Explanatory note

This Order amends the Renewables Obligation Order 2015 (S.I. 2015/1947) (the “2015 Order”).

The 2015 Order imposes an obligation (the “renewables obligation”), on all electricity suppliers licensed under the Electricity Act 1989 (c. 29) which supply electricity in England and Wales, to produce a certain number of renewables obligation certificates in respect of electricity they supply to customers in England and Wales during a specified period known as an “obligation period”. Each obligation period runs from 1st April to 31st March.

The renewables obligation is administered by the Gas and Electricity Markets Authority, which issues renewables obligation certificates to renewable electricity generators based on their renewable output. These certificates are sold to electricity suppliers with or without the associated renewable electricity.

Article 2(5) inserts a new article 13C which enables the Secretary of State to revise the renewables obligation for an obligation period after the number of renewables obligation certificates to be produced for that period has been published. A revision may only be made for the obligation period beginning on 1st April 2024. Articles 2(2) to 2(4) make consequential amendments to Part 2 of the 2015 Order.

A full impact assessment of the effect that this Order and the Electricity Supplier Obligations (Excluded Electricity) (Amendment) Regulations 2024 will have on the costs to business, the voluntary sector and the public sector is available upon request from the Department for Energy Security and Net Zero at 55 Whitehall, London SW1A 2HP and is published with an Explanatory Memorandum alongside this Order on legislation.gov.uk.