PART 6IMPOSITION OF CIVIL PENALTIES
Civil penalties23
1
2
A supplier is liable to a civil penalty if that supplier contravenes article 7(2) or 21(6).
F12A
A supplier is liable to a civil penalty if that supplier or other person fails to submit a verifier’s report as required by article 16B(1) to (3).
F43
A supplier or other person is liable to a civil penalty if at the time that supplier or other person provides the information or produces the evidence (as the case may be) referred to in article 7(6), 8(3), 12(4) or (7), 13(5) or (7), 16(4) or 20(14)—
a
that supplier or other person has not taken reasonable steps to ensure that the information or evidence is accurate, or
b
that supplier or other person has taken reasonable steps to ensure that the information or evidence is accurate, but the condition set out in paragraph (4) or (5) is subsequently satisfied.
4
In the case of article 7(6) or 8(3), the condition is that the supplier or other person has subsequently—
a
become aware that the information or evidence may be inaccurate but has not informed the Administrator of that fact within F5twenty working days of so becoming aware,
b
been informed by the Administrator that the information or evidence may be inaccurate but has not investigated and remedied the inaccuracy within such period as may reasonably be allowed by the Administrator, or
c
become aware (other than by being informed by the Administrator) that the information or evidence may be inaccurate but has not investigated and remedied the inaccuracy within such period as may reasonably be allowed by the Administrator.
5
In the case of article F712(4) or (7), 13(5) or (7), 16(4) or 20(14), the condition is that the supplier or other person has subsequently, but on or before F8the 16th November immediately following the obligation period in question—
a
become aware that the information or evidence may be inaccurate, but has not informed the Administrator of that fact within F6twenty working days of so becoming aware,
b
been informed by the Administrator that the information or evidence may be inaccurate, but has not investigated and remedied the inaccuracy within such period as may reasonably be allowed by the Administrator, or
c
become aware (other than by being informed by the Administrator) that the information or evidence may be inaccurate, but has not investigated and remedied the inaccuracy within such period as may reasonably be allowed by the Administrator.
6
For the purposes of section 129(2) of the 2004 Act, a civil penalty notice must be given by written notice to the defaulter.
7
For the purposes of section 129(3)(a), “the specified amount” is—
a
in the case of an account holder who has gained, or attempted to gain, one or more RTF certificates by contravening a provision referred to in paragraph (1), an amount equivalent to twice the value of the RTF certificates which the account holder has gained, or attempted to gain, and
b
in any other case, £50,000.
8
In paragraph (7)(a), the value of an RTF certificate is equivalent to the buy-out price, as F9defined in article 21(7), for the obligation period in respect of which the RTF certificate is issued or would have been issued.
9
For the purposes of section 129(3)(b), the turnover of the specified business of the defaulter is the applicable turnover for the business year preceding the date of the civil penalty notice.
10
Where the business year preceding the date of the civil penalty notice does not equal 12 months, the turnover is the amount which bears the same proportion to the applicable turnover during that business year as 12 months does to the period of that business year.
11
Where there is no preceding business year, the turnover is the applicable turnover of the defaulter for the period of 12 months ending on the last day of the month preceding the month in which the date of the civil penalty notice falls.
12
Where in the application of paragraph (11) the defaulter has applicable turnover for a period of less than 12 months, the turnover is the amount which bears the same proportion to the applicable turnover during the period for which the defaulter has applicable turnover as 12 months does to that period.
F1112A
Where a defaulter does not pay all or any part of the penalty to the Administrator by the date before which the civil penalty must be paid—
a
the sum outstanding is to increase at the rate specified in paragraph (12B) and the increase is to be calculated in accordance with paragraph (12C); and
b
the increased sum is a debt due from the defaulter to the Administrator until it has been paid in full.
12B
The rate for the purposes of paragraph (12A) is 5 percentage points above the base rate of the Bank of England as at the date before which the civil penalty must be paid to the Administrator.
12C
The increase is to be calculated on a daily basis beginning on the date before which the civil penalty must be paid to the Administrator, and ending on the date on which payment is received by the Administrator.
13
In this article—
“applicable turnover” means the amounts, ascertained in conformity with normal accounting practice in the United Kingdom, which are—
- a
derived by the defaulter from the supply of F10petrol, diesel and renewable transport fuel at or for delivery to places in the United Kingdom, and
- b
computed on an accruals basis so that those amounts relating to the period for which the turnover is being determined are taken into account, without regard to the date of invoice or receipt of payment,
after deduction of trade discounts, value added tax and any other taxes based on such amounts;
- a
“business year” means a period of more than six months in respect of which a defaulter publishes accounts or, if no such accounts have been published for the period, prepares accounts; and
“date of the civil penalty notice” means the date on which the Administrator gives notice under section 129(2) of the 2004 Act.