Legalize / United Kingdom / Statutory-Instrument

The Renewables Obligation Order 2015

Type Statutory-Instrument

Publication 2015-11-26

Last updated 2025-12-15

State In force

Department King's Printer of Acts of Parliament

Source legislation.gov.uk

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articles 9

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(b) in any other case, the appropriate percentage of the electricity to which this article applies (the appropriate percentage for these purposes being the total installed capacity of the station as at 11th July 2006 expressed as a percentage of the total installed capacity of the pre-2013 capacity of the station as at the date of generation of the electricity).

(4) In relation to the remainder of the electricity to which this article applies, the amount of electricity to be stated in each ROC is to be determined in accordance with article 33(3) except to the extent that it is electricity which is generated—

(a) using additional capacity which was operational before 1st April 2011 (“relevant additional capacity”); and

(b) from landfill gas or from sewage gas.

(5) Where the electricity to which this article applies is generated from landfill gas or from sewage gas using relevant additional capacity, the amount of electricity to be stated in each ROC which is to be issued in respect of that electricity is 1 megawatt hour.

(6) In paragraphs (4) and (5), the reference to electricity generated using additional capacity is a reference to—

(a) where electricity generated using relevant additional capacity is measured separately from electricity generated otherwise than by using such capacity, the electricity which is generated using that capacity;

(b) in any other case, the appropriate percentage of the electricity to which this article applies (the appropriate percentage for these purposes being the relevant additional capacity of the station at the date of generation of the electricity expressed as a percentage of the total installed capacity of the pre-2013 capacity at that date).

(7) This article is subject to article 41.

Landfill gas and sewage gas generating stations which were accredited, or held preliminary accreditation, as at 31st March 2009

38

(1) Subject to paragraph (3), this article applies to electricity which is generated—

(a) by a generating station—

(i) which was accredited as at 31st March 2009, and

(ii) which has not ceased to be accredited since that date,

(b) from landfill gas or sewage gas, and

(2) Subject to paragraph (3), this article also applies to electricity which is generated—

(a) by a generating station—

(i) which was accredited on or before 31st March 2011,

(ii) which, since being accredited, has not ceased to be accredited at any time, and

(iii) in respect of which preliminary accreditation was held—

(aa) as at 31st March 2009, and

(bb) from that date until the date on which the station was accredited,

(b) from landfill gas or sewage gas, and

(3) This article does not apply to electricity—

(a) which is generated by a generating station to which article 34 applies, or

(b) to which article 37 applies.

(4) Subject to paragraph (5), the amount of electricity to be stated in each ROC issued in respect of electricity to which this article applies is 1 megawatt hour.

(5) Where, at any time it generates electricity after 31st March 2011, the generating station's total installed capacity is greater than it was on 31st March 2011, paragraph (4) applies only in relation to ROCs which are to be issued in respect of—

(a) where electricity generated using the total installed capacity of the station as at 31st March 2011 (“the March 2011 capacity”) is measured separately from electricity generated using capacity which has been added to the station since that date, the electricity to which this article applies which is generated using the station's March 2011 capacity;

(b) in any other case, the appropriate percentage of the electricity to which this article applies (the appropriate percentage for these purposes being the total installed capacity of the station as at 31st March 2011 expressed as a percentage of the total installed capacity of the pre-2013 capacity of the station as at the date of generation of the electricity).

(6) In relation to the remainder of the electricity to which this article applies, the amount of electricity to be stated in each ROC is to be determined in accordance with article 33(3).

(7) This article is subject to article 41.

Offshore wind turbines installed between 2006 and 2010

39

(1) This article applies to electricity which is generated using an offshore wind turbine which, in the Authority's view, first formed part of the generating station from a date no earlier than 12th July 2006 and no later than 31st March 2010 (“a 2006/10 wind turbine”).

(2) The amount of electricity to be stated in each ROC issued in respect of electricity to which this article applies is

(3) In any month in which the electricity to which this article applies is not measured separately from any other electricity generated by the generating station, the percentage of the electricity generated by the station during that month which is to be treated (for the purposes of paragraph (2)) as having been generated using a 2006/10 wind turbine, is the appropriate percentage.

(4) For the purposes of paragraph (3), the appropriate percentage is the total installed capacity of the 2006/10 turbines forming part of the generating station as at the date of generation of the electricity expressed as a percentage of the total installed capacity of the station at that date.

(5) This article is subject to article 41.

Wave and tidal stream generating stations

40

(1) This article applies to electricity which is generated—

(a) using 2012/17 marine capacity, and

(b) by a generating station to which article 34 does not apply.

(2) Where the total installed capacity of the 2012/17 marine capacity of the generating station does not exceed 30 megawatts as at the date of the generation of the electricity, the amount of electricity to be stated in each ROC issued in respect of electricity to which this article applies is

(3) Where the total installed capacity of the 2012/17 marine capacity of the generating station exceeds 30 megawatts as at the date of the generation of the electricity, the amount of electricity to be stated in each ROC is—

(a) in the case of a ROC issued in respect of the relevant proportion of the electricity to which this article applies,

(b) in the case of a ROC issued in respect of the remainder of the electricity to which this article applies, an amount to be determined in accordance with article 33(3) to (7).

(4) In any month where 2012/17 marine capacity forms part, but not the whole, of the total installed capacity of a generating station, the proportion of the station's RO eligible renewable output which, for the purposes of paragraphs (2) and (3), is generated using 2012/17 marine capacity is

(5) In paragraph (4)—

(a) A is the total installed capacity of the 2012/17 marine capacity in the month in question; and

(b) B is the total installed capacity of the station in the month in question.

(6) In this article—

“2012/17 marine capacity”, in relation to a generating station, means any capacity which—generates electricity from the capture of the energy created from—the motion of naturally occurring tidal currents in water, orthe motion of naturally occurring waves on water,in the Authority's view, first formed part of the station from a date no earlier than 1st April 2012 and no later than 31st March 2017,has, on or before 31st March 2017, generated electricity in respect of which ROCs may be issued, andin the case of a station accredited on or before 31st March 2012, does not form part of the capacity of the station as accredited; and

“the relevant proportion”, in relation to electricity generated using the 2012/17 marine capacity of a generating station, is the proportion which 30 megawatts bears to the total installed capacity of the 2012/17 marine capacity as at the date of generation of the electricity.

(7) This article is subject to article 41.

Generating stations in respect of which a statutory grant has been awarded

41

(1) This article applies to a generating station—

(a) in respect of which a statutory grant was awarded on or before 11th July 2006, and

(b) which either—

(i) was granted accreditation which took effect after 11th July 2006, or

(ii) generates electricity from biomass or waste (including fuels produced from biomass or waste by means of gasification, pyrolysis or anaerobic digestion).

(2) The operation of articles 33 to 40 in relation to electricity generated by a generating station to which this article applies is conditional upon—

(a) if the grant referred to in paragraph (1)(a) or any part of it has been paid, an operator of the station—

(i) having repaid to the Secretary of State on or before 31st March 2011 so much of the grant as has been paid, and

(ii) having paid to the Secretary of State interest on the amount repayable under paragraph (i) for such period, and at such rate, as may be determined by the Secretary of State, and

(b) if the grant referred to in paragraph (1)(a) or any part of it has not yet been paid, the cancellation of the award of that grant or part.

(3) Where a generating station to which this article applies generates electricity at a time when the operator of the station has not produced to the Authority evidence of—

(a) the repayment of all amounts due under paragraph (2)(a)(i),

(b) the payment of all amounts of interest due under paragraph (2)(b)(ii), and

(c) the cancellation of the award of the grant referred to in paragraph (1)(a) or the cancellation of the award of any part of that grant that has not yet been paid,

the amount of electricity to be stated in each ROC issued in respect of that electricity is 1 megawatt hour or the amount determined in accordance with any of articles 33 to 36, whichever is the greater.

(4) In determining how electricity has been generated for the purposes of paragraph (1)(b)(ii), no account is to be taken of any waste which the generating station uses for permitted ancillary purposes.

