’s home heating minimum requirement being greater than its total home heating cost reduction obligation;

(c) the transfer would result in A or B’s rural minimum requirement being greater than its total carbon emissions reduction obligation;

(d) the transfer would result in A or B’s total provisional solid wall minimum requirement being greater than its total carbon emissions reduction obligation;

(e) having regard to section 30O of the Gas Act 1986 and section 27O of the Electricity Act 1989 (maximum amount of penalty or compensation), the Administrator considers that, if the transfer were approved, there is a significant risk that it would adversely affect the Administrator’s ability to enforce the requirements placed on B under this Order; or

(f) where A and B are not members of the same group, the Administrator considers that, if the transfer were approved, there is a significant risk that B will be unable to achieve one or more of its obligations.

(5) If a transfer is approved—

(a) for the purposes of Part 4 and this Part, A’s relevant obligation is to be treated as reduced by the transfer amount and B’s relevant obligation is to be treated as increased by the transfer amount; and

(b) the Administrator must notify A and B of their revised relevant obligation.

(6) If the Administrator decides not to approve a transfer it must—

(a) notify A of any reasons for that decision relating to A; and

(b) notify B of any reasons for that decision relating to B.

(7) In this article, “obligation” means a supplier’s—

(a) home heating minimum requirement;

(b) rural minimum requirement;

(d) total home heating cost reduction obligation; or

(e) total provisional solid wall minimum requirement.

Final determination and reporting

Information from suppliers

Publication of energy savings achieved by suppliers and provision of information to the Secretary of State by suppliers

Enforcement

PART1 — Installations completed on or before 31st March 2017

PART2 — Installations completed on or after 1st April 2017

2

(1) In relation to an installation completed on or after 1st April 2017, domestic premises in England or Wales are not “private domestic premises” if the premises are let below the market rate and—

(a) the relevant interest in those premises is registered as belonging to a social landlord; or

(b) if no relevant interest in the premises has been registered, the premises are let by a social landlord other than under a lease granted pursuant to Part 5 of the Housing Act 1985.

(2) In relation to an installation completed on or after 1st April 2017, domestic premises in Scotland are not “private domestic premises” if the premises are let below the market rate and—

(a) the relevant interest in the premises is registered as belonging to a social landlord; or

(b) if no relevant interest in the premises has been registered, the premises are let by a social landlord other than under a lease granted pursuant to sections 61 to 84 of the Housing (Scotland) Act 1987, as modified by section 84A of that Act.

(3) Sub-paragraphs (4) and (5) of paragraph 1 apply for the purposes of this paragraph as they apply for the purposes of paragraph 1.

1

(1) A measure is installed at domestic premises which are “E, F or G social housing” if—

(a) the premises are domestic premises described in Part 2 of Schedule 4; and

(b) the condition in sub-paragraph (2) or (3) is met.

(2) The condition in this sub-paragraph is that a post-installation EPC expresses the energy performance rating of the premises as band E, F or G.

(3) The condition in this sub-paragraph is that—

(a) a pre-installation EPC expresses the energy performance rating of the premises as band E, F or G; and

(b) the social landlord in respect of the premises has confirmed in writing that, to the best of its knowledge and belief, no changes were made to the premises, after the pre-installation EPC was issued and before the measure was installed, which would increase the energy performance rating of the premises to band A, B, C or D.

(4) In this Schedule—

“energy performance certificate”—in relation to premises in England and Wales, has the meaning given in the Energy Performance of Buildings (England and Wales) Regulations 2012;in relation to premises in Scotland, has the meaning given in the Energy Performance of Buildings (Scotland) Regulations 2008;

“energy performance rating”—in relation to premises in England and Wales, has the meaning given in regulation 11 of the Energy Performance of Buildings (England and Wales) Regulations 2012;in relation to premises in Scotland, has the same meaning as “energy performance indicator” in the Energy Performance of Buildings (Scotland) Regulations 2008;

“post-installation EPC” in relation to premises where a measure is installed, means an energy performance certificate for the premises that was issued after the measure was installed;

“pre-installation EPC” in relation to premises where a measure is installed, means an energy performance certificate for the premises that is the most recent of any energy performance certificate for the premises issued before the measure was installed; and

“social landlord” has the same meaning as in paragraph 1(5) of Schedule 4.

