The Fossil Fuel Levy Regulations 1990

Supply below market price: prescribed person’s notice

22.—(1) Subject to paragraphs (2) to (4) a notice served by the Director on a licensed supplier under this regulation shall set out–

(a) the Director’s reasons for not accepting that it is appropriate in all the circumstances for amounts payable by the supplier in respect of the levy to be calculated by reference to any price charged during the qualifying month or months in question for any electricity within the relevant category in question; and

(b) the price which the Director thinks it would be appropriate to charge for that purpose.

(2) When deciding what price to set out pursuant to sub-paragraph (b) of paragraph (1) in a notice under this regulation the Director shall in particular have regard to–

(a) the quantities of electricity being supplied by the licensed supplier;

(b) load factors;

(c) the voltage at which any supply is given;

(d) the time of year and the time of the day at which any supply is given;

(e) any conditions according to which a supply may be interrupted;

(f) the location of customers receiving a supply from the supplier;

(g) the date and duration of any agreement under which any customer is receiving a supply from the supplier.

(3) Any price set out pursuant to sub-paragraph (b) of paragraph (1) in a notice under this regulation served on a public electricity supplier shall not be so high as to cause the average charge per unit treated as charged by that supplier to exceed the maximum average charge per unit which he could make under the terms of his licence.

(4) No notice under this regulation in respect of a particular qualifying month may be served after the expiry of a period of 3 years commencing on the last day of the month in question.