Review of banding provisions

42

(1) For the purposes of section 32D(7) and (8) of the Act, the Secretary of State may commence a review of the banding provisions in October 2018 and at subsequent four yearly intervals.

(2) For those purposes the Secretary of State may review all or any of the banding provisions at any time if satisfied that one or more of the following conditions is satisfied—

(a) the charges imposed by network operators on persons, or a class of persons, making a request for connection to and use of a transmission or distribution system have changed significantly since the Secretary of State made the banding provisions;

(b) the charges imposed by network operators on persons, or a class of persons, who generate electricity have changed significantly since the Secretary of State made the banding provisions;

(i) is likely to be used to generate from renewable sources electricity which is supplied to customers in Great Britain, and

(ii) is not listed in the first column of Part 2 or Part 3 of Schedule 5;

(d) there has been a change, since the Secretary of State made the banding provisions, in any support, whether financial or otherwise, provided under any enactment other than sections 32 to 32M of the Act to persons generating electricity from renewable sources and that change is likely to have a significant impact on the generation of electricity from renewable sources;

(e) the costs of generating electricity in any of the ways listed in the first column of Part 2 or Part 3 of Schedule 5 are significantly different from the costs of generating electricity in that way to which the Secretary of State had regard when making the banding provisions;

(f) there is evidence over a significant period that the provisions of article 14(3) and (4) are having a material effect on trade in ROCs referred to in article 14(3);

(g) in an obligation period the number of ROCs issued by, produced to or likely to be produced to the Authority exceeds or is likely to exceed the total number of ROCs required to be produced to the Authority in respect of that obligation period by designated electricity suppliers;

(h) an event has occurred which—

(i) is relevant to the matters set out in section 32D(4) of the Act,

(ii) was not foreseen by the Secretary of State when making the banding provisions, and

(iii) has had or is likely to have a material effect on the operation of this Order.

(3) In this article—

“banding provision” means a provision of articles 33 to 40, and

“network operators” are persons authorised by a licence under section 6(1)(b) , (c) or (da) of the Act ....

PART 7 — Cases and circumstances when a ROC must not be issued

Generating stations not compliant with accreditation or metering requirements

43

(1) ROCs are not to be issued in respect of any electricity generated by a generating station during a month in which the station—

(a) is not accredited, or

(b) any conditions to which the accreditation is subject are not met.

(2) ROCs are not to be issued in respect of any electricity generated by a generating station unless—

(a) the electricity is measured using a meter which, if used for ascertaining the quantity of electricity supplied by an authorised supplier to a customer, would be approved for the purposes of paragraph 2(1)(a) of Schedule 7 to the Act, or

(b) the Authority has agreed that estimates may be provided instead of measurements using a meter.

Maximum period of eligibility for ROCs

44

(1) Subject to paragraph (3), in the case of a generating station first accredited on or before 25th June 2008, ROCs are not to be issued in respect of any electricity generated by the station—

(a) using original capacity or mid-2008 additional capacity, after 31st March 2027,

(b) using additional capacity (other than mid-2008 additional capacity), on or after the 20th anniversary of the date on which, in the Authority's view, that additional capacity first formed part of the station or 31st March 2037 (whichever is the earlier).

(2) Subject to paragraph (3), in the case of a generating station first accredited after 25th June 2008, ROCs are not to be issued in respect of any electricity generated by the station—

(a) using original capacity, on or after the 20th anniversary of the date on which the station was first accredited or 31st March 2037 (whichever is the earlier),

(b) using additional capacity, on or after the 20th anniversary of the date on which, in the Authority's view, that additional capacity first formed part of the station or 31st March 2037 (whichever is the earlier).

(3) Paragraphs (1) and (2) do not apply in relation to the issue of ROCs in respect of the generation of electricity using a registered offshore wind turbine.

(4) ROCs are not to be issued in respect of any electricity generated using a registered offshore wind turbine, on or after the 20th anniversary of the date on which that wind turbine was registered under article 91 or 31st March 2037 (whichever is the earlier).

(5) In this article—

“additional capacity” means generating capacity which—forms part of an accredited generating station, anddoes not form part of the original capacity of that generating station;

“mid-2008 additional capacity” means additional capacity which formed part of a generating station on or before 25th June 2008; and

“registered offshore wind turbine” means a wind turbine which is registered under article 91.

Generating stations using excluded capacity to generate electricity

45

(1) This article applies to a generating station where excluded capacity forms all or part of the total installed capacity of the station.

(2) ROCs are not to be issued in respect of any electricity generated in any month by a generating station to which this article applies unless during that month—

(a) all of the electricity generated by the station using the excluded capacity is measured separately from any electricity generated by the station using RO capacity, or

(b) all of the electricity generated by the station using RO capacity is measured separately from any electricity generated by the station using the excluded capacity.

(3) ROCs are not to be issued in respect of any electricity generated using excluded capacity.

(4) In this article, “excluded capacity” means—

(a) generating capacity which—

(i) in the Authority's view formed part of a generating station from a date no earlier than 1st April 2014,

(ii) does not form part of the original capacity of the station,

(iii) is not registered under article 92, and

(iv) is not an offshore wind turbine;

(b) an offshore wind turbine which—

(i) forms part of a generating station accredited on or before 31st March 2011,

(ii) does not form part of the original capacity of the station,

(iii) was not used to generate electricity before 1st April 2011, and

(iv) is not registered under article 91;

(i) forms part of a generating station first accredited after 31st March 2011, and

(ii) is not registered under article 91;

(d) a combustion unit in relation to which a capacity market transfer notice (within the meaning of article 48(3)) has come into force; or

(e) a combustion unit in relation to which a CFD transfer notice (within the meaning of article 50(3))—

(i) has come into force, ...

(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) For the purposes of paragraph (4)—

(a) the date on which a capacity market transfer notice comes into force is to be determined in accordance with article 48(6), and

(b) the date on which a CFD transfer notice comes into force is to be determined in accordance with article 50(7).

Generating stations located outside England and Wales

46

(1) ROCs are not to be issued in respect of any electricity generated by a generating station located in Scotland.

(2) ROCs are not to be issued in respect of any electricity generated by a generating station mentioned in Article 54(1) of the Energy (Northern Ireland) Order 2003 where the electricity has been supplied to customers in Northern Ireland.

(3) ROCs are not to be issued in respect of any electricity generated by a generating station located beyond the seaward limits of the territorial sea adjacent to the United Kingdom unless—

(a) it is connected directly to a transmission or distribution system (or the part of such a system) located in Northern Ireland (and to no other system or part thereof), or

(b) it is an area designated under section 1(7) of the Continental Shelf Act 1964 or in a Renewable Energy Zone.

(4) In this article—

“Northern Ireland” has the same meaning as in Article 54(1) of the Energy (Northern Ireland) Order 2003;

“Scotland” includes—so much of the internal waters and territorial sea of the United Kingdom as are adjacent to Scotland,a Renewable Energy Zone, or any part of such a Zone, which is designated by order under section 84(5) of the Energy Act 2004 .

Electricity supplied to customers in Northern Ireland

47

No ROCs certifying the matters within section 32B(4) or (6) of the Act are to be issued where the Northern Ireland authority has notified the Authority that it is not satisfied that the electricity in respect of which the ROCs are to be issued has been supplied to customers in Northern Ireland.

Combustion units in relation to which a capacity agreement has been issued

48

(1) This article applies to a combustion unit which is included in a generating CMU in respect of which a capacity agreement has been issued (the “relevant capacity agreement”).

(2) ROCs are not to be issued in respect of any electricity generated by a combustion unit to which this article applies unless—

(a) a capacity market transfer notice has been given to the Authority by the operator of the generating station in respect of the combustion unit, and

(b) paragraph (4) or (5) applies in relation to the electricity.

(3) A capacity market transfer notice is a notice which—

(a) is in writing,

(b) identifies the combustion unit to which it relates,

(d) states the date of commencement of the delivery year, or first delivery year, for which that capacity agreement was issued (“the capacity market participation date”).