SCHEDULE4B — HELP TO HEAT GROUP ELIGIBILITY

1

The benefits referred to in the definition of “help to heat group” in article 16A are—

(a) income-related employment and support allowance;

(b) income-based jobseeker’s allowance;

(d) guarantee credit (and for this purpose, “guarantee credit” is to be construed in accordance with sections 1 and 2 of the State Pension Credit Act 2002);

(e) tax credit;

(f) universal credit.

2

The condition as to income in paragraph 4 is specified in relation to tax credit.

3

The condition as to income in paragraph 7 is specified in relation to universal credit.

4

Where the award of tax credit is made pursuant to—

(a) a single claim, the condition as to income is that the relevant income of the claimant does not exceed the amount set out in the first row of Table 1 in the column corresponding to the number of children or qualifying young persons for whom the claimant is responsible;

(b) a joint claim, the condition as to income is that the relevant income of the joint claimants does not exceed the amount set out in the second row of Table 1 in the column corresponding to the number of children or qualifying young persons for whom at least one of the joint claimants is responsible.

Type of claim	Number of children or qualifying young persons for whom the claimant is responsible:	Number of children or qualifying young persons for whom the claimant is responsible:	Number of children or qualifying young persons for whom the claimant is responsible:	Number of children or qualifying young persons for whom the claimant is responsible:	Number of children or qualifying young persons for whom the claimant is responsible:
Type of claim	0	1	2	3	4 or more
Single claim	£13,200	£17,400	£21,600	£25,800	£30,000
Joint claim	£19,800	£24,000	£28,200	£32,400	£36,600

5

For the purposes of paragraph 4, whether a person is responsible for a child or qualifying young person is to be determined in accordance with regulation 3 of the Child Tax Credit Regulations 2002.

6

In paragraph 4, the following have the same meaning as in Part 1 of the Tax Credits Act 2002—

(a) “joint claim”;

(b) “relevant income”; and

and “claimant” is to be construed accordingly.

7

Where the award of universal credit is to—

(a) a single claimant, the condition as to income is that, in any of the twelve preceding assessment periods, the earned income of the single claimant does not exceed the amount set out in the first row of Table 2 in the column corresponding to the number of children or qualifying young persons for whom the single claimant is responsible;

(b) joint claimants, the condition as to income is that, in any of the twelve preceding assessment periods, the combined earned income of the joint claimants does not exceed the amount set out in the second row of Table 2 in the column corresponding to the number of children or qualifying young persons for whom at least one of the joint claimants is responsible.

Type of claimant	Number of children or qualifying young persons for which the claimant is responsible:	Number of children or qualifying young persons for which the claimant is responsible:	Number of children or qualifying young persons for which the claimant is responsible:	Number of children or qualifying young persons for which the claimant is responsible:	Number of children or qualifying young persons for which the claimant is responsible:
Type of claimant	0	1	2	3	4 or more
Single claimant	£1,100	£1,450	£1,800	£2,150	£2,500
Joint claimant	£1,650	£2,000	£2,350	£2,700	£3,050

8

For the purposes of paragraph 7, whether a person is responsible for a child or qualifying young person is to be determined in accordance with regulation 4 of the Universal Credit Regulations 2013.

9

In paragraph 7—

“assessment period” has the meaning given in regulation 21 of the Universal Credit Regulations 2013;

“earned income” means a person’s earned income calculated in accordance with Chapter 2 of Part 6 of the Universal Credit Regulations 2013; and

“joint claimants” and “single claimant” have the meanings given in section 40 of the Welfare Reform Act 2012.

10

In this Schedule, “tax credit” means child tax credit or working tax credit.

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