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The Electricity Capacity Regulations 2014

S.I. 2014/2043 · Made 31 July 2014 · Extends to England, Wales and Scotland

Up to date with all changes known to legislation.gov.uk, revised to 17 July 2026.

Electricity

Made 31st July 2014

Coming into force in accordance with regulation 1

  1. (a)

  2. (b)

In accordance with section 40(5) of that Act, a draft of this instrument was laid before Parliament and approved by a resolution of each House of Parliament.

Accordingly, the Secretary of State, in exercise of the powers conferred by sections 27 to 33, 34(3) to (6), 36, 38(a), 40(1) and 63 of the Energy Act 2013, makes the following Regulations:C1C2

Annotations to the whole text

Modifications

C1

Regulations applied (with modifications) (10.4.2019) by The Electricity Capacity (No. 1) Regulations 2019 (S.I. 2019/862), regs. 29-52 (with reg. 28) (as amended (18.7.2019) by S.I. 2019/1139, regs. 1(2), 3(5)(6))

C2

Regulations applied (with modifications) (10.4.2019) by The Electricity Capacity (No. 1) Regulations 2019 (S.I. 2019/862), regs. 12-23 (with reg. 11) (as amended (18.7.2019) by S.I. 2019/1139, regs. 1(2), 3(4)(6))

Contents

  1. Part 1: Introduction
  2. 1Citation and commencement
  3. 2Interpretation
  4. 3“Providing electricity”; “reducing demand for electricity”; “electricity supplier”
  5. 4“Generating CMU”
  6. 5“Demand side response CMU”
  7. 5A"Interconnector CMU"
  8. Part 2: Reliability standard
  9. 6Reliability standard
  10. Part 3: Electricity capacity reports
  11. 7Annual electricity capacity report
  12. 8Electricity capacity reports: supplementary
  13. 9Information, directions, and assumptions
  14. Part 4: Capacity auctions
  15. Chapter 1: Determining whether capacity auction is to be held
  16. 10Determining whether capacity auction is to be held
  17. Chapter 2: Auction parameters
  18. 11Meaning of auction parameters
  19. 12Determination of auction parameters by the Secretary of State
  20. 13Adjustment of auction parameters following prequalification
  21. Chapter 3: Eligibility criteria and prequalification
  22. 14Eligibility to bid in capacity auctions
  23. 15General eligibility criteria
  24. 16Excluded capacity: low carbon support scheme CMUs
  25. 17Excluded capacity: NER 300 and CCS grant scheme CMUs
  26. 18Excluded capacity: long term STOR CMUs Repealed
  27. 19Regulations 16 and 17: interpretation
  28. Chapter 4: Determining eligibility and holding capacity auctions
  29. 20General duty of Delivery Body
  30. 21Auction guidelines
  31. 22Determination of eligibility
  32. 23Notifying prequalification results to the Secretary of State
  33. 24Holding the capacity auction
  34. 25Notification of results
  35. 26Cancellation, postponement or stopping of capacity auction
  36. 27Power to annul capacity auction
  37. 28Rearranged capacity auctions
  38. Chapter 5: DSR transitional auctions
  39. 29DSR transitional auctions Repealed
  40. 29ASecond DSR transitional auction Repealed
  41. Part 5: Capacity agreements, capacity market register and termination
  42. 30Capacity agreements
  43. 30ATransfer of a capacity agreement
  44. 31Capacity market register
  45. 32Termination fee rates
  46. 33Termination of capacity agreements: Secretary of State's discretion
  47. 33AReduction of the duration of capacity agreements: Secretary of State’s discretion
  48. 34Termination of capacity agreements: CFDs and ROO conversions
  49. 34ATermination of capacity agreements: CCS CFDs
  50. 35Null and void capacity agreements
  51. Part 6: Payments
  52. Chapter 1: General
  53. 36The settlement calculations
  54. 37Data default notices
  55. 38Invoices and credit notes: general
  56. Chapter 2: Calculations and determinations: capacity providers
  57. 39Determination of adjusted load-following capacity obligation, net output and adjusted net output
  58. 40Capacity payments
  59. 41Capacity provider penalty charges
  60. 42Over-delivery payments
  61. 43Termination fees
  62. 43ZATermination fees: adjustment for DSR providers
  63. 43ANon-completion fee
  64. 43BRepayment of capacity payments: termination
  65. 43CRepayment of capacity payments: metering fault
  66. Chapter 3: Calculations and determinations: electricity suppliers
  67. 44Settlement costs levy: the first levy period Repealed
  68. Chapter 4: Payment and non-payment
  69. 45General
  70. 46Payment of invoices and accruing interest
  71. 47The non-payment register
  72. 48Payment of credit notes
  73. 49Reducing capacity payments: unpaid capacity provider penalty charges
  74. 49AReducing capacity payments: offsetting relevant expenditure
  75. 50Reducing capacity payments: failure to demonstrate satisfactory performance
  76. 51Withholding credit payments to capacity providers
  77. 52Payment of withheld credit
  78. Part 7: Credit cover
  79. Chapter 1: General
  80. 53Application of this Part and interpretation
  81. 54Credit cover: requirements
  82. 55Approval of credit cover
  83. 56Maintenance of credit cover
  84. 57Downgrade of letter of credit
  85. 58Release of credit cover
  86. Chapter 2: Applicant credit cover
  87. 59Requirement to provide applicant credit cover
  88. 59ARequirement to provide applicant credit cover: Transitional provision
  89. 60Credit obligation period
  90. 61Draw down of applicant credit cover
  91. 62Effect of non-compliance
  92. Part 8: Information
  93. 63Duties to provide information
  94. 64Limitation on duty to provide information
  95. 65Protection of information
  96. 66Disclosure of information under capacity market rules
  97. Part 9: Enforcement
  98. 67Relevant requirements
  99. Part 10: Dispute resolution and appeals
  100. Chapter 1: Delivery Body decisions
  101. 68Delivery body reviewable decisions
  102. 69Requesting reconsideration by the Delivery Body
  103. 70Appeals to the Authority
  104. 71Determination of appeal by the Authority
  105. 72Appeals to the court
  106. 73Consequences of successful review or appeal
  107. Chapter 2: Settlement Body decisions
  108. 74Disputes
  109. 75Disputes notice
  110. 76Determination of disputes
  111. Part 11: Capacity market rules
  112. 77Authority's power to make capacity market rules
  113. 78Objectives
  114. 79Procedure
  115. Part 12: Other functions of the administrative parties
  116. 80Appointment of Settlement Body
  117. 81Review by Secretary of State
  118. 82Review of capacity market rules
  119. 83Annual operational reports
  120. 84Settlement Body's annual report
  121. Part 13: Miscellaneous
  122. 85Restricted liability in damages
  123. 86Documents
  124. Part 14: Transitory provisions and repeal
  125. 87Transitory provisions: the first T-4 auction Repealed
  126. 87ATransitory provisions: the second T-4 auction Repealed
  127. 87BTransitory provisions: the third T-4 auction and supplementary auction Repealed
  128. 87CTransitory provisions: the T-3 auction
  129. 88Repeal
  130. Signature
  131. Schedule 1: Settlement calculations
  132. 1Interpretation
  133. 2Weighting factor
  134. 3Capacity payments: calculations to be made annually for each capacity committed CMU
  135. 4Capacity payments: calculations to be made monthly for each capacity provider
  136. 5Capacity provider penalty charges: calculation of settlement period penalty applying to a capacity committed CMU
  137. 6Capacity provider penalty charges: calculation of monthly penalty charge for a capacity committed CMU
  138. 6ACapacity provider penalty charges: apportionment
  139. 7Over-delivery payments
  140. 8Apportionment between capacity providers
  141. 9Settlement costs levy: the first levy period Repealed
  142. Schedule 2: Documents
  143. 1Paragraph 1
  144. 2Paragraph 2
  145. 3Paragraph 3
  146. 4Paragraph 4
  147. 5Paragraph 5
  148. 6Paragraph 6
  149. 7Paragraph 7
  150. 8Paragraph 8
  151. Explanatory note