(4) This paragraph applies in relation to electricity generated—

(a) in a month in which the combustion unit burns only biomass, and

(b) before the capacity market transfer notice has come into force.

(5) This paragraph applies in relation to electricity generated—

(a) in a month in which the combustion unit burns fossil fuel and biomass, and

(b) before the capacity market participation date.

(6) For the purposes of paragraph (4), a capacity market transfer notice comes into force on the capacity market participation date stated in the notice unless the relevant capacity agreement has been terminated before the earliest of the capacity market participation date and 1st April 2017 (in which case the capacity market transfer notice never comes into force).

(7) For the purposes of paragraphs (4) and (5), no account is to be taken of any fossil fuel or waste which is used in the combustion unit for permitted ancillary purposes.

(8) Once a capacity market transfer notice has been received by the Authority it cannot be withdrawn.

(9) In this article, “capacity agreement”, “generating CMU” and “delivery year” have the same meaning as in the Electricity Capacity Regulations 2014 .

Electricity in respect of which a CFD or investment contract applies

49

ROCs are not to be issued in respect of any electricity in respect of which a CFD or investment contract applies.

Combustion units in relation to which a CFD or investment contract has been entered into

50

(1) This article applies to a combustion unit in relation to which—

(a) a CFD has been entered into, or

(b) an investment contract—

(i) has been entered into, ...

(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2) ROCs are not to be issued in respect of any electricity generated by a combustion unit to which this article applies unless a CFD transfer notice has been given to the Authority by the operator of the generating station in respect of the combustion unit.

(3) A CFD transfer notice is a notice which—

(a) is in writing,

(b) identifies the combustion unit to which it relates,

(c) states the date from which the operator of the generating station intends to start using that combustion unit to generate electricity only from biomass (“the conversion date”), and

(d) states the date on which a CFD or investment contract was entered into in relation to that combustion unit.

(4) Once a CFD transfer notice has been received by the Authority it cannot be withdrawn ....

(5) Subject to paragraph (6), the operator of a generating station may change the conversion date stated in a CFD transfer notice in respect of a combustion unit at the generating station by giving notice to the Authority in writing.

(6) The conversion date stated in a CFD transfer notice cannot be changed—

(a) after 31st March 2027,

(b) after the CFD transfer notice has come into force, or

(c) if a CFD made in relation to the combustion unit to which the CFD transfer notice relates has been terminated or otherwise ceased to have effect.

(7) For the purposes of this article, a CFD transfer notice comes into force—

(a) on the conversion date stated in the CFD transfer notice, or

(b) if earlier, as from the start of the first month—

(i) which is after March 2014, and

(ii) during which the combustion unit to which the CFD transfer notice relates burns only biomass.

(8) For the purpose of paragraph (7)(b)(ii), no account is to be taken of any fossil fuel or waste which is used in the combustion unit for permitted ancillary purposes.

Generating stations supported or potentially eligible for support under a feed-in tariff scheme

51

(1) ROCs are not to be issued in respect of any electricity generated by a microgenerator if that microgenerator—

(a) is a hydro generating station, or

(b) generates electricity from—

(i) gas formed by the anaerobic digestion of material which is neither sewage nor material in a landfill,

(ii) the direct conversion of sunlight into electricity, or

(iii) wind.

(2) Subject to paragraph (3), ROCs are not to be issued in respect of any electricity generated by a generating station—

(a) if support has been given under a feed-in tariff scheme for the generation of electricity by the station, or

(b) if, before the application for accreditation of the station was determined, the Authority was notified in writing by a relevant person that support for electricity generated by the station should be given in the form of financial incentives under a feed-in tariff scheme.

(3) Paragraph (2) does not prevent the issue of ROCs in respect of electricity generated by a generating station if financial incentives are not available under a feed-in tariff scheme for that electricity by virtue of the size of the station's total installed capacity.

(4) In this article—

Generating stations in respect of which a NFFO arrangement applied but was terminated

52

(1) This article applies where—

(a) a NFFO arrangement (“the applicable NFFO arrangement”) provided for the building of a generating station at a specified location (“the location”),

(b) the applicable NFFO arrangement was terminated due to the operator of the generating station to which it applied having committed an unremedied breach of it, and

(c) the last period in the tables contained in Schedule 1 to the Non-Fossil Fuel Order which relates to the applicable NFFO arrangement has not expired.

(2) Subject to paragraph (3), where this article applies, ROCs are not to be issued in respect of any electricity generated by a generating station—

(a) which is situated wholly or partly at the location,

(b) to which the applicable NFFO arrangement applied at the time it was commissioned, and

(i) who was a party to the applicable NFFO arrangement, or

(ii) who is a connected person or a linked person in relation to any such party.

(3) Paragraph (2) does not apply in relation to electricity generated by a generating station in a month in which all of the electricity generated by that station is sold pursuant to another NFFO arrangement.

Non-commissioned generating stations in respect of which a NFFO arrangement applies

53

(1) This article applies where a NFFO arrangement (“the applicable NFFO arrangement”) provides for the building of a generating station (“the specified station”) at a specified location (“the location”) and the specified station has not been commissioned.

(2) Subject to paragraph (3), where this article applies, ROCs are not to be issued in respect of any electricity generated by a generating station which—

(a) is situated wholly or partly at the location, and

(b) is owned or operated by a person—

(i) who is a party to the applicable NFFO arrangement, or

(ii) who is a connected person or a linked person in relation to any such party.

(3) Paragraph (2) does not apply in relation to electricity generated by a generating station in a month in which all of the electricity generated by that station is sold pursuant to another NFFO arrangement.

Large hydro generating stations first commissioned on or before 1st April 2002

54

(1) ROCs are not to be issued in respect of any electricity generated by a large hydro generating station if the station was first commissioned on or before 1st April 2002.

(2) In this article, “large hydro generating station” means a hydro generating station which has, or has had at any time since 1st April 2002, a declared net capacity of more than 20 megawatts.

Generating stations first commissioned before 1st January 1990

55

(1) This article applies to a generating station—

(a) which was first commissioned before 1st January 1990,

(b) the main components of which have not been renewed since 31st December 1989, and

(2) ROCs are not to be issued in respect of any electricity generated in any month by a generating station to which this article applies unless all of the electricity generated by that station during that month—

(a) is generated partly from fossil fuel (other than renewable waste) and partly from renewable sources which consist wholly of—

(i) biomass,

(ii) biomass and Solid Recovered Fuel, or

(iii) a liquid or gaseous fuel produced by means of gasification, pyrolysis or anaerobic digestion, or

(b) is generated from biomass and the following conditions are met—

(i) where that station generated electricity in any month prior to April 2003, no less than 75% of the energy content of the fuel used to generate that electricity was derived from fossil fuel,

(ii) the first month in which all of the electricity generated by that station was generated from biomass occurred after March 2004, and

(iii) in relation to electricity generated in any month after that first month by that station, no more than 75% of the energy content of the fuel used to generate that electricity was derived from fossil fuel.

(3) For the purposes of paragraph (1)(b), the main components of a generating station are only to be regarded as having been renewed since 31st December 1989—

(a) in the case of a hydro generating station, where the following parts have been installed in the station after 31st December 1989 and were not used for the purpose of electricity generation prior to their installation—

(i) all the turbine runners or all the turbine blades or the propeller, and

(ii) all the inlet guide vanes or all the inlet guide nozzles;

(b) in the case of any other generating station, where all the boilers and turbines (driven by any means including wind, water, steam or gas) have been installed in the station after 31st December 1989 and were not used for the purpose of electricity generation prior to their installation.

(4) In determining how electricity has been generated for the purposes of paragraph (2), no account is to be taken of any fossil fuel or waste which the generating station uses for permitted ancillary purposes.

