Article 21 Payments

As soon as reasonably practicable after the end of an obligation period, the Administrator must notify each obligated supplier of the following—

For the purposes of paragraph (1)(b), the maximum number of relevant crop RTF certificates which may be used to meet (or towards meeting) the supplier’s renewable transport fuel obligation may not exceed the number of such certificates which corresponds with the amount calculated under article 21A.

A certificate may be produced as evidence by the supplier pursuant to this Order—

A supplier must notify the Administrator of the number F4and type of RTF certificates held in the supplier's RTF account which are to be counted towards the discharge of the supplier's renewable transport fuel obligation for the obligation period in question, and which are to be debited accordingly from the RTF account.

That notification must be given to the Administrator by the specified date referred to in article 4(3)(b).

Where a supplier fails to notify the Administrator of the number of RTF certificates to be counted by the date mentioned in paragraph (4), the Administrator must deem the number to be nil.

A supplier who does not wholly discharge the renewable transport fuel obligation for an obligation period by the production of evidence in accordance with paragraph (2) by the specified date referred to in article 4(3)(b) must pay to the Administrator a sum F5(the “buy-out amount”) determined in accordance with paragraph (7).

The “buy-out amount” is determined as follows—

• Step 1

  Calculate in litres—

  1. (a)

     the amount (“the DF only amount”) of development fuel in respect of which the supplier has produced development fuel RTF certificates as evidence (in accordance with paragraph (2)) in relation to the supplier’s development fuel target during the obligation period in question; and

  2. (b)

     the amount (“the any RTF amount”) of renewable transport fuel of any type in respect of which the supplier has produced RTF certificates (of any type) as evidence (in accordance with paragraph (2)) in relation to the supplier’s main obligation during the obligation period in question.

• Step 2

  Calculate the number of litres (if any) by which—

  1. (a)

     the DF only amount falls short of the amount needed to meet the supplier’s development fuel target (“the development fuel target shortfall”); and

  2. (b)

     the any RTF amount falls short of the amount needed to meet the supplier’s main obligation (“the main obligation shortfall”).

• Step 3

  Multiply the development fuel target shortfall by £0.80 (“sum A”).

• Step 4

  F7Multiply the main obligation shortfall by—

  1. (a)

     in the case of a main obligation shortfall arising in respect of an obligation period ending on or before 31st December 2020, £0.30;

  2. (b)

     in any other case, £0.50,

  (“sum B”).

• Step 5

  Add sum A and sum B to produce the buy-out amount.

For the purposes of section 128(1) of the 2004 Act and this Order, the period within which the buy-out amount, calculated under paragraph (7), must be paid to the Administrator (the “buy-out payment period”) is—

Where a supplier does not pay all of the buy-out amount to the Administrator before the end of the buy-out payment period—

The rate for the purpose of paragraph (9)(a) is 5 percentage points above the base rate of the Bank of England as at the F10day immediately after the last day of the buy-out payment period in question.

The increase is to be calculated on a daily basis beginning on the F11day immediately after the last day of the buy-out payment period in question, and ending on the date on which payment is received by the Administrator.