Electricity from Non-Fossil Fuel Sources Saving Arrangements Order 2000
| Jurisdiction | UK Non-devolved |
| Citation | SI 2000/2727 |
| Year | 2000 |
2000 No. 2727
ELECTRICITY
The Electricity from Non-Fossil Fuel Sources Saving Arrangements Order 2000
Made 4th October 2000
Laid before Parliament 5th October 2000
Coming into force 27th October 2000
The Secretary of State, in exercise of the powers conferred on him by section 67 of the Utilities Act 20001, hereby makes the following Order—
Citation, commencement and extent
1.—(1) This Order may be cited as the Electricity from Non-Fossil Fuel Sources Saving Arrangements Order 2000 and shall come into force on 27th October 2000.
(2) Apart from articles 1, 2, 8, 9 and 11(1), which also extend to Scotland, this Order extends to England and Wales only.
Definitions
2.—(1) In this Order—
“adapted condition” has the meaning given in article 4(3);
“the Director” has the meaning given in section 1 of the Electricity Act 19892;
“generator” means any operator of a non-fossil fuel generating station described in any of NFFO Orders 3,4&5 who, immediately before the commencement of the order period, was party to any original arrangements;
“licensed electricity suppliers” means persons authorised by a licence under the Electricity Act 1989 to supply electricity in England and Wales;
“new arrangements” means arrangements made by the nominated person which comply with all the requirements of article 4(1)(a), (b) and (e);
“NFFO Orders 3,4&5” means the following statutory instruments: the Electricity (Non-Fossil Fuel Sources) (England and Wales) Order 1994 (as amended)3; the Electricity (Non-Fossil Fuel Sources) (England and Wales) Order 19974; and the Electricity (Non-Fossil Fuel Sources) (England and Wales) Order 19985;
“NFFO 4 Order” means the Electricity (Non-Fossil Fuel Sources) (England and Wales) Order 1997;
“order period” means the period starting on the date when trading commences under the new electricity trading arrangements implemented pursuant to section 15A of the Electricity Act 1989 (as inserted by section 68 of the Utilities Act 2000) until 30th November 2018;
“original arrangements” means the additional arrangements referred to in section 32 of the Electricity Act 1989 which have been entered into by public electricity suppliers in compliance with their obligations under NFFO Orders 3,4&5;
“owner” means any person who either directly or indirectly owns or has any interest in the nominated person; and the term “ownership” shall be construed accordingly;
“public electricity supplier”, except in relation to article 9, means a public electricity supplier whose authorised area is wholly or mainly situated in England and Wales; and
“Requirements” means the requirements listed in article 4(1).
(2) Except where otherwise provided in this Order, expressions which are used both in this Order and in section 32 or 33 of the Electricity Act 1989 shall in relation to this Order have the meanings given to them in that Act.
Obligations of public electricity suppliers
3.—(1) Each public electricity supplier shall ensure that before the 30th day following the commencement of the order period it has produced evidence to the Director that it has made arrangements jointly with all other public electricity suppliers to secure that a person nominated by them (“the nominated person”) has made arrangements to secure the Requirements are complied with.
(2) Each public electricity supplier shall be under a duty at all times during the order period to secure that the Requirements are complied with and shall not by any act or omission of his prevent any new arrangements from securing the result mentioned in article 4(1)(b).
(3) Each public electricity supplier shall supply the Director with such information, or with information of a particular kind, requested by the Director and which in his opinion is relevant to the question whether the public electricity supplier (either acting individually or jointly with other public electricity suppliers) is discharging, or has discharged, his obligations in this Order.
(4) Information requested by the Director under paragraph (3) above must be given to him in whatever form he requires.
(5) No person shall be required by virtue of this article to provide any information which he could not be compelled to give in evidence in civil proceedings in the High Court.
The Requirements—duties of the nominated person
4.—(1) The Requirements are that—
(a)
(a) the nominated person must by the commencement of the order period have made arrangements (“the new arrangements”) which replace (in so far as it is necessary to comply with this Order) the original arrangements but with the nominated person replacing the relevant public electricity supplier as contracting party to those arrangements in each case;
(b)
(b) subject to paragraph (2) below, the new arrangements must secure that there is available to the nominated person from the non-fossil fuel generating stations described in NFFO Orders 3,4&5 the aggregate amount of generating capacity which, immediately before the commencement of the order period, was required by those Orders to have been available to public electricity suppliers during the order period;
(c)
(c) having entered into the new arrangements, the nominated person must not by any act or omission of his prevent those arrangements made by him from securing the result mentioned in sub-paragraph (b) above;
(d)
(d) the nominated person must produce evidence to the Director of having made the new arrangements within 30 days after the commencement of the order period;
(e)
(e) the new arrangements must be on terms such that generators who are party to them are in substantially the same economic position as regards matters relating to contract price, indexation and term under those new arrangements as they had been in as party to the original arrangements;
(f)
(f) all electricity made available to the nominated person under the new arrangements must be offered for sale to persons who shall include all licensed electricity suppliers;
(g)
(g) the nominated person must use his reasonable endeavours to receive the best price reasonably attainable for such electricity;
(h)
(h) the nominated person must conduct himself at all times in relation to his operations in general and in particular in relation to the selling of such electricity in a manner so as to ensure and satisfy the Director that he does not show any undue preference or exercise any undue discrimination in relation to any licensed electricity supplier or class of licensed electricity supplier; and
(i)
(i) any owner must not gain any advantage from his ownership (save that expressly permitted under either this Order or regulations made under section 33 of the Electricity Act 1989) in relation to the purchase or sale by the nominated person of electricity which has been made available to him under the new arrangements and arrangements must be in place so as to ensure at all times that any owner does not gain such advantage.
(2) The amount of generating capacity required by article 4(1)(b) to be available to the nominated person shall be reduced in the same manner that article 4 of the NFFO 4 Order reduced the amount of generating capacity required to be made available to public electricity suppliers by that Order, but the reduction in generating capacity provided for in this paragraph shall be calculated by reference to any adapted conditions instead of by reference to the conditions precedent and termination events set out in Schedules 2 and 3 to the NFFO 4 Order.
(3) For the purposes of this article an “adapted condition” means a condition set out in the new arrangements which has broadly equivalent effect to a provision contained in Schedule 2 or 3 to the NFFO 4 Order taking into account the existence of any new electricity trading arrangements and the fact that it is the nominated person, not a public electricity supplier, who enters into the new arrangements.
(4) Any case of dispute as to whether a condition in the new arrangements is an “adapted condition” may be referred to and determined by the Secretary of State on application by either the nominated person or a generator who is party to those new...
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