(5) In this article, “micro hydro generating station” means a hydro generating station which—

(a) has a declared net capacity of 1.25 megawatts or less, and

(b) has never generated electricity under an arrangement which has ever been a qualifying arrangement as defined in section 33 of the Act (as that section was originally enacted).

Generating stations using peat

56

ROCs are not to be issued in respect of any electricity generated by a generating station during a month in which it generates electricity wholly or partly from peat.

Generating stations using landfill gas

57

ROCs are not to be issued in respect of any electricity generated by a generating station from landfill gas unless the electricity is generated—

(a) by a generating station to which article 34 applies,

(b) using pre-2013 capacity,

(d) using the heat from a turbine or engine.

Generating stations using gaseous fuel produced by means of gasification or pyrolysis

58

(1) ROCs are not to be issued in respect of any electricity generated by a generating station from a gaseous fuel produced by means of gasification or pyrolysis unless—

(a) the generating station is an excepted generating station, or

(b) the gaseous fuel has a gross calorific value of at least 2 megajoules per metre cubed at 25 degrees Celsius and 0.1 megapascals when measured at the inlet to the generating station.

(2) In this article, “excepted generating station” means a generating station—

(a) which was accredited on or before 31st March 2011,

(b) which since being accredited, has not ceased to be accredited at any time, and

(c) in respect of which, if it was not accredited as at 31st March 2009, preliminary accreditation was held on and from that date until the date on which it was accredited.

Generating stations using Solid Recovered Fuel

59

ROCs are not to be issued in respect of any electricity generated by a generating station from Solid Recovered Fuel unless—

(a) the Solid Recovered Fuel constitutes biomass, or

(b) the generating station is a qualifying CHP station.

Generating stations using waste or fossil fuel

60

(1) ROCs are not to be issued in respect of any electricity generated by a generating station during a month in which it generates electricity wholly from renewable sources which consist of or include waste unless—

(a) the waste is biomass,

(b) the waste is a liquid consisting wholly or mainly of hydrocarbon compounds,

(c) the waste is in the form of a liquid or gaseous fuel produced by means of gasification, pyrolysis or anaerobic digestion, or

(d) the station is a qualifying CHP station.

(2) ROCs are not to be issued in respect of any electricity generated by a generating station during a month in which it generates electricity partly from renewable sources, and partly from fossil fuel other than renewable waste, unless—

(a) the renewable sources used by the station during the month in question consist of—

(i) biomass,

(ii) biomass and Solid Recovered Fuel, or

(iii) a liquid or gaseous fuel produced by means of gasification, pyrolysis or anaerobic digestion; and

(b) any waste used by the station during that month is—

(i) biomass,

(ii) liquid consisting wholly or mainly of hydrocarbon compounds,

(iii) in the form of a liquid or gaseous fuel produced by means of gasification, pyrolysis or anaerobic digestion, or

(iv) Solid Recovered Fuel.

(3) In determining how electricity has been generated for the purposes of this article, no account is to be taken of any fossil fuel or waste which the generating station uses for permitted ancillary purposes.

Circumstances in which ROCs must not be issued in respect of electricity generated from bioliquid

61

(1) ROCs are not to be issued in respect of any electricity generated by a generating station from bioliquid unless the bioliquid meets the greenhouse gas criteria and the land criteria.

(2) It is for the operator of the generating station to demonstrate to the Authority's satisfaction that the bioliquid meets the greenhouse gas criteria and the land criteria.

(3) Where paragraph (4) applies to a consignment of bioliquid, a mass balance system must be used for the purpose of demonstrating that the bioliquid meets the greenhouse gas criteria and the land criteria.

(4) This paragraph applies to a consignment of bioliquid where—

(a) the consignment of bioliquid was withdrawn from a mixture containing consignments of bioliquid with differing sustainability profiles, or

(b) consignments of the biomaterial from which the consignment of bioliquid was made were withdrawn from a mixture containing consignments of biomaterial with differing sustainability profiles.

(5) For the purposes of this article—

(a) a mass balance system is a system which—

(i) provides for the sustainability profiles of the consignments of bioliquid or biomaterial added to a mixture to be attributed to the consignments withdrawn from that mixture, and

(ii) requires the sustainability profile attributed to the sum of all the consignments withdrawn from a mixture to be the same, and in the same quantities, as the sustainability profile of the sum of all the consignments added to that mixture;

(b) the sustainability profile of a consignment of bioliquid is information identifying—

(i) the material of which the bioliquid is composed, and

(ii) the proportion that meets the greenhouse gas criteria and the land criteria;

(i) information identifying the material of which the biomaterial is composed, and

(ii) information relating to the biomaterial to be used for the purpose of determining whether bioliquid made from the biomaterial meets the greenhouse gas criteria and the land criteria.

Common agricultural policy requirements in the case of bioliquids

62

(1) ROCs are not to be issued in respect of any electricity generated by a generating station from bioliquid if—

(a) the bioliquid is derived from biomaterial which—

(i) is of agricultural origin,

(ii) was cultivated in the United Kingdom or the EU, and

(iii) is not waste, and

(b) the Authority is satisfied that the biomaterial referred to in sub-paragraph (a) was—

(i) cultivated in a manner that breached a requirement or standard listed in the third column of the table in Annex 2 to Regulation (EU) No 1306/2013 of the European Parliament and of the Council on the financing, management and monitoring of the common agricultural policy (“the 2013 Regulation”) and corresponding to the entry in the first column of that table for “environment, climate change, good agricultural condition of land”,

(ii) cultivated in a manner that breached statutory management requirement number 10 in Annex 2 to the 2013 Regulation, or

(iii) obtained from land which does not meet the minimum requirements for good agricultural and environmental condition defined pursuant to Article 94 of the 2013 Regulation.

(2) In paragraph (1), a reference to the 2013 Regulation is a reference to—

(a) in relation to biomaterial cultivated in the United Kingdom on or after IP completion day, the 2013 Regulation as it forms part of domestic law;

(b) in any other case, the 2013 Regulation as it has effect in EU law.

Circumstances in which ROCs must not be issued in respect of electricity generated from solid or gaseous biomass

63

(1) This article applies to biomass (other than animal excreta, bioliquid, landfill gas, sewage gas or waste).

(2) ROCs are not to be issued in respect of any electricity generated by a generating station from biomass to which this article applies unless—

(a) the generating station has a total installed capacity of less than 1 megawatt, or

(b) the biomass meets the greenhouse gas criteria and the land criteria.

Cases where a renewables obligation certificate has already been issued

64

ROCs are not to be issued in respect of any electricity in respect of which—

(a) a ROC has already been issued and has not been revoked, or

(b) a renewables obligation certificate has already been issued under a renewables obligation order made by the Scottish Ministers (whether or not that renewables obligation certificate has been revoked).

Cases and circumstances when a ROC must not be issued: general provisions

65

(1) Subject to paragraph (2), where by virtue of this Part ROCs are not to be issued in respect of part of the electricity generated by a generating station and that electricity is not measured separately from the remainder of the electricity generated by the station, the operator of the station must provide the Authority with an estimate of the amount of electricity generated by the station in respect of which ROCs are not to be issued.

(2) The estimate must be produced using a methodology which—

(a) has been agreed with the Authority, and

(b) in the Authority's opinion, is unlikely to underestimate the amount of electricity in respect of which ROCs are not to be issued.

