The Contracts for Difference (Allocation) and Electricity Market Reform (General) (Amendment) Regulations 2022
Jurisdiction: United Kingdom
Commencement: 22nd July 2022
Amends: Energy Act 2013 (2013 c.32)
The Energy Act 2013 (2013 c.32) sets out the legislative framework that the Government will make Regulations from in the coming years to ensure that the UK will generate enough secure, affordable and low-carbon energy to meet increasing demand. As well as cost and capacity issues, these forthcoming policies also consider the UK’s Climate Change Act 2008 commitments and legally-binding EU renewables targets. The Act introduces Contract for Difference, a key part of the Electricity Market Reform (EMR) programme.
Various duties apply.
Technical changes are made to the Contracts for Difference (CFD) scheme*. Changes are made to The Contracts for Difference (Allocation) Regulations 2014 and The Electricity Market Reform (General) Regulations 2014 to reflect this.
*The CFD scheme is a private contract between low-carbon electricity generators and the Low Carbon Contracts Company (LCCC). It is the UK Government’s main mechanism for supporting low-carbon electricity generation.
The Contracts for Difference (Allocation) Regulations 2014 is amended to require floating offshore wind generating stations to provide a supply chain statement when applying for a CFD.
Regulation 11 (Providing supply chain statements or refusing applications) of The Electricity Market Reform (General) Regulations 2014 is updated to clarify that an approved plan is valid for 9 months.
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