Paragraph 10 Amendment to regulation 59

In regulation 59 (requirement to provide applicant credit cover)—

(a)

in paragraph (2)—

(i)

in sub-paragraph (a)(i), for “£5,000” substitute “£6,500”;

(ii)

in sub-paragraph (a)(ia), for “£10,000”, substitute “£13,000”;

(iii)

in sub-paragraph (a)(ii), for “£10,000”, substitute “£13,000”;

(b)

in paragraph (2C), for “£5,000”, substitute “£6,500”;

(c)

for paragraph (4), substitute—

“(4)

The applicant credit cover provided under paragraph (1) in respect of a new build CMU must—

(a)

where 12 months have elapsed after auction results day and where an applicant has not met the financial commitment milestone in accordance with the Rules, be increased by the capacity provider to an amount equal to £19,500 per MW of de-rated capacity; and

(b)

where subsequently the applicant meets the financial commitment milestone in accordance with the Rules, be reduced to an amount equal to £13,000 per MW of de-rated capacity.”;

(d)

after paragraph (5), insert—

“(5A)

Where CMU i is not an unproven demand side response CMU, the applicant credit cover provided under paragraph (1) in respect of CMU i must, where notice requiring an increase in applicant credit cover is given to a capacity provider by the Delivery Body under the Rules, be increased by the capacity provider to an amount equal to £45,500 per MW of de-rated capacity.

(5B)

The increased credit cover required to be provided under paragraph (5A) must be provided within 15 working days of notice being given by the Delivery Body.”.