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

Interpretation

66

(1) In this Part—

“buy-out fund” means the fund held by the Authority on the 1st September in the settlement period, being the aggregate of—amounts received by the Authority under article 67 relating to the renewables obligation for the relevant period,amounts held by the Authority by virtue of articles 70(4)(b), 71(4), 76(5) and 77(6)(b), andany interest earned on those amounts;

“compliant UK supplier” means a UK 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 74(5);

“late payment fund” is the fund held by the Authority on the 1st November of the settlement period, being the aggregate of—amounts received by the Authority during that period under article 68 relating to the renewables obligation for the relevant period, andany interest earned on those amounts;

“late payment period” means the period beginning with the 1st September and ending with 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 76(2)) received by the Authority under articles 74 and 76 (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 Energy (Northern Ireland) Order 2003 during a period which, in any order made under those Articles, corresponds to the settlement period;

“non-compliant UK supplier” means a UK 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 75(5);

“the relevant period” is to be construed in accordance with article 67(1);

“relevant shortfall” is to be construed in accordance with article 72(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;

“retail prices index” means—the general index of retail prices (for all items) published by the Office of National Statistics, orwhere the index is not published for a month, any substituted index or figures published by the Office of National Statistics;

“settlement period” is to be construed in accordance with article 67(1);

“shortfall” is to be construed in accordance with article 72(2);

“supplier payment” is to be construed in accordance with article 74(3);

“total mutualisation sum” is to be construed in accordance with article 73;

“total UK buy-out fund” means the fund existing on the 1st September of the settlement period, being the aggregate of—the buy-out fund held on that date,any fund provided for in a renewables obligation order made by the Scottish Ministers which corresponds to the buy-out fund held on that date, andany fund provided for in an order made under Articles 52 to 55F of the Energy (Northern Ireland) Order 2003 which corresponds to the buy-out fund held on that date;

“UK renewables obligation” means—the renewables obligation imposed by article 7 of this Order,a renewables obligation imposed by a renewables obligation order made by the Scottish Ministers, ora renewables obligation imposed on Northern Ireland suppliers in an order made under Articles 52 to 55F of the Energy (Northern Ireland) Order 2003;

“UK supplier” means—a designated electricity supplier,any electricity supplier on which a UK renewables obligation is imposed under a renewables obligation order made by the Scottish Ministers, andany designated electricity supplier within the meaning of Article 52(2) of the Energy (Northern Ireland) Order 2003.

(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 UK supplier subject to a UK renewables obligation, are to be construed (where the UK 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 Scottish Ministers, 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 Energy (Northern Ireland) Order 2003, 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 67(1), 68(6), 74 or 76(1) is to be rounded to the nearest penny, with any half of a penny being rounded upwards.

Payments to discharge the renewables obligation

67

(1) A designated electricity supplier may (in whole or in part) discharge its renewables obligation for an obligation period (“the relevant period”) by making a payment to the Authority before the 1st September in the following obligation period (“the settlement period”).

(2) The payment referred to in paragraph (1) is an amount equal to £X × (Y − Z) where—

(a) X is the sum which corresponds to a UK ROC by virtue of paragraph (4);

(b) Y is the number of UK ROCs that the designated electricity supplier, if it makes no payment under paragraph (1), would have to produce to the Authority in order for it to discharge its renewables obligation for the relevant period in full; and

(c) Z is the number of UK ROCs that it has produced to the Authority for that period (or, where it has not produced any, zero).

(3) Where a designated electricity supplier makes a payment to the Authority which is less than the amount calculated under paragraph (2), its renewables obligation for the relevant period will be discharged by that payment to the extent of the appropriate number of UK ROCs, which is the quotient obtained by dividing the payment made by the sum which corresponds to a UK ROC by virtue of paragraph (4).

(4) The sum which corresponds to a UK ROC (“the buy-out price”) is—

(a) for the relevant period commencing with 1st April 2016, £44.33 increased or, as the case may be, decreased by the percentage increase or decrease in the retail prices index over the 12 month period ending with 31st December 2015 (the resulting figure being rounded to the nearest penny, with any half of a penny being rounded upwards), and

(b) for each obligation period thereafter, the buy-out price for the previous obligation period increased or, as the case may be, decreased by the percentage increase or decrease in the retail prices index over the 12 month period ending with the 31st December in the previous obligation period (the resulting figure being rounded to the nearest penny, with any half of a penny being rounded upwards).

Late payments to discharge the renewables obligation

68

(1) Where a designated electricity supplier fails (in whole or in part) to discharge its renewables obligation for the relevant period before the 1st September in the settlement period, the Authority must notify it of the extent of its default as soon as is reasonably practicable on or after that date.

(2) The extent of the designated electricity supplier's default is an amount equal to the amount calculated under article 67(2) less any amount that the designated electricity supplier has paid to the Authority under article 67.

(3) Interest is payable on that amount (or, where all or part of it is paid to the Authority before the end of the late payment period, such part of that amount as remains unpaid) during the late payment period.

(4) That interest is to be calculated on a daily basis at 5 percentage points above the base rate charged by the Bank of England on the first day of the late payment period.

(5) Any payment made by a designated electricity supplier towards discharging its default under paragraph (2) will be applied first to any interest that is payable under paragraph (3).

(6) If, by the end of the late payment period, the designated electricity supplier has paid to the Authority under this article the amount referred to in paragraph (2) and all interest required to be paid on that amount under paragraph (3), it will be treated as having discharged its renewables obligation for the relevant period.

(7) If, by the end of the late payment period, the designated electricity supplier has not paid to the Authority the amount referred to in paragraph (2) and all interest required to be paid on that amount under paragraph (3), the supplier will not have discharged its renewables obligation for the relevant period.

(8) The Authority must not, during the late payment period, impose a penalty under section 27A(1) of the Act on any supplier in respect of that supplier's failure to discharge its renewables obligation in full before the 1st September in the settlement period.

(9) In paragraph (4) “base rate” means the rate announced from time to time by the Monetary Policy Committee of the Bank of England as the official dealing rate.

Dealing with the buy-out fund: payments into the Consolidated Fund and to the Northern Ireland authority

69

(1) Subject to paragraph (2), before the 1st November in the settlement period the Authority must pay—

(a) into the Consolidated Fund the proportion of the buy-out fund which is equal to the proportion which the GBRO costs bear to the total UK buy-out fund; and

(b) to the Northern Ireland authority the proportion of the buy-out fund which is equal to the proportion which the NIRO costs bear to the total UK buy-out fund.

(2) Where the aggregate of the amounts to be paid by the Authority under paragraph (1) would exceed the buy-out fund, before the 1st November of the settlement period the Authority must pay the buy-out fund into the Consolidated Fund and to the Northern Ireland authority in the same ratio as the GBRO costs bear to the NIRO costs.

(3) Where any amount to be paid under paragraph (1) or (2) is not a whole number when expressed in terms of pounds sterling, it is to be rounded down to the nearest pound sterling.

(4) Where the buy-out fund exceeds the aggregate of the amounts to be paid by the Authority under paragraph (1), the Authority must pay the balance of the buy-out fund to UK suppliers under and in accordance with article 71 by the 1st November in the settlement period.

Dealing with the late payment fund: payments into the Consolidated Fund and to the Northern Ireland authority

70

(1) Subject to paragraph (2), where the buy-out fund has been paid into the Consolidated Fund and to the Northern Ireland authority under article 69(2), before the 1st January in the settlement period the Authority must pay from the late payment fund—

(a) into the Consolidated Fund an amount which is equal to the difference between the amount that was paid into the Consolidated Fund under article 69(2) and the amount that would have been paid into it under article 69(1) had the aggregate of the amounts to be paid by the Authority under article 69(1) not exceeded the buy-out fund; and

(b) to the Northern Ireland authority an amount which is equal to the difference between the amount that was paid to it under article 69(2) and the amount that would have been paid to it under article 69(1) had the aggregate of the amounts to be paid by the Authority under article 69(1) not exceeded the buy-out fund.

(2) Where the aggregate of the amounts to be paid by the Authority under paragraph (1) would exceed the late payment fund, before the 1st January of the settlement period the Authority must pay the late payment fund into the Consolidated Fund and to the Northern Ireland authority in the same ratio as the GBRO costs bear to the NIRO costs.

(3) Where any amount to be paid under paragraph (1) or (2) is not a whole number when expressed in terms of pounds sterling, it is to be rounded down to the nearest pound sterling.

(4) Where, after any payments required to be made during the settlement period under paragraph (1) or (2) have been made, the Authority—

(a) holds more than £50,000 in the late payment fund, the Authority must pay the late payment fund to UK suppliers under and in accordance with article 71 by the 1st January in the settlement period;

(b) holds £50,000 or less in the late payment fund, the Authority must retain that money, which is to constitute part of the buy-out fund held in the obligation period immediately following the settlement period.

