Section 27A: Penalties.

Electricity Act 1989 · 1989 c. 29View on legislation.gov.uk

Part I: ELECTRICITY SUPPLY

Where the Authority is satisfied that a regulated person—

has contravened or is contravening any relevant condition or requirement; or
has failed or is failing to achieve any standard of performance prescribed under section 39 or 39A,

the Authority may, subject to section 27C, impose on the regulated person a penalty of such amount as is reasonable in all the circumstances of the case.

Before imposing a penalty on a regulated person under subsection (1), the Authority shall consider whether it would be more appropriate to proceed under the Competition Act 1998.

The Authority shall not impose a penalty on a regulated person under subsection (1) if it considers that it would be more appropriate to proceed under the Competition Act 1998.

Before imposing a penalty on a regulated person under subsection (1) the Authority shall give notice—

stating that it proposes to impose a penalty and the amount of the penalty proposed to be imposed;
setting out the relevant condition or requirement or the standard of performance in question;
specifying the acts or omissions which, in the opinion of the Authority, constitute the contravention or failure in question and the other facts which, in the opinion of the Authority, justify the imposition of a penalty and the amount of the penalty proposed; and
specifying the period (not being less than 21 days from the date of publication of the notice) within which representations or objections with respect to the proposed penalty may be made,

and shall consider any representations or objections which are duly made and not withdrawn.

Before varying any proposal stated in a notice under subsection (3)(a) the Authority shall give notice—

setting out the proposed variation and the reasons for it; and
specifying the period (not being less than 21 days from the date of publication of the notice) within which representations or objections with respect to the proposed variation may be made,

and shall consider any representations or objections which are duly made and not withdrawn.

As soon as practicable after imposing a penalty, the Authority shall give notice—

stating that it has imposed a penalty on the regulated person and its amount;
setting out the relevant condition or requirement or the standard of performance in question;
specifying the acts or omissions which, in the opinion of the Authority, constitute the contravention or failure in question and the other facts which, in the opinion of the Authority, justify the imposition of the penalty and its amount; and
specifying a date, no earlier than the end of the period of 42 days from the date of service of the notice on the regulated person, by which the penalty is required to be paid.

The regulated person may, within 21 days of the date of service on him of a notice under subsection (5), make an application to the Authority for it to specify different dates by which different portions of the penalty are to be paid.

Any notice required to be given under this section shall be given—

by publishing the notice in such manner as the Authority considers appropriate for the purpose of bringing the matters to which the notice relates to the attention of persons likely to be affected by them;
by serving a copy of the notice on the regulated person; ...
by serving a copy of the notice on Citizens Advice; and

This section is subject to section 27O (maximum amount of penalty or compensation that may be imposed).

Any sums received by the Authority by way of penalty under this section shall be paid into the Consolidated Fund.

The power of the Authority under subsection (1) is not exercisable in respect of any contravention or failure before the commencement of section 59 of the Utilities Act 2000.

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Reuse reviewed 21 August 2026 under Open Government Licence v3.0.