The Electricity (Competitive Tenders for Offshore Transmission Licences) Regulations 2015

• (c) a breach of any warranty or undertaking (other than an undertaking pursuant to paragraph 3 of Schedule 1) provided to the Authority in accordance with these Regulations, unless the Authority permits that breach to be remedied within a period specified by the Authority by notice to the developer;

• (d) failure to provide information to the Authority in accordance with regulation 4(3) or 6(5);

• (e) failure to comply with the obligations specified in regulation 22.

3

The events in this Schedule in relation to a bidder, qualifying bidder, preferred bidder, reserve bidder or successful bidder are—

• (a) failure to make any payment as required in accordance with these Regulations, unless that failure has been remedied within a period not exceeding ten days in accordance with regulation 31(2);

• (b) fixing or adjusting the amount of its tender by or in accordance with any agreement or arrangement with any other bidder, qualifying bidder, preferred bidder, reserve bidder or successful bidder or by improperly using insider information;

• (c) entering into any agreement or arrangement with any other bidder, qualifying bidder, preferred bidder, reserve bidder or successful bidder to refrain from submitting a tender or as to the amount of the tender submitted;

• (d) communicating to any person other than the Authority the details of its proposed tender in respect of a qualifying project, except where this disclosure is made in confidence in order to obtain quotations necessary for the preparation of that tender;

• (e) where the bidding entity is a bidder group, any change to the membership of that bidder group other than a change which has been permitted by the Authority;

• (f) offering to pay or give any sum of money, inducement or valuable consideration directly or indirectly to any officer of the Authority, the holder of a co-ordination licence or a developer, who is subject to a tender exercise in relation to any actions or omissions;

• (g) contacting—

• (i) any officer of the Authority or the holder of a co-ordination licence; or

• (ii) in relation to a bidder or qualifying bidder only, contacting any officer of a developer who is subject to a tender exercise,

outside any rules particular to the pre-qualification, qualification to tender, invitation to tender and best and final offer stages of a tender exercise or any requirements specified in these Regulations, including without limitation contact for the purposes of discussing the possible transfer of such officer to the employment of the bidder, qualifying bidder, preferred bidder, reserve bidder or successful bidder for the purpose of a tender exercise.

Signed

The seal of the Gas and Electricity Markets Authority here affixed is authenticated by the signature of

Dermot Nolan — A member of the Authority — 9th July 2015

I approve

Andrea Leadsom — Minister of State — Department of Energy and Climate Change — 11th July 2015

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

These Regulations set out the process for competitive tenders that will apply to the grant of offshore transmission licences.

Regulation 2 provides saving and transitional arrangements for a tender exercise in respect of a particular qualifying project where the invitation to tender stage has commenced under the 2013 Regulations but the tender exercise has not finished at the date upon which these Regulations come into force.

Regulations 4 and 5 provide for the Authority to undertake an estimate or assessment of the total costs required to develop and construct the transmission assets for a generator build qualifying project and for the Authority to recover its costs in doing so.

Regulations 6 and 7 provide for the Authority to undertake an estimate or assessment of certain costs incurred in relation to an OFTO build qualifying project and for the Authority to recover its costs in doing so.

Regulation 8 sets out how projects qualify for a tender exercise. Schedule 1 contains the details of how a qualifying project will be determined.

Regulation 9 provides for the Authority to determine the amount of a developer’s payment for early evaluation of construction phase contracts, and for the Authority to recover certain costs from that payment.

Regulation 10 requires a developer to make a payment and provide security to the Authority in respect of the Authority’s tender costs.

Regulation 11 provides that certain conditions must be satisfied by a developer. Schedule 2 contains the details of those conditions.

Regulation 12 requires the Authority to publish a notice specifying the date on which a tender round will begin for one or more qualifying projects.

Regulation 13 sets out the stages of a tender round.

Regulations 14 and 15 describe the pre-qualification stage of a tender round and how qualifying bidders will be determined. Schedule 3 sets out the information in the pre-qualification documentation.

Regulations 16 and 17 describe the qualification to tender stage of a tender round and how qualifying bidders will be determined to participate in an invitation to tender stage. Schedule 4 sets out the information in the qualification to tender documentation.

Regulation 18 describes the invitation to tender stage of a tender round. Schedule 5 sets out the information in the invitation to tender documentation.

Regulation 19 describes how the Authority will determine a preferred bidder. The Authority may also identify a reserve bidder. The Authority may hold a best and final offer stage under regulation 20. The Authority may also identify a reserve bidder at the best and final offer stage. Schedule 6 sets out the information in the best and final offer documentation.