Dealing with the buy-out and late payment funds: payments to UK suppliers

71

(1) Each UK supplier must be paid a proportion of the amount (if any) that the Authority is required to pay to UK suppliers by virtue of article 69(4) or 70(4)(a) by the dates in the settlement period specified in those articles.

(2) The proportion referred to in paragraph (1) is A ÷ B where—

(a) A is the number of UK ROCs produced by the UK supplier to the Authority or Northern Ireland authority in order to discharge (in whole or in part) any UK renewables obligation to which it was subject in the relevant period; and

(b) B is the total number of UK ROCs produced by UK suppliers to the Authority or to the Northern Ireland authority in order to discharge (in whole or in part) any UK renewables obligations to which they were subject in that period.

(3) Where any amount to be paid under this article is not a whole number when expressed in terms of pounds sterling, it is to be rounded down to the nearest pound sterling.

(4) Where by virtue of the operation of paragraph (3) the Authority continues to hold any sum which otherwise would have been paid out under this article that sum is to be retained by the Authority and is to constitute part of the buy-out fund held in the obligation period immediately following the settlement period.

Determining whether a relevant shortfall has occurred

72

(1) As soon as reasonably practicable after the 31st October in the settlement period, the Authority must—

(a) determine whether a shortfall has occurred (within the meaning of paragraph (2)); and

(b) where such a shortfall has occurred and is a relevant shortfall (within the meaning of paragraph (3)), calculate the total sum to be recovered from relevant suppliers (“the total mutualisation sum”).

(2) A shortfall occurs in relation to the relevant period where the amount referred to in sub-paragraph (a) is less than the amount referred to in sub-paragraph (b) and is the difference between the two—

(a) the amount referred to in this sub-paragraph is the sum of—

(i) the amount held in the buy-out fund on the 1st September in the settlement period, and

(ii) the amount held in the late payment fund on 31st October in that period (excluding from that amount any interest paid pursuant to article 68(3)); and

(b) the amount referred to in this sub-paragraph is what the amount referred to in sub-paragraph (a) would have been if, on 31st October in the settlement period, each designated electricity supplier which, at the end of the late payment period, has not (and is not treated as having) discharged its renewables obligation in full were to pay to the Authority the amount notified to it by the Authority under article 68(1).

(3) A shortfall in relation to a relevant period is a relevant shortfall if it is equal to, or in excess of, the mutualisation threshold for that period.

(4) The mutualisation threshold for a relevant period is determined as 1% of A x B, rounded to the nearest £100,000 with £50,000 being rounded upwards, where—

(i) A is the total obligation for the relevant period determined under article 12;

(ii) B is the buy-out price for the relevant period referred to in article 67(4).

Calculating the total mutualisation sum in the case of a relevant shortfall

73

(1) Subject to paragraphs (2) to (4), where a relevant shortfall has occurred in relation to the relevant period, the total mutualisation sum for that period is the amount of that shortfall.

(2) Where any non-compliant UK supplier has produced UK ROCs to the Authority or the Northern Ireland authority in order to discharge, in part, any UK renewables obligation to which it was subject in the relevant period, the total mutualisation sum for that period is equal to

(a) S, subject to paragraphs (3) and (4), is the amount of the shortfall;

(b) C is the number of UK ROCs produced by non-compliant UK suppliers to the Authority or the Northern Ireland authority in order to discharge, in part, any UK renewables obligation to which they were subject in the relevant period; and

(c) D is the total number of UK ROCs produced by UK suppliers to the Authority or to the Northern Ireland authority in order to discharge, in whole or in part, any UK renewables obligation to which they were subject in the relevant period.

(3) If the total mutualisation sum for the relevant period has to be recalculated by virtue of article 75(5), for the purposes of that recalculation (whether under paragraph (1) or (2)) the amount of the shortfall is to be reduced by the sum of all payments mentioned in article 75(1)(b) received by UK suppliers.

(4) For the purposes of calculating or recalculating the total mutualisation sum for the relevant period, the amount (if any) by which the shortfall in relation to that period exceeds the mutualisation cap for that period is to be disregarded.

(5) The mutualisation cap for the relevant period depends on which obligation period constitutes the relevant period and is—

(a) for the relevant period commencing with 1st April 2016, the 2015/16 mutualisation cap increased or, as the case may be, decreased by the percentage increase or decrease in the retail prices index over the 12 month period ending on 31st December 2015 (the resulting figure being rounded to the nearest penny, with any half of a penny being rounded upwards); and

(b) for each obligation period thereafter, the mutualisation cap for the previous obligation period increased or, as the case may be, decreased by the percentage increase or decrease in the retail prices index over the 12 month period ending with the 31st December in the previous obligation period (the resulting figure being rounded to the nearest penny, with any half of a penny being rounded upwards).

(6) In paragraph (5), the “2015/16 mutualisation cap” is £267,035,558.91.

Payments to be made by suppliers towards the total mutualisation sum

74

(1) Where a relevant shortfall has occurred in relation to the relevant period, as soon as reasonably practicable after the 31st October in the settlement period the Authority must notify each relevant supplier of—

(a) the amount of the shortfall,

(b) the total mutualisation sum, and

(2) Where the Authority notifies relevant suppliers under paragraph (1) it must publish a notice stating the amount of the shortfall in relation to the relevant period and the total mutualisation sum.

(3) Where a relevant shortfall has occurred in relation to the relevant period, each relevant supplier must make a payment to the Authority (a “supplier payment”).

(4) The supplier payment for each relevant supplier is equal to

(a) T is the total mutualisation sum,

(b) E is the number of UK ROCs that the supplier, if it had made no payments under article 67 or 68, would have had to produce to the Authority in order for it to have discharged its renewables obligation for the relevant period in full, and

(c) F is the total number of UK ROCs that all relevant suppliers, if none of them had made payments under articles 67 or 68 would have had to produce in order for each of them to discharge their renewables obligation for the relevant period in full.

(5) Subject to article 75, each relevant supplier must make its supplier payment in the following instalments (“instalment payments”)—

(a) 25% of the supplier payment required must be paid to the Authority before 1st September in the mutualisation period;

(b) 25% of the supplier payment must be paid to the Authority before 1st December in that period;

(d) 25% of the supplier payment must be paid to the Authority before 1st June immediately following that period.

(6) Where a person required to make a supplier payment—

(a) fails to make payment in full, and

(b) at any time during or after the end of the relevant period ceases to hold a licence to supply electricity under section 6(1) of the Act ,

sections 25 to 28 of the Act are to apply in respect of that person in respect of the obligations imposed by this article, as if that person still held a licence to supply electricity.

Circumstances in which payments towards the total mutualisation sum are to be re-calculated

75

(1) This article and article 76 apply where—

(a) a relevant shortfall has occurred in relation to the relevant period, and

(b) a designated electricity supplier which failed to discharge its renewables obligation for the relevant period makes a payment to other UK suppliers which, if it had been made to the Authority under article 67 or 68, would have increased the amounts that those suppliers would have received under article 71 from the buy-out and late payment funds, that payment being designed to compensate those suppliers for that loss.

(2) A designated electricity supplier which makes a payment mentioned in paragraph (1)(b) must, immediately after making the payment, notify the Authority—

(a) of the names of the UK suppliers to which the payment was made,

(b) how much each UK supplier received, and

(3) Any designated electricity supplier which receives a payment mentioned in paragraph (1)(b) must notify the Authority, immediately after receiving the payment, of the amount it received.

(4) Where a designated electricity supplier receives a payment from an electricity supplier supplying electricity in Scotland in relation to the electricity supplier's failure to discharge in full any UK renewables obligation imposed on it by a renewables obligation order made by the Scottish Ministers, the designated electricity supplier must notify the Authority, immediately after receiving the payment, of the amount it received.

