PART 2The Scheme: introductory

Licensed suppliers who are scheme suppliers6

1

This regulation sets out the licensed suppliers who are scheme suppliers in relation to a scheme year.

2

A licensed electricity supplier is a compulsory scheme electricity supplier in relation to a scheme year if the supplier—

a

supplied electricity to GB domestic customers on 31st December preceding the start of that scheme year, and

b

satisfies the condition in paragraph (3) or (4) (or both).

3

The condition in this paragraph is that the supplier had at least the relevant number of GB domestic customers on 31st December preceding the start of the scheme year.

4

The condition in this paragraph is that—

a

the supplier, and

b

any licensed suppliers who were connected to the supplier on 31st December preceding the start of the scheme year,

together had at least the relevant number of GB domestic customers on that date.

5

For the purposes of paragraphs (3) and (4), the relevant number of GB domestic customers is—

a

in relation to scheme year 12, 50,000;

b

in relation to any other scheme year, 1,000.

6

A licensed electricity supplier is a voluntary scheme electricity supplier in relation to a scheme year if—

a

the supplier is not a compulsory scheme electricity supplier, but notifies the Authority on or before the notification date that it wishes Part 3 to apply to the supplier in that scheme year, and

b

the Authority approves that notification.

7

For the purposes of paragraph (6) “the notification date” means—

a

in relation to scheme year 12, the 21st day after the commencement day;

b

in relation to any other scheme year, 1st February preceding the start of that scheme year.

8

A licensed gas supplier is a scheme gas supplier in relation to a scheme year if the supplier—

a

supplied gas to GB domestic customers on 31st December preceding the start of that scheme year, and

b

was on that date connected to a licensed electricity supplier who is, in relation to that scheme year, a scheme electricity supplier.