42D.—(1) For the purposes of paragraph 1(2)(c) of Schedule 4 to the PA 2023—
(a)the amount of gas or heat supplied to the network is to be calculated using the total turnover generated by the supply of gas or heat by the operator to the network (“network turnover”) during the relevant period, and
(b)the operator’s turnover amount is to be calculated using the operator’s total turnover during the relevant period.
(2) Where an operator’s network turnover or total turnover is not available for the entirety of the relevant period because the operator was created or commenced their activities after the beginning of the relevant period, turnover is to be calculated in accordance with paragraph (3).
(3) An operator’s network turnover and total turnover is to be calculated—
(a)where there has been no turnover at all during the relevant period, using credible business projections for a period of three years beginning with the date of contract award;
(b)in any other case, using—
(i)any network turnover or total turnover, as the case may be, generated during the relevant period, and
(ii)credible business projections, for a period beginning with the date of contract award,
where, when combined, provide turnover information and projections for the entirety of the period of three years beginning with the date any turnover was first generated during the relevant period.
(4) In this regulation—
“accounting period” means a period in respect of which accounts are prepared in relation to the operator;
“date of contract award” means the date when the contracting authority decided to award the contract;
“quarter” means a period of three months beginning with 1st January, 1st April, 1st July or 1st October in any given year;
“relevant period” means—
the period of three years ending with the date of contract award, or
where, due to the timing of the preparation of the operator’s accounts, turnover information for the period in sub-paragraph (a) is not available as at the date of contract award, a period of three years corresponding with the accounting periods of the operator ending with the date the last quarter before the date of contract award for which such information is available ends.]
Textual Amendments
F1Regs. 42A-42F inserted (24.2.2025) by The Procurement Act 2023 (Consequential and Other Amendments) Regulations 2025 (S.I. 2025/163), regs. 1(2), 8(12) (with reg. 2(2)(3))