(5) Where, before 1st August in the obligation period immediately following the mutualisation period, the Authority receives a notification under paragraph (2) or (3), relevant suppliers shall cease to be required to make instalment payments in respect of dates specified in article 74(5) which have not yet passed and the Authority must, as soon as is reasonably practicable—

(a) recalculate the total mutualisation sum (in relation to the relevant period),

(b) recalculate the supplier payment (in relation to the relevant period) which each relevant supplier is required to make (to take account of the recalculated total mutualisation sum),

(c) calculate, in accordance with article 76, the payments (if any) suppliers are required to make under that article, and

(d) notify each relevant supplier of—

(i) the recalculated total mutualisation sum,

(ii) its recalculated supplier payment, and

(iii) the payments (if any) the supplier is required to make under article 76.

Re-calculated payments to be made by suppliers towards the total mutualisation sum and repayments by the Authority

76

(1) Where the sum of instalment payments already made by a relevant supplier is less than its recalculated supplier payment, the supplier must pay the difference between the two (“the outstanding amount”)—

(a) where the only date mentioned in article 74(5) which has not yet passed is the final one, on that date;

(b) where two or more of the dates mentioned in article 74(5) have not yet passed, in instalments on those dates (each instalment being equal to the outstanding amount divided by the number of dates which have not yet passed).

(2) Where the sum of instalment payments already made by a relevant supplier is more than the supplier's recalculated supplier payment and the Authority has received instalment payments, but has not yet paid out the mutualisation fund under article 77, the Authority must repay to the supplier from the mutualisation fund the difference between the amount that the supplier has paid (together with any interest earned on that amount) and the supplier's recalculated supplier payment.

(3) Where the Authority is required to repay sums to relevant suppliers in accordance with paragraph (2) and the mutualisation fund is insufficient to enable the Authority to repay each relevant supplier in full, the Authority must pay each relevant supplier an amount equal to

(a) G is the amount which the supplier would have received under paragraph (2) had the amount in the mutualisation fund been sufficient to enable the Authority to repay each relevant supplier in full,

(b) H is the sum of all payments that relevant suppliers would have received under paragraph (2) had the amount in the mutualisation fund been sufficient to enable the Authority to repay each relevant supplier in full, and

(4) Where any amount to be paid under paragraph (2) or (3) is not a whole number when expressed in terms of pounds sterling, it is to be rounded down to the nearest pound sterling.

(5) Where by virtue of the operation of paragraph (4) the Authority continues to hold any sum which otherwise would have been paid out under this article that sum is to be retained by the Authority and is to constitute part of the buy-out fund held in the obligation period immediately following the mutualisation period.

Payments to be made to suppliers out of the mutualisation fund

77

(1) The Authority must pay out the mutualisation fund to compliant UK suppliers in accordance with paragraphs (2) to (6).

(2) When there is money in it, the mutualisation fund is to be paid out by—

(a) 1st November in the mutualisation period;

(b) 1st February in that period;

(d) 1st August immediately following that period.

(3) On each occasion the mutualisation fund is paid out, each compliant UK supplier must be paid a proportion of the mutualisation fund.

(4) The proportion referred to in paragraph (3) is A ÷ K where—

(a) A is the number of UK ROCs produced by the compliant UK supplier to the Authority or Northern Ireland authority in order to discharge (in whole or in part) any UK renewables obligation to which it was subject in the relevant period, and

(b) K is the total number of UK ROCs produced by all compliant UK suppliers to the Authority or Northern Ireland authority in order to discharge (in whole or in part) any UK renewables obligation to which they were subject in that period.

(5) Where any amount to be paid under this article is not a whole number when expressed in terms of pounds sterling, it is to be rounded down to the nearest pound sterling.

(6) Where following the making of a payment to compliant UK suppliers the Authority continues, by virtue of the operation of paragraph (5), to hold any sum which otherwise would have been paid out under this article—

(a) the Authority must pay out that sum along with the next payment to be made under this article in respect of the relevant period; or

(b) where there are no further payments to be made under this article in respect of the relevant period that sum is to be retained by the Authority and is to constitute part of the buy-out fund held in the obligation period immediately following the mutualisation period.

PART 9 — Provision of information

Provision of information required by the Authority to carry out its functions

78

(1) The Authority may, by the date (if any) specified by it, require any person who—

(a) is the operator of a generating station generating electricity in respect of which a ROC has been or may be issued,

(b) supplies, distributes or transmits such electricity, or

to provide it with such information as in its opinion it requires in order to carry out any of its functions under this Order.

(2) Information requested under paragraph (1) must be given to the Authority in whatever form it requires.

Provision of information to determine whether a supplier is discharging its renewables obligation

79

(1) Without prejudice to article 78, the Authority may, by the date (if any) specified by it, require a designated electricity supplier to provide it with information which in its opinion is relevant to the question whether the supplier is discharging, or has discharged, its renewables obligation.

(2) Without prejudice to paragraph (1) and article 78, each designated electricity supplier must provide the Authority with—

(a) estimates of the amount of electricity it has supplied to customers in England and Wales during each month of an obligation period by no later than the 1st June following that period;

(b) figures showing the amount of electricity it has actually supplied to customers in England and Wales during each month of an obligation period by no later than the 1st July following that period;...

(ba) estimates of the amount of EII excluded electricity it has supplied to customers in England and Wales during each month—

(i) of an obligation period beginning on or after 1st April 2019; or

(ii) in respect of which a revised obligation level applies in accordance with article 13B(7) or (8),

by no later than the 1st June following that period;

(bb) figures showing the amount of EII excluded electricity it has actually supplied to customers in England and Wales during each month—

(i) of an obligation period beginning on or after 1st April 2019; or

(ii) in respect of which a revised obligation level applies in accordance with article 13B(7) or (8),

by no later than the 1st July following that period; and

(c) an estimate of the number of UK ROCs it believes it would be required to produce to the Authority in order to discharge its renewables obligation for an obligation period if it did not discharge its renewables obligation for that period (in whole or in part) by some other means by no later than the 1st July following that period.

(3) When giving the information referred to in paragraph (2)(a) and (b), a designated electricity supplier must have regard to any sales figures relating to the electricity in respect of which it is giving that information which it has provided (or intends to provide) to the Department for Energy Security and Net Zero for publication in “Energy Trends”.

(4) Information requested under or required to be provided by this article must be given to the Authority in whatever form it requires.

(5) Any information provided to the Authority under this article must be provided to the Secretary of State at the same time.

Provision of information to determine whether a ROC is to be, or should have been, issued

80

(1) Without prejudice to article 78, the Authority may, by the date (if any) specified by it, require a person to provide it with information which in its opinion is relevant to the question whether a ROC is, or was or will in future be, required to be issued to the person.

(2) Without prejudice to paragraph (1) and article 78, for the purposes of determining the RO eligible renewable output of a generating station in a month (“the relevant month”) the operator of the station must provide the Authority with figures showing—

(a) the total input electricity and the RO input electricity used by the station in the relevant month, and

(b) the total output electricity and the RO output electricity of the station in that month,

by the end of the second month following the relevant month (and those figures may be estimated if the Authority has agreed to estimates being provided and to the way in which those estimates are to be calculated).

(3) Nothing in paragraph (2) prevents the Authority from accepting figures, or further figures, provided after the end of the second month following the relevant month if the Authority considers it appropriate to do so.

(4) Without prejudice to paragraph (1) and article 78, for the purposes of determining whether a ROC certifying the matters within section 32B(5), (6) or (8) of the Act should be issued the person to whom any such ROC would be issued must provide the Authority with—

(a) a figure representing the amount of electricity in respect of which ROCs should (in that person's opinion) be issued, and

(b) the data on which that person relied in arriving at that figure.

(5) Information requested under or required to be provided by this article must be given to the Authority in whatever form it requires.

(6) Any information which—

(a) is relevant to the question whether a ROC is to be issued, and

(b) is requested by or required to be provided to the Authority under this article or article 78,

must be (in the Authority's opinion) accurate and reliable.