Regulation 21 requires the preferred bidder to resolve certain matters before it becomes the successful bidder and describes the circumstances in which the reserve bidder, if any, must be treated as the preferred bidder.

Regulation 22 requires the developer to meet particular obligations from the preferred bidder stage.

Regulation 23 provides for participants to withdraw from a tender exercise or be deemed to have withdrawn and allows the Authority to retain any payments made to the Authority in the event of a withdrawal.

Regulation 24 provides for the Authority to re-run a tender exercise from a particular stage until a preferred bidder or reserve bidder is identified or determine that a tender exercise has failed. Schedule 7 sets out the events which give rise to the power for the Authority to re-run the tender exercise.

Regulation 25 provides for the Authority to cancel a tender exercise under the circumstances described in Schedule 8. Regulation 26 describes how payments and security will be forfeited, repaid or released in the event of cancellation of a tender exercise.

Regulation 27 allows the Authority to disqualify a participant from a tender exercise or tender round under the circumstances described in Schedule 9 and describes whether payments are to be repaid or security is to be forfeited.

Regulation 28 requires the Authority to publish details of the successful bidder. Regulation 29 requires the Authority to give details of the successful bidder to unsuccessful bidders and allows at least ten working days to elapse before an offshore transmission licence is granted to the successful bidder. The Authority must publish a notice to confirm its determination to grant an offshore transmission licence to the successful bidder.

Regulation 30 allows the Authority to recover its costs in running a tender round and return any overpayment and security where tender costs have been exceeded.

Regulation 31 relates to failure to make payments or provide security.

Regulation 32 allows an application to the Authority for a decision as to the effect of any restriction or requirement resulting from these Regulations.

Regulation 33 describes the rules for changes to bidder groups.

Regulation 34 requires the Authority to take reasonable steps to notify a participant of changes relating to the time at which, or the manner in which, a document is to be delivered or published or an action is to be completed.

Regulation 35 dispenses with sections 6A and 6B of the Electricity Act 1989 for an application in respect of an offshore transmission licence.

Footnotes

[^f00001]: The Gas and Electricity Markets Authority was established under section 1(1) of the Utilities Act 2000 (c.27).

[^f00002]: In accordance with section 6C(4) of the Electricity Act 1989 (c.29).

[^f00003]: 1989 c.29; section 6C was inserted by section 92 of the Energy Act 2004 (c.20) and section 6D was inserted by section 44 of the Energy Act 2008 (c.32).

[^f00004]: S.I. 2013/175.

[^f00005]: 1989 c.29; schedule 2A was inserted by section 44 of the Energy Act 2008 (c.32).

[^f00006]: 2006 c.46.

[^f00007]: 2010 c.23.

Editorial notes

[^key-edcf5102adbd0d675f50a335bc25ec08]: Reg. 1 in force at 3.8.2015, see reg. 1(1)

[^key-09bbd8175cc4a7684f4354b81f145f7a]: Reg. 2 in force at 3.8.2015, see reg. 1(1)

[^key-e94d92db3eff656e3747e64431b4e513]: Reg. 3 in force at 3.8.2015, see reg. 1(1)

[^key-90cb1ae1e0f6b28de65ebb6d31fd0fe9]: Reg. 4 in force at 3.8.2015, see reg. 1(1)

[^key-226df9ff615b55c8a47e0713d23236f1]: Reg. 5 in force at 3.8.2015, see reg. 1(1)

[^key-f5abd816c93946c80c6feb6e91224e7d]: Reg. 6 in force at 3.8.2015, see reg. 1(1)

[^key-be951c3269c4f98b381c2d65b35dd585]: Reg. 7 in force at 3.8.2015, see reg. 1(1)

[^key-a17af9961abae2b8507f7969885c7c50]: Reg. 8 in force at 3.8.2015, see reg. 1(1)

[^key-de15cacedb3e11655c830644f26df081]: Reg. 9 in force at 3.8.2015, see reg. 1(1)

[^key-428f3a737ad49efe796bf43e4c134e08]: Reg. 10 in force at 3.8.2015, see reg. 1(1)

[^key-6e9002fc174ac4b74d044e5f830eb603]: Reg. 11 in force at 3.8.2015, see reg. 1(1)

[^key-ccca3d14be79e5fd321fbd3ba71eae6e]: Reg. 12 in force at 3.8.2015, see reg. 1(1)

[^key-3b29915a6dbca13d4086db20da2e1d79]: Reg. 13 in force at 3.8.2015, see reg. 1(1)

[^key-36fb0c8429408199bdbf12eb730f7d68]: Reg. 14 in force at 3.8.2015, see reg. 1(1)

[^key-41204cf952d78cbb4fd676c27203466a]: Reg. 15 in force at 3.8.2015, see reg. 1(1)

