The Contracts for Difference (Miscellaneous Amendments) Regulations 2021

Insertion of regulations 12A, 12B and 12C

10.  After regulation 12 (first allocation round) insert—

“Application for supply chain implementation statements

12A.— (1) Where a supply chain statement was previously provided in respect of a generating station that is the subject of a CFD, the generator party (the “generator party applicant”) may apply for a supply chain implementation statement by submitting a supply chain implementation application to the Secretary of State.

(2) The Secretary of State must not provide a supply chain implementation statement unless the Secretary of State is satisfied that—

(a) the generator party applicant is the generator party in respect of the generating station;

(b) where the CFD was entered into after a successful application in an allocation round by virtue of the Allocation Regulations, the generator party applicant has fulfilled a “milestone requirement” as defined in the CFD; and

(c) the establishment or alteration of the generating station is making a material contribution to the development of supply chains.

(3) In deciding whether or not to provide a supply chain implementation statement to the generator party applicant, the Secretary of State must have regard to the extent to which—

(a) the establishment or alteration of the generating station is supporting the matters listed in regulation 9(4); and

(b) the proposals set out in the supply chain application (including any amendments agreed by the Secretary of State) are being implemented.

Particulars of supply chain implementation applications

12B.— (1) A supply chain implementation application must—

(a) identify the generating station;

(b) where the CFD was entered into after a successful application in an allocation round by virtue of the Allocation Regulations, demonstrate that a “milestone requirement” as defined in the CFD has been fulfilled;

(c) describe how the generating station is being established or altered;

(d) set out how the generator party applicant considers that the establishment or alteration of the generating station is—

(i) making a material contribution to the development of supply chains;

(ii) supporting the matters listed in regulation 9(4);

(iii) implementing the proposals set out in the supply chain application (including any amendments agreed by the Secretary of State); and

(e) include the information necessary in support of the matters in sub-paragraphs (a) to (d).

(2) A generator party applicant must—

(a) identify any information included in, or in support of, an application for a supply chain implementation statement or otherwise provided to the Secretary of State in relation to the generating station to support the development of supply chains which the generator party applicant considers is commercially confidential; and

(b) where such information is identified, provide reasons why the generator party applicant considers that disclosure of that information (other than to the Secretary of State for the purposes of deciding whether to provide or refuse a supply chain implementation statement) may damage the commercial interests of the generator party applicant or another person.

Providing supply chain implementation statements or refusals

12C.— (1) The Secretary of State must as soon as practicable after a supply chain implementation application is received by the Secretary of State give a notice to the generator party applicant which includes—

(a) a supply chain implementation statement; or

(b) a refusal to provide a supply chain implementation statement and reasons for that refusal.

(2) If the Secretary of State has not given a notice as set out in paragraph (1) within 60 working days of receiving a supply chain implementation application that satisfies the requirements set out in regulation 12B, the Secretary of State must provide a supply chain implementation statement to the generator party applicant.”.