Article 7 New articles 12D and 12E (EII excluded electricity and BICS excluded electricity)

After article 12C (revisions of the obligation level for the 2024/25 obligation period), insert—

“Determining the number of renewables obligation certificates to be produced by a designated electricity supplier in order to discharge its renewables obligation: obligation periods beginning on or after 1 April 2027

12D

(1)

This article applies in respect of an obligation period beginning on or after 1 April 2027.

(2)

Subject to article 12E, where the total obligation for the obligation period is calculation A, the number of renewables obligation certificates that a designated electricity supplier is required to produce in order to discharge its renewables obligation is, for each megawatt hour of relevant electricity that it supplies during that period, equal to—

$$\frac{0.154 \times C}{C-\left(D+F\right)}$$

(3)

Subject to article 12E, where the total obligation for the obligation period is calculation B, the number of renewables obligation certificates that a designated electricity supplier is required to produce in order to discharge its renewables obligation is, for each megawatt hour of relevant electricity that it supplies during that period, equal to—

$$\frac{E\times C}{C-\left(D+F\right)}$$

(4)

Subject to article 12E, for the purposes of paragraphs (2) and (3)—

(a)

C is the estimate made by the Secretary of State under article 8(1) of the 2015 Order^f1 of the total amount of electricity likely to be supplied to customers in Great Britain during the obligation period,

(b)

D is the estimate made by the Secretary of State under article 13D(2)(a)^f2 of the 2015 Order of the total amount of EII excluded electricity likely to be supplied to customers in Great Britain during the obligation period,

(c)

E is equal to—

$$\frac{Calculation B for the obligation period \times 0.154}{Calculation A for the obligation period}$$

(d)

F is the estimate made by the Secretary of State under article 13D(2)(b) of the 2015 Order of the total amount of BICS excluded electricity likely to be supplied to customers in Great Britain during the obligation period.

(5)

The Scottish Ministers must publish by 1 October preceding the obligation period, the number of renewables obligation certificates that a designated electricity supplier is required to produce in respect of each megawatt hour of relevant electricity that it supplies during that period in order to discharge its renewables obligation for that period.

Revision of the obligation level published on or before 1 October 2026 in respect of the 2027/28 obligation period

12E

(1)

This article applies in respect of the 2027/28 obligation period.

(2)

The Scottish Ministers may revise the obligation level published on or before 1 October 2026 in respect of the 2027/28 obligation period in accordance with paragraph (5).

(3)

If the Scottish Ministers revise the obligation level under paragraph (2), they may provide that the obligation level published on or before 1 October 2026 applies for part of the 2027/28 obligation period and the revised obligation level applies for the remainder of the 2027/28 obligation period.

(4)

The power conferred by paragraph (2) may only be exercised once, and may not be exercised after 31 March 2027.

(5)

Any revision of the obligation level under paragraph (2) must be calculated in accordance with—

(a)

article 12D(2) where the total obligation for the 2027/28 period is calculation A, or

(b)

article 12D(3) where the total obligation for the 2027/28 period is calculation B.

(6)

If the Scottish Ministers revise the obligation level under paragraph (2), they must publish the revised obligation level within 7 days beginning on the day on which the obligation level is revised.

(7)

In this article—

• “2027/28 obligation period” means the obligation period beginning on 1 April 2027,

• “obligation level” means the number of renewables obligation certificates that a designated electricity supplier is required to produce in respect of each megawatt hour of electricity that it supplies to customers in Scotland during the obligation period in order to discharge its renewables obligation for that period,

• “revised obligation level” means the obligation level as revised under paragraph (2).”.