[^key-a391032247f8649134e0b99b44b917c3]: Reg. 16 in force at 3.8.2015, see reg. 1(1)

[^key-1a7a8cbbe2cf1682151b5c0c990e59d8]: Reg. 17 in force at 3.8.2015, see reg. 1(1)

[^key-a9d08a1f3b22a312784681b8de0b8402]: Reg. 18 in force at 3.8.2015, see reg. 1(1)

[^key-17adf134cf6f4808b2275e47e0c06fd0]: Reg. 19 in force at 3.8.2015, see reg. 1(1)

[^key-c03b6fdc5cc97b7314c7fc5c718e3b90]: Reg. 20 in force at 3.8.2015, see reg. 1(1)

[^key-e084d118cc3d6a1d69388724c338a9f2]: Reg. 21 in force at 3.8.2015, see reg. 1(1)

[^key-437d4b9a96b1c5a79a00567f7a4d800f]: Reg. 22 in force at 3.8.2015, see reg. 1(1)

[^key-be28b60bb629235acbada708af0a1ea8]: Reg. 23 in force at 3.8.2015, see reg. 1(1)

[^key-49754a9375291bd7955bf01ff6682f4b]: Reg. 24 in force at 3.8.2015, see reg. 1(1)

[^key-19def287499f7da065cfbefdbbb632dd]: Reg. 25 in force at 3.8.2015, see reg. 1(1)

[^key-b5db547fe73657874c8dd6efe47fd46e]: Reg. 26 in force at 3.8.2015, see reg. 1(1)

[^key-fd010238f228d781d703e5aa1ccd731c]: Reg. 27 in force at 3.8.2015, see reg. 1(1)

[^key-cda8780d29aff75e7def3a66e5dc06d0]: Reg. 28 in force at 3.8.2015, see reg. 1(1)

[^key-df20fa9ab9198c28eae45878c95d1b65]: Reg. 29 in force at 3.8.2015, see reg. 1(1)

[^key-815d644a2dbf68184d8036cfc9566c9f]: Reg. 30 in force at 3.8.2015, see reg. 1(1)

[^key-d555383c23a5d5a6808f3dee07ff3d9c]: Reg. 31 in force at 3.8.2015, see reg. 1(1)

[^key-a92b72f1149995083b25cc4a279e9d20]: Reg. 32 in force at 3.8.2015, see reg. 1(1)

[^key-9c79d8be38162f29767cd59a89b75932]: Reg. 33 in force at 3.8.2015, see reg. 1(1)

[^key-ee6ab9bfa843966c17a2ff2cce0875c0]: Reg. 34 in force at 3.8.2015, see reg. 1(1)

[^key-243723e559e15a40cd29e6e601eca845]: Reg. 35 in force at 3.8.2015, see reg. 1(1)

[^key-98cd6b01da300290a648c28dfdacaedc]: Sch. 1 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-f2d211100e7bc9b2803571f4adc5bd49]: Sch. 1 para. 2 in force at 3.8.2015, see reg. 1(1)

[^key-a3c60995e190623130c617903296680f]: Sch. 1 para. 3 in force at 3.8.2015, see reg. 1(1)

[^key-0caef6ee538f8dc1984e336a8db09954]: Sch. 2 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-6345acbd65ac9758ae98dd76900f0e75]: Sch. 2 para. 2 in force at 3.8.2015, see reg. 1(1)

[^key-8a45f165270cb866cc9e8d518ae2f0f2]: Sch. 3 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-cbd47e9c5f3a866aa1b6212f7f0bb427]: Sch. 4 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-7c59bab201570ff1db1da064bb7016d5]: Sch. 5 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-e6f8919fcc039822c266800c42fd7124]: Sch. 6 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-0e4108c4d04437d5e9765c7973fdc5a9]: Sch. 7 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-56025bc86afefa18c38c3b743e95c9a5]: Sch. 8 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-8ae0cdbbebfd665e29d511bb45d3109c]: Sch. 9 para. 1 in force at 3.8.2015, see reg. 1(1)

[^key-02832c099cf5e919288dca61835c810f]: Sch. 9 para. 2 in force at 3.8.2015, see reg. 1(1)

[^key-7703c2e2e794cbb2868ac258deab1f6c]: Sch. 9 para. 3 in force at 3.8.2015, see reg. 1(1)

[^key-822d19e9c44b70a127615c684d16b107]: Words in reg. 3(1) inserted (1.10.2024) by The Energy Act 2023 (Consequential Amendments) Regulations 2024 (S.I. 2024/706), regs. 1(1), 30; S.I. 2024/957, reg. 2(a)