(7) Where such information relates to the fuel used in the generation of that electricity and the fuel did not originate at the generating station, in determining whether that information is accurate and reliable the Authority must have regard to—

(a) the distance over which the fuel was transported, and

(b) the conditions under which the fuel was prepared and transported.

Notification by the operator of a low-range co-firing combustion unit

81

(1) The operator of a generating station which generates electricity by burning fuel in a combustion unit may notify the Authority in writing that, until such time as the notification is withdrawn, the energy content of any biomass burned in that combustion unit will be less than 50% of the energy content of all of the energy sources burned in that combustion unit.

(2) A notification under paragraph (1) constitutes sufficient evidence of the fact that the energy content of the biomass burned in the combustion unit referred to in the notification is less than 50% of the energy content of all the energy sources burned in that combustion unit.

(3) A notification under paragraph (1) may be withdrawn by a notice—

(a) in writing from the operator of the generating station to the Authority, and

(b) which specifies a date from which the withdrawal of the notification is to take effect.

Information to be provided to the Authority where electricity is generated from biomass

82

(1) This article applies to a generating station—

(a) which generates electricity (wholly or partly) from biomass (other than municipal waste, landfill gas or sewage gas), and

(b) which is not a microgenerator.

(2) In relation to each consignment of biomass (other than municipal waste, landfill gas or sewage gas) used in a generating station to which this article applies, the operator of the station must, by the 30th June immediately following the obligation period during which the biomass is used (“the relevant date”), provide the Authority with—

(a) the information specified in paragraph (3),

(b) other than in the case of biomass which was gas formed by the anaerobic digestion of material which was—

(i) animal excreta, or

(ii) waste,

the information specified in paragraph (4), and

(i) was used in a generating station with a total installed capacity of at least 1 megawatt, or

(ii) was animal excreta, bioliquid or waste,

the information specified in paragraph (5).

(3) The information specified in this paragraph is information identifying, to the best of the operator's knowledge and belief—

(a) the material from which the biomass was composed;

(b) where the biomass was solid and can take different forms, the form of the biomass;

(d) where the biomass was plant matter or derived from plant matter, the country where the plant matter was grown; and

(e) where the information specified in sub-paragraph (d) is not known or the biomass was not plant matter or derived from plant matter, the country from which the operator obtained the biomass.

(4) The information specified in this paragraph is information identifying, to the best of the operator's knowledge and belief—

(a) where the biomass was solid, its mass (in tonnes);

(b) where the biomass was liquid, its volume (in litres) when measured at 25 degrees Celsius and 0.1 megapascals;

(d) where the biomass was an energy crop and was not a bioliquid—

(i) the type of energy crop in question, and

(ii) the use of the land on which the biomass was grown in the year before the land was first used to grow energy crops;...

(e) where the biomass was, or was derived from, wood and was not waste or bioliquid—

(i) the name of the forest or other location where that wood was grown,

(ii) a description of the forestry management practices or land management practices used in the forest or other location where that wood was grown,

(iii) where any of the wood was likely to be a protected or threatened species, the name of that species and the proportion of the biomass that is likely to be composed of, or derived from, that species,

(iv) the proportion of the biomass that was, or was derived from, a saw log, and the specification adopted by the operator in accordance with paragraph (6) for the purpose of determining the proportion of the biomass that was, or was derived from, a saw log, and

(v) the proportion of the biomass that was, or was derived from, hardwood and the proportion that was, or was derived from, softwood; and

(f) where the biomass was bioliquid used in a generating station on or after 1st January 2018, its energy content produced from each of the following categories of crop—

(i) starch-rich crops;

(ii) sugars;

(iii) oil crops;

(iv) any other crops grown as a main crop primarily for energy purposes on agricultural land.

(5) The information specified in this paragraph is information identifying, to the best of the operator's knowledge and belief—

(a) the greenhouse gas emissions from the use of the biomass to generate one megajoule of electricity;

(b) where the biomass does not meet the greenhouse gas criteria, the main reasons why biomass meeting the greenhouse gas criteria was not used;

(d) where the biomass does not meet the land criteria, the main reasons why biomass meeting the land criteria was not used; and

(e) where any of the information specified in sub-paragraphs (a) and (c) is not known—

(i) the main reasons why that information is not known, and

(ii) the main reasons why biomass for which that information is known was not used.

(6) For the purposes of paragraph (4)(e)(iv), the operator of the generating station must adopt a specification which is identical to—

(a) a specification for determining whether wood is a saw log—

(i) used by the sawmill closest to where the wood was grown, or

(ii) issued by a body exercising functions of a public nature and issued for use by sawmills in the area in which the wood was grown, or

(b) the specification in the second column of Table 1 of Forestry Commission Field Book 9 (other than the parts of that specification relating to “log category” and “species” set out in the first and second rows of that table).

(7) For the purposes of paragraph (5)(a), the operator of the generating station must calculate the greenhouse gas emissions from the use of the biomass in accordance with paragraphs 3(a), 4 and 5 of Schedule 2.

(8) Where, in relation to biomass used in a generating station to which this article applies, the operator of the station fails to provide the Authority with the information required by paragraph (2) by the relevant date, the Authority must, in relation to any ROCs to which the operator would otherwise be entitled, postpone the issue of those ROCs (up to the specified number) until such time as the information is provided.

(9) For the purposes of paragraph (8), the specified number is the number of ROCs which the Authority has or estimates that it has or, but for this article, it would have issued in respect of the electricity generated by the biomass in relation to which the information required by paragraph (2) should have been provided.

(10) In this article—

“Forestry Commission Field Book 9” means Forestry Commission Field Book 9, 2nd edition 1993, entitled “Classification and Presentation of Softwood Sawlogs”;

“protected or threatened species” means—a species listed in Appendices I, II or III of the Convention on International Trade in Endangered Flora and Fauna , ora species which is at risk of extinction;...

“saw log” means wood which is suitable for processing at a sawmill; and.

“starch-rich crops” includes—cereals (regardless of whether only the grains are used or the whole plant (such as in the case of green maize) is used);tubers and root crops (such as potatoes, Jerusalem artichokes, sweet potatoes, cassava and yams); andcorm crops (such as taro and cocoyam).

Bioliquid sustainability audit report

83

(1) This article applies to a generating station which generates electricity (wholly or partly) from bioliquid.

(2) In relation to each consignment of bioliquid used in a generating station to which this article applies, and in respect of which the operator has submitted sustainability information, the operator of the station must, by the 31st May immediately following the obligation period during which the bioliquid was used (“the relevant date”), provide the Authority with a sustainability audit report meeting the requirements specified in paragraph (3).

(3) The requirements specified in this paragraph are that the sustainability audit report must—

(a) be prepared by a person who is not—

(i) the owner or operator of the generating station; or

(ii) a connected person, in relation to the owner or operator of the generating station;

(b) consider whether the systems used to produce the sustainability information are likely to produce information which is reasonably accurate and reliable;

(c) consider whether there are controls in place to help protect the sustainability information against material misstatements due to fraud or error;

(d) consider the frequency and methodology of any sampling carried out for the purpose of obtaining or checking the data on which the operator relied in preparing the sustainability information;

(e) consider the robustness of the data on which the operator relied in preparing the sustainability information;

(f) state whether anything has come to the attention of the person preparing the report to indicate that the sustainability information is not accurate;

(g) be prepared to an adequate standard;

(h) identify whether the bioliquid was certified under an environmental quality assurance scheme, and if so—

(i) state the name of the scheme, and

(ii) identify whether the European Commission has adopted a decision under Article 18(4) of the Renewables Directive in respect of the scheme; and

(i) where the bioliquid was not derived from waste or residue and the actual value method or the mixed value method was used for the purpose of calculating the greenhouse gas emissions from the use of the bioliquid, identify—

(i) whether a restored degraded land bonus was included in the calculation of the greenhouse gas emissions from the use of the bioliquid, and

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