The Electricity Capacity Regulations 2014

Capacity provider penalty chargesE+W+S

This section has no associated Explanatory Memorandum

41.—(1) A capacity provider (“C”) must pay to the Settlement Body a capacity provider penalty charge in respect of any month of a delivery year (“month M”) if, in respect of month M, a settlement period penalty applies to one or more capacity committed CMUs for which C was the capacity provider during month M.

(2) If one or more capacity providers are liable to pay a capacity provider penalty charge in respect of month M the Settlement Body must, by no later than the [F135th] working day after the end of month M—

(a)determine the amount, if any, payable by each capacity provider in respect of capacity provider penalty charges incurred in month M; and

(b)issue to each capacity provider which is liable to pay capacity provider penalty charges an invoice for the amount determined for it.

(3) The amount payable by C under paragraph (2)(a) is the sum of—

(a)[F2MPSAim], as calculated under paragraph 6 of Schedule 1, for each capacity committed CMU for which C was registered on the capacity market register as the capacity provider for the whole of month M; and

(b)C’s proportion of [F3MPSAim], as calculated under paragraphs 6 and 8 of Schedule 1, for each capacity committed CMU for which C was registered on the capacity market register as the capacity provider for part of month M.

[F4(3A) The percentages to be included in the capacity market register under regulation 31(2)(f) are—

(a)for the annual penalty cap, 100%; and

(b)for the monthly penalty cap, 200%.]

(4) In paragraph (1), “settlement period penalty” means a penalty calculated under paragraph 5 of Schedule 1.

Textual Amendments