The Electricity and Gas (Energy Companies Obligation) (Amendment) Order 2014

Transfers of excess actions

7.  After article 21 (excess actions), insert—

“Transfers of excess actions

21A.— (1) Where—

(a) a supplier (“C”) has achieved an excess action (“E”); and

(b) the Administrator has approved an application made in respect of E under article 21(9),

E may be regarded as achieved by another supplier (“D”) (“a transfer”) if that transfer is approved by the Administrator in accordance with this article.

(2) C and D must—

(a) apply for approval in writing to the Administrator by 30th April 2015;

(b) provide to the Administrator such information, including the number and type of excess actions intended to be transferred, as the Administrator may reasonably require; and

(c) indicate whether D intends E to be credited towards D’s—

(i) total carbon emissions reduction obligation;

(ii) total carbon saving community obligation; or

(iii) total home heating cost reduction obligation.

(3) The Administrator must approve a transfer—

(a) in a case where D has indicated that it intends E to be credited towards a different obligation from the one notified under article 21(2)(b), if the Administrator is satisfied that E meets any applicable requirement in article 21(4)(d) or (5)(d) in respect of that different obligation; and

(b) unless it has reasonable grounds to believe that, if the transfer were approved, C would not be able to achieve its—

(i) total carbon emissions reduction obligation;

(ii) total carbon saving community obligation; or

(iii) total home heating cost reduction obligation.

(4) If the Administrator decides not to approve a transfer under paragraph (3) it must notify C and D of the reasons for that decision.

(5) If a transfer is approved, E is treated as achieved by D and not C.”.