Section 32P: Certificate purchase levy, Electricity Act 1989

A certificate purchase order may provide for a certificate purchase levy to be charged in connection with the provision of payments to the relevant purchasing body.

A certificate purchase levy is a levy—

charged in respect of supplies of electricity that have been, or are expected to be, made in each specified period, and

payable in respect of each such period by persons who make, or are expected to make, the supplies.

The order may (without limiting the generality of section 32Z(1)(d)) provide for different rates or different amounts of levy to be charged—

in different cases or circumstances;

in relation to different specified periods.

The order may secure that the levy is not to be charged in respect of particular descriptions of supplies of electricity.

The order may provide for amounts of the levy received in respect of any period to be applied for the purpose of discharging the certificate purchase obligation in another period.

The order may, in particular, make provision about any of the following matters—

what is a supply of electricity for the purposes of the levy;

when a supply of electricity is, or is expected to be, made for those purposes;

who makes, or is expected to make, a supply of electricity for those purposes;

the rates or amounts of the levy, or how such rates or amounts are to be determined;

payment of the levy, including deadlines for payment in respect of each period and interest in respect of late payment;

administration of the levy;

audit of information (whether by the administrator of the levy or a third party) including requirements for audits to be paid by the person whose information is subject to the audit;

provision of information, including its provision to third parties in specified circumstances;

enforcement of the levy;

insolvency of persons liable to pay the levy;

reviews and appeals;

the functions of the administrator in connection with the levy.

The administrator of the levy, in the case of persons who make, or are expected to make, supplies of electricity in Great Britain, is—

the Authority, or

such other eligible person as may be designated by the order as the administrator in the case of such persons.

The administrator of the levy, in the case of persons who make, or are expected to make, supplies of electricity in Northern Ireland, is—

the Northern Ireland authority, or

such other eligible person as may be designated by the order as the administrator in the case of such persons.

A person is an "eligible person" for the purposes of designation under subsection (7)(b) if the person is—

a CFD counterparty at the time when the designation is made, or

the Secretary of State.

A person is an "eligible person" for the purposes of designation under subsection (8)(b) if the person is—

a CFD counterparty at the time when the designation is made, or

the Northern Ireland department.

In a case where a person liable to pay the levy has made any overpayment or underpayment (whether arising because an estimate turns out to be wrong or otherwise), provision under subsection (6)(e) may require the amount of the overpayment or underpayment (including interest) to be set off against, or added to, any subsequent liability of the person to pay the levy.

In a case where the amount received in respect of levy payments for a period falls short of the amount due for that period, provision under subsection (6)(e) or (j) may include a requirement on persons liable to pay the levy to make further payments, by the time and in the circumstances specified, of an amount calculated in the manner specified or determined in accordance with the order.

Provision under subsection (6)(h) may provide for the administrator to determine the form in which any information that a person is required to give is to be given and the time by which it is to be given.

Provision under subsection (6)(i) may—

if the Authority is the administrator, apply sections 25 to 28 in relation to a requirement in respect of the levy imposed under the order on a person who is not a licence holder as if the person were a licence holder;

in any other case, include provision for the imposition of penalties if a requirement in respect of the levy is breached (whether financial or not, but not including the creation of criminal offences).

Section 32P: Certificate purchase levy

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