PART 5Capacity agreements, capacity market register and termination

Termination fee rates32.

(1)

In this regulation—

F1“TFxrate” (for any value of x from x = 1 to x = 5) means the rate at which a termination fee is payable by a capacity provider if—

(a)

a capacity agreement is terminated on a ground specified in capacity market rules; and

(b)

capacity market rules specify F2that TFx is payable in the event of the capacity agreement being terminated on that ground;

F3...

F4(2)

Those rates are as follows—

TF1rate is £5,000/MW;

TF2rate is £25,000/MW;

TF3rate is £10,000/MW;

TF4rate is £15,000/MW;

TF5rate is £35,000/MW.

(4)

References in this regulation to a rate expressed as £/MW are to that amount in pounds per MW of de-rated capacity F5... for which the capacity agreement is issued, as specified in the capacity market register.

F6(5)

This regulation applies to the termination of a transferred part as it applies to the termination of a capacity agreement; but in that case, the reference in paragraph (4) to the de-rated capacity F5... for which the capacity agreement is issued is to be construed as a reference to the capacity obligation comprised in the transferred part.