New Obligation on the Supply of Electricity from Renewable Sources
The Renewables Obligation Order 2006 (SI No.1004) entered into force on 1st April 2006. The Order is made under section 32 of the Electricity Act 1989 and imposes an obligation (”the renewables obligation”) on all electricity suppliers, which are licensed under that Act and which supply electricity in England and Wales, to supply to customers in Great Britain specified amounts of electricity generated by using renewable sources.
As alternatives, in respect of all or part of an electricity supplier’s renewables obligation, an electricity supplier is permitted to provide evidence that other licensed electricity suppliers have supplied electricity generated using renewable sources instead of it or to make a payment to the Gas and Electricity Markets Authority (”the Authority”). Renewable sources include sources of energy such as wind, water, solar and biomass.
The Order revokes and replaces, with amendments, the Renewables Obligation Order 2005 (”the 2005 Order”). The full text of the Order is available from:
http://www.opsi.gov.uk/si/si2006/20061004.htm
Source: www.opsi.gov.uk (accessed 03/05/06)