The Alternative Fuel Payment Pass-through Requirement (England and Wales and Scotland) Regulations 2023

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations make provision for pass-through requirements in relation to the Alternative Fuel Payment in England and Wales and Scotland. Pass-through requirements are imposed on a “relevant intermediary” (defined in regulation 2) and establish that they must pass-through an Alternative Fuel Payment (AFP) to an “end user” to whom energy or energy products (or both) have been made available (“end user” is defined in section 19(3) of the Energy Prices Act 2022 (c. 44)). These Regulations apply in respect of relevant intermediaries other than those providing certain types of hospitality accommodation (defined as “excluded persons” under these Regulations).

Regulation 3 establishes the requirement for relevant intermediaries to pass-through a just and reasonable amount of the AFP to each of its end users.

Regulation 4 provides for the calculation of the pass-through amount and sets out the way in which relevant intermediaries are to determine what is a just and reasonable amount for the purposes of regulation 3.

Regulation 5 sets out the information which relevant intermediaries are required to provide to each of their end users about the AFP scheme benefit provided to it, the amount or proportion it intends to provide to the end user together with supporting details about how it has calculated that this is a just and reasonable amount.

Regulation 6 makes provision about the way in which the pass-through is to be given effect including that it must be provided to the end user as soon as reasonably practicable after the scheme benefit has been provided to the relevant intermediary.

Regulation 7 provides for unpaid pass-through amounts to be recoverable from the relevant intermediary by the end user